Protecting Your Business from Card Testing Fraud

At Redde Payments, we’re committed to helping you run a secure and successful business. Recently, we’ve noticed an increase in card testing activity — a form of fraud that, while subtle, can lead to major headaches if left unchecked.

What Is Card Testing?

Card testing happens when fraudsters use stolen credit card information to make small online purchases or donations. Their goal? To find out which cards are active and can be used for larger fraudulent transactions. These tests often fly under the radar because the amounts are so small — sometimes just a few cents — but the impact can be significant.

Once a card is verified as active, the fraudster may either use it to make high-value purchases or sell the card details on the dark web. And if your site becomes known as an easy target, repeated card testing attempts can lead to excessive transaction fees, chargebacks, and even penalties from your gateway or acquiring bank.

Why Your Gateway Settings Matter

Fortunately, most payment gateways offer powerful fraud prevention tools designed to detect and stop card testing before it causes damage. However, these tools are only effective if they’re properly configured.

We strongly recommend reviewing your gateway and terminal settings regularly to ensure your fraud controls are tailored to your business needs. Think of it as a security audit — the same way you'd update software or back up data.

Best Practices to Prevent Card Testing

Whether you’re just getting started or want to strengthen your current setup, here are some key ways to reduce your risk:

✅ Add CAPTCHA to Your Checkout Page
Bots are often used to run automated card testing scripts. CAPTCHA tools like Google reCAPTCHA can stop those scripts from ever reaching your payment form.

✅ Avoid Posting Full Payment Links in Plain Text
Exposing full payment URLs online — especially on forums or social media — can invite bad actors to exploit them. Use short links or secure buttons instead, and consider setting expiration rules for links when possible.

✅ Enable Velocity Controls
Velocity Controls let you set limits on how many transactions can be attempted from a single IP address or device within a certain timeframe. This is one of the most effective ways to detect and block rapid-fire card testing attempts.

✅ Require Strict AVS and CVV Verification
Make sure your terminal settings require accurate Address Verification Service (AVS) and Card Verification Value (CVV) matches. If these details don’t match the cardholder’s information, the transaction should be declined automatically.

✅ Monitor for Unusual Activity
Keep an eye out for patterns like a sudden spike in low-dollar transactions, repeated declines from similar IP addresses, or unusual purchasing behavior. These are all red flags that card testing may be occurring.

Not Sure Where to Start?

If all of this sounds a bit overwhelming, you're not alone. Many business owners aren’t aware of the tools available to protect against card testing until it becomes a problem. That’s why choosing the right payment processor matters.

At Redde Payments, we don’t just handle transactions, we help you secure them. Whether you’re looking to tighten up your fraud settings or you’re not even sure what settings to check, our team is here to guide you.

Have questions or want to learn more? Reach out to us anytime. We’ll walk you through your options, explain what fraud tools are available, and help you get set up with the right level of protection for your business.