MaxMind minFraud PayPal is a solution that can help detect and prevent PayPal payment fraud. While there are many different forms of PayPal fraud, in this case PayPal payment fraud refers to a form of identity theft where fraudulent orders are placed through hijacked or stolen PayPal accounts. Like stolen or cloned credit cards, hijacked PayPal accounts appear completely legitimate and like credit cards, the original account holder can issue a chargeback for unauthorized charges. Since these hijacked accounts are legitimate, they may not be caught by PayPal's internal fraud system until it is too late.

By looking at information that are passed by PayPal buyers during the transaction, the minFraud service can be used to provide online merchants with more information to base their decision. For example, if an PayPal purchase is made from an IP address that is located in countries that have a high association with online fraud or from an open proxy, the merchant may want to follow up with the buyer to confirm the order.

Key features include:

• IP geolocation checks
• Open proxy checks
• Free e-mail checks
• Carder e-mail checks

Benefits:

• Easy to integrate APIs. No software to maintain.
• Speed up manual review of applications
• Become part of the minFraud Network

Here are some steps that you can take to also take for further security:

1. Make sure the buyer has access to the e-mail address listed for the PayPal Account
2. By using the "Send Money" feature on your PayPal account, you can find out more information about the PayPal payer, by starting a payment but not completing it. First, log in to your PayPal account, then click on the "Send Money" tab. Enter the e-mail of the PayPal order you received into the Recipient's Email or Phone field. Enter one cent into the Amount field, and select Service as Category of Purchase. Click "Continue" and then click on the hyperlink to the right of the Account Status. This will open up a new window with the Seller Reputation, Account Status, Type, and Creation Date.