[asterisk-users] How to deal with PayPal frauds?

[Zeeshan Zakaria]

I charge my customers through PayPal, but recently faced a fraud which
previously had only heard about. Somebody registered a few accounts, paid
online with paypal (as my service is only prepaid) and started making
expensive long distance calls. In fact the IP registering the accounts was
from Florida, and IPs making calls were from Africa. After about 20 minutes
the first payment was reversed. Then a few times more payments were made,
and every payment was reversed almost as soon as it was made. Payments were
made from different PayPal accounts. And then I started getting emails from
PayPal resolution center that some payments were made by users who didn't
authorize them.

Obviously either somebody was using stolen paypal accounts, or somebody
knows that he can pay and reverse the payment and in the meanwhile make
enough long distance calls. What is really fishy that reversals were made
almost as soon as the payments were made, one after another.

Those who are more experienced in this business, please advise how to avoid
this type of fraud, and which service to use in place of PayPal, because
PayPal doesn't seem the right payment solution for a prepaid VoIP service.
Also now that they have all the payments put on hold and asking for a
resolution, their resolution center is good only for shipped merchendise,
not for online services. How would I prove to them that the buyer who is
asking his money back has already utilized my service by making lot of
international calls, which I now have to pay for to the carrier.

-- 
Zeeshan A Zakaria
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