Premium Fraud Management Tools
While it is a best practice to configure Basic Fraud Tools to protect your account from some of the more standard forms of payment fraud, more complex fraud schemes require more advanced capabilities. Braintree offers several Premium Fraud Management Tools:
- Fraud Protection - Designed for small to mid-size businesses
- Fraud Protection Advanced - For enterprises
- Chargeback Protection tool* - For businesses who want to outsource fraud management and reduce chargeback risks
- Effortless Chargeback Protection tool* - A premium version of the Chargeback Protection tool
Each tool provides a suite of fully integrated fraud prevention and detection checks before a transaction or verification request is processed, which helps catch fraudulent activity before authorization requests ever reach your customers' banks.
When you enable and use either of our Premium Fraud Management Tools, the Braintree gateway will pass required information about transactions and verifications created via the API to your chosen fraud protection provider for evaluation.
Premium Fraud Management Tools are not set up on your account by default. If you would like to use this feature, you must enable Fraud Protection or Fraud Protection Advanced in the Control Panel and update your client-side and server-side implementations. Additional fees may apply.
Fraud Protection, Fraud Protection Advanced, and Kount Custom are compatible with all credit and debit cards and the following:
The Chargeback Protection tools are only available for debit and credit card transactions in certain markets. The Chargeback Protection tools are not available for other payment methods at this time.
Note: Merchants are only able to enroll in one Premium Fraud Management Tool at a time.
|Premium Fraud Management Tools|
|Fraud Protection||Fraud Protection Advanced||Chargeback Protection||Effortless Chargeback Protection|
|Risk rules used to detect fraud||Fixed set of rules including geolocation and device information||Customizable set of rules that you can create and manage||PayPal manages evaluation rules for merchants||PayPal manages evaluation rules for merchants|
|Additional Features||Review transactions and receive webhooks||No documents required for eligible fraud chargebacks.|
|Available to||All merchants||All merchants||Limited availability (Brazil and US)||Limited availability (Brazil and US)|
|Fraud Decision Override Available||Yes||Yes||No||No|
Fraud Protection is an integrated risk management tool designed by PayPal to provide merchants with the ability to make more accurate decisions in real time on card and wallet transactions, for the purpose of reducing false positive rejections and minimizing chargebacks.
Fraud Protection Advanced provides additional features and capabilities on top of those provided by Fraud Protection to help fraud teams identify, investigate, and mitigate fraud. Additional features include the ability to review transactions, create new custom filters, and manage block/allow lists.
The Chargeback Protection tool* helps reduce risk associated with fraudulent transactions in real time by evaluating whether to approve or decline eligible credit or debit card transactions. If an approved, eligible transaction is later charged back with fraud or product not received reason codes, PayPal will request that you provide valid evidence that you have delivered the goods and services. Once the evidence is approved, PayPal will waive PayPal’s chargeback fees** and the disputed amounts for the chargebacks. Availability for the Chargeback Protection tool varies by country.
The Effortless Chargeback Protection tool* expands upon the value provided by the Chargeback Protection tool by allowing merchants to forgo submitting evidence of delivery for eligible fraud chargebacks (evidence of delivery is required for product not received chargebacks). When the Effortless Chargeback Protection tool is enabled, PayPal automatically waives any PayPal chargeback fees** and does not debit the disputed amount for eligible fraud chargebacks. Availability for the Effortless Chargeback Protection tool varies by country.
Device data collection for Fraud Protection and Fraud Protection Advanced is available only for the following client SDK versions and higher:
- iOS 4.32.0: released on Feb 18, 2020
- Android 3.9.0: released on Feb 20, 2020
- Web 3.58.0: released on Feb 13, 2020
By updating to the latest client SDK versions or at least the minimum versions above, device data will be passed to our Fraud Protection and Fraud Protection Advanced risk models, which in turn will improve fraud decision performance on your transactions.
Whether you're using Fraud Protection or Fraud Protection Advanced, you will first need to update your client-side and server-side code to collect and pass device data. You may then enable this feature in the Control Panel. If there is any delay between enabling in the Control Panel and making the code changes, the integration will not work properly.
Immediately after you update your code:
- Log into the Control Panel
- Click on the gear icon in the top right corner
- Click Fraud Management from the drop-down menu
- Next to Premium Fraud Management Tools, make a selection and click the toggle to turn it on
When you use Premium Fraud Management Tools, transactions will be subject to rejection due to suspected fraud. While you can't allowlist certain payment methods, you can avoid rejections on specific transactions in a couple of different ways:
- Bypass Premium Fraud Checking completely by passing the skip_advanced_fraud_checking parameter when creating transactions via the API
- If using a Premium Fraud Management Tool, bypass Premium Fraud Checking by checking the skip_advanced_fraud_checking box when creating transactions from the Control Panel
- Note: The Chargeback Protection and Effortless Chargeback Protection tools do not support the ability to bypass or skip fraud checks
* Terms apply to the Chargeback Protection tool. Certain transactions and chargebacks are not eligible for the Chargeback Protection tool. See Terms for details. ** You may be assessed additional chargeback fees by acquiring banks and card networks, which will not be waived but will be passed through to you at cost.