In today's fast-paced travel industry, the excitement of helping travellers exploring new destinations is often accompanied by the looming threat of credit card fraud. As the sector grows, so do the opportunities for fraudsters to exploit vulnerabilities in travel payment solutions. From stolen card information to chargeback manipulation, the risks are real and ever-present. However with the right strategies and technologies, you can safeguard your business and ensure smooth, secure transactions. Let's dive into some practical tips to help you stay one step ahead of the fraudsters.
Facing Challenges, Finding Solutions
With the number and value of digital payments increasing every day, there comes an increase in the number of fraudulent acts taking place across various platforms. In travel, some of the most common challenges include:
- Stolen card information used to make travel bookings, often those related to high-end leisure travel, leading to thousands of dollars lost to chargebacks.
- Chargeback and refund manipulation, such as making authentic bookings only to reclaim funds later, is another potential risk.
- Misuse of company cards when paying international suppliers, with card details potentially exposed via email or written down by clerks and used for international shopping sprees.
In each of these situations, technology can play a role in preventing these types of credit card fraud, however let’s take a quick look at some simple practices you can employ in your business to combat all kinds of fraud before payment is even in the picture.
Tips to Update Your Fraud Preparedness
In this fast-paced industry it’s easy to let something slip. Fraudsters frequently prey on businesses and individuals who are under the pump, looking for any opportunity to exploit. Here are some tips on how to adjust your processes to help reduce opportunities for fraud:
- Hold regular security & fraud awareness training – to ensure you’re staff know what to be on the lookout for such as scam & phishing emails, SMS, or phone calls. If it sounds too good to be true – it probably is.
- Keep informed of the latest AI-based scam techniques – With the rise of AI, scammers have more tools at their disposal to commit fraud – last year a multinational company was scammed out of $25 million by fraudsters using deepfake technology to impersonate the company’s CFO. Fraudsters are also impersonating celebrities or creating fake identities to scam people out of their hard earned money.
- Think about whether the travel bookings make logical sense – for example, does it make sense for someone in Europe that you’ve never worked with to book a flight within Asia using an Australian-based agent? Taking a step back and thinking about whether the story checks out can help you catch scammers in the act.
- Confirm who travellers are who they claim to be – while it’s not uncommon for someone to book a trip on behalf of someone else, taking steps to verify the identity of travellers with a quick face to face could save you a lot of headaches.
Leveraging Payments Technology to Combat Fraud
When it comes to accepting payments to agents or making payments to suppliers, having the right payment practices and provider can also help you reduce fraud. When evaluating your current provider and practices consider if you:
- Use modern payment methods & systems that require the traveller to verify and authenticate payments they make to you – e.g. banking app verification for transfers (e.g. PayID) or 3D Secure for card payments.
- Employ a chargeback guarantee solution like Mint Protect in conjunction with 3D Secure to offset the cost of fraudulent transactions.
- Book through trustworthy suppliers to ensure funds or payment information is not misused – if you’re unsure about the supplier, consider using a Virtual Card to make payment so you can control card balances and leverage chargeback protection in favour of your business in case something goes awry. If you’re paying locally, consider using a closed-loop system like MintEFT for secure routing of payments between agents and suppliers.
- Eliminate shared company cards in favour of a virtual card system enabling you to monitor who is making payments and to whom. Another advantage of virtual cards is that is they’re ever compromised, you can instantly cancel and replace them rather than having to re-apply through your bank
What to Look for in a Travel Payments Platform
When selecting a travel payment solution that reduces transaction risks related to travel bookings, there are multiple factors to consider.
- Ensure the platform matches the specific needs of your business now and into the future as your continue to grow. Make sure they can help you enabling good security practices while maintaining their own.
- Choose payment solutions with native integrations or API support. These enable your business to easily connect with your mid-office, website or other systems, reducing the frustration of implementation.
- Look for automated, integrated and other time saving functions that can increase your business efficiency and minimise mistakes, enabling your agency to operate at scale.
Ready to Learn More?
Fraud in travel payments is a challenge that requires vigilance, awareness, and the right tools. By implementing robust security measures, staying informed about the latest scam techniques, and leveraging advanced travel payment solutions, you can significantly reduce the risk of fraudulent activities.
At Mint Payments, we're committed to providing solutions that protect your business and your customers. Don't let fraudsters ruin your business — take action today to secure your transactions and build a safer future for your travel business.
Contact us to learn more about how our innovative payment solutions can help you combat fraud effectively.
Article sources
- https://edition.cnn.com/2024/02/04/asia/deepfake-cfo-scam-hong-kong-intl-hnk/index.html
- https://www.theguardian.com/money/2025/mar/05/revealed-the-scammers-who-conned-savers-out-of-35m-using-fake-celebrity-ads
Image by vecstock on Freepik
