Paybrain

Paybrain Anti-Fraud Protection

AI-powered fraud detection that protects your business from chargebacks and payment disputes

Protect Your Business from Fraud

Paybrain Anti-Fraud helps you identify potentially fraudulent transactions before you fulfill orders or deliver services. When suspicious activity is detected, we temporarily hold the funds and alert you, giving you time to assess whether you know and trust the customer.

This protects you from fraud losses, chargebacks, and chargeback fees. Our AI analyzes hundreds of signals in real-time including payment patterns, customer behavior, device information, and historical fraud data to flag risky transactions.

If Your Transaction is Flagged

This is your opportunity to prevent fraud losses. Don't fulfill the order or start work until you've assessed the risk.

If you DON'T know or trust this customer:

  • Refund the charge immediately - Don't fulfill the order or deliver the service
  • This releases the reserve and prevents chargeback fees ($15-$25 per chargeback)
  • You avoid losing both the product or service AND the payment in a dispute
  • The customer is notified and cannot file a chargeback after refund

If you DO know and trust this customer:

  • Contact them directly to verify the purchase and address any concerns
  • Ask them to confirm order details, delivery address, or service requirements
  • Once verified, you can proceed with fulfillment
  • The reserve will be automatically released once the review period completes
  • Standard accounts only: You can manually release the reserve at your own risk if you're confident the transaction is legitimate (you accept liability for any chargebacks)

Remember: A fraud flag doesn't mean the transaction is definitely fraudulent - it means you should assess the risk before fulfilling. Trust your judgment about your customers.

Manual Reserve Release: Standard accounts can release reserves early, but you accept full liability for chargebacks. If the transaction is later disputed, you'll be responsible for returning the funds plus chargeback fees ($15-$25). Only release reserves when you're certain the customer is trustworthy.

How It Works

1. Real-Time Analysis

Every payment is analyzed instantly as it's processed. Our AI examines payment patterns, customer behavior, and dozens of other risk factors.

2. Risk Detection

If suspicious activity is detected, the transaction is flagged for review. Common triggers include unusual purchase patterns, mismatched billing information, high-risk locations, or behavior similar to known fraud cases.

3. Automatic Reserve

Funds from flagged transactions are placed in a temporary reserve. This prevents payout while the transaction is reviewed, protecting you from losses if a chargeback occurs.

4. Review & Release

Our team reviews flagged transactions. If approved, funds are automatically released to your available balance. If the transaction shows signs of fraud, the reserve remains in place.

Common Fraud Triggers

Transactions may be flagged for various reasons. Understanding these can help you avoid legitimate transactions being held:

  • Unusual Purchase Patterns

    Multiple high-value transactions in a short time, especially from new customers

  • Geographic Mismatches

    Billing address, IP location, and card issuing country don't align

  • High-Risk Locations

    Payments from regions with historically high fraud rates

  • Suspicious Customer Behavior

    Multiple failed payment attempts, rapid checkout, or unusual account activity

  • Device & Browser Signals

    Anonymous browsers, VPNs, or devices associated with previous fraud

  • Velocity Checks

    Same card used across multiple merchants or accounts in a short period

Reserve Timeline

Day 0

Transaction Flagged

Funds are immediately placed in reserve. You'll see a notification in your dashboard.

Under Review

Under Review

Our fraud prevention team reviews the transaction.

Resolved

Automatic Release

If approved, funds are released to your available balance. If concerns remain, the reserve stays in place for up to 90 days to protect against chargebacks.

How This Protects Your Business

  • Chargeback Protection

    Funds are held until risk is assessed, preventing losses from fraudulent chargebacks

  • Lower Fees

    Avoiding chargebacks means you avoid $15-$100 chargeback fees per incident

  • Account Protection

    High chargeback rates can lead to account restrictions. Fraud prevention keeps your account in good standing

  • Peace of Mind

    Automated protection means you can focus on your business while we handle fraud detection

  • Legitimate Transactions Protected

    Our AI learns from your transaction patterns to minimize false positives over time

Frequently Asked Questions

Does this affect all my transactions?

No. Only transactions that our AI flags as potentially risky are placed in reserve. The vast majority of transactions are processed normally with funds available within 2-3 business days.

Can I disable fraud protection?

Fraud protection is mandatory for all Paybrain accounts to protect both merchants and the platform. However, as your account builds history with legitimate transactions, false positives become extremely rare.

Will my customer be notified?

No. The fraud review happens on the backend. Your customer receives their payment confirmation as normal, and the hold only affects when you receive the funds, not the customer experience.

What if I disagree with a flag?

Contact our support team through your dashboard. While we can't manually override fraud flags, we can review the case and provide guidance. The automatic review typically resolves most cases within a week.

How long can funds be held?

Reserves auto-release after 90 days if no chargeback occurs. Most reviews complete quickly, and approved transactions are released immediately after review.

Need Help?

If you have questions about a specific transaction or reserve, contact our support team through your dashboard. We're here to help you understand and navigate fraud protection.