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Simple Tips to Prevent Check and Credit Card Fraud In Your Wholesale Jewelry Business

  • by admin
  • 2 min read

Scams are inevitable risks of establishing any kind of wholesale business, especially in the wholesale jewelry business where owners not only have to deal with few orders but they have to deal with fraudulent transactions too. Fraudsters are easy to spot if you know what to look for. To protect your wholesale jewelry business from scammers and fraudsters, here are a few tips you can follow:

1. Customers who buy wholesale jewelry items in bulk AND in a hurry often present suspicious motives. Picking wholesale rings or wholesale bracelets(especially the high-priced ones) in a fast-paced manner means that your customer is pressed with time. Be cautious because hurried behavior most often involves fraud.

2. When a customer pays with a check, carefully verify that the check is backdated. Fraudsters usually backdate checks to claim that the funds might have dried up after they have written the check. Better yet, invest in a credit processing and check reading machine. They may put a small hole in your pocket but they will definitely save your wholesale jewelry business in the long run.

3. Avoid multi-tasking when processing the transaction. Fraudsters sometimes come in pairs or in groups and they don’t operate on their own. Confusing you during the process might be a part of their modus operandi so focus on the job at hand. Attention and concentration is greatly needed to check the details.
5. The 419 scam is one of the most thriving scams that affect businessmen. If a customer orders a big volume of wholesale jewelry such as wholesale pendants, wholesale necklaces or wholesale earrings, and asks that the items be shipped to a different address (most often to a different country) than the one stated on the billing information of the credit card being used, immediately terminate the transaction and cease all forms of communication.


6. For online or over-the-phone transactions, ask for certain information such as the CVV number, the bank listed on the credit card, and the customer service number on the card. This information can then be used to verify the information and you could call the number provided by the customer to ensure that the transaction is a legitimate one.

Early prevention can bring great savings to your business. Fraudsters are experts and without much to lose as you do, they can do it speedily and easily. Invest in tools to verify credit card and check transactions.

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