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Glossary Term

Fraud Detection Signals

Behavioral and payment signals used to flag suspicious ecommerce activity.

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Fraud Detection Signals

1-minute read

What it is

Fraud detection signals are data points used to identify suspicious ecommerce activity, such as unusual velocity (too many purchases quickly), mismatched location, device anomalies, risky email domains, or repeated payment failures.

Why it matters

Attackers don't only "hack" sites - they exploit checkout and payment flows. Strong fraud signals reduce losses from stolen cards, fake accounts, promo abuse, and automated testing of card numbers.

How to reduce risk

  • Enforce velocity controls on login, cart, and checkout actions
  • Use risk scoring based on device, IP reputation, and behavioral patterns
  • Monitor for high-failure payment attempts and repeated coupon abuse
  • Coordinate fraud controls with your WAF/bot management to stop automation early