Protecting orders from fraud
You can protect your orders from fraudulent transactions by using Shopify's built-in fraud analysis and automation tools. Fraud protection helps you avoid chargebacks, reduce financial losses, and maintain good standing with payment processors.
Shopify's fraud analysis automatically reviews each order and provides risk indicators such as Address Verification System (AVS) checks, Card Verification Value (CVV), IP address details, and unusual purchase patterns. The system flags orders as low, medium, or high risk so you can review suspicious orders before fulfilling them. You can view fraud indicators with green, red, and gray icons that highlight different behavior types. Fulfilling high-risk orders without review can result in chargebacks, which may lead to payment processing issues or removal from Shopify Payments.
You can also use Shopify Flow to automate how you handle high-risk orders. You might set up workflows to automatically capture payment for low and medium-risk orders, hold high-risk orders for manual review, or cancel and restock orders that meet specific fraud criteria. This automation reduces the time that you spend reviewing orders while protecting your business from fraudulent transactions.
For eligible businesses using Shopify Payments in the United States, Fraud Protect provides additional protection by guaranteeing payment on orders classified as protected, and handling the chargeback process for you.