Blog

Gambling, Gadgets, and The Risk to Your Merchant Portfolio

Bogus “gadget” websites are putting merchant acquirers at risk for card network fines and assessments. G2 analysts have seen a recent increase in illegal gambling sites laundering their transactions through gadget sites—usually a simple site selling a few select items, often consumer electronics, power tools, or sporting goods. Transaction laundering—one merchant processing payment card transactions… read more

Post Date: Posted on November 2, 2022November 2, 2022 Post Categories: Merchant Monitoring, Money Laundering, Online Gambling

Comply by October 15: New Adult Merchant Content Guidelines

Acquirers must comply by October 15, 2021 with Mastercard’s extended Specialty Merchant Registration requirements—that aim to crackdown on unauthorized and illegal adult content. According to Mastercard, the updated rules require acquiring banks to “certify that the seller of adult content has effective controls in place to monitor, block and, where necessary, take down all illegal… read more

Post Date: Posted on September 24, 2021September 29, 2021 Post Categories: High-risk Merchants, Merchant Monitoring

Rise in Transaction Laundering Hate Groups

Tensions in America rise as the pandemic-fueled economic recession sweeps the nation. Hate groups are among many bad actors who are taking advantage of the current social and political turmoil by peddling violence, misinformation, and fraudulent products online. According to the Southern Poverty Law Center, nearly 1,000 hate groups were located in the United States… read more

Post Date: Posted on September 10, 2020April 20, 2021 Post Categories: Hate Groups, Merchant Fraud, Transaction Laundering

Nutraceutical Marketing and Regulatory Risk

When onboarding a nutraceutical merchant, how do you know which claims are compliant versus which claims cross the line? Obviously, a dietary supplement cannot be marketed with claims to miraculously cure COVID-19, but can it be marketed to relieve joint pain? Or reduce inflammation? What if the merchant’s website is claim-free, but its social media includes claims to help treat hypertension? Can a merchant… read more

Post Date: Posted on May 18, 2020July 7, 2020 Post Categories: Blog, False Claims, FDA, Merchant Risk, Misleading Marketing Claims, Nutraceuticals, Problematic Health Claims

FDA Cracks Down on CBD Merchants

Last week, the FDA took off the gloves in its fight against illicit CBD products. The agency updated its consumer advisory on CBD to warn of possible negative side effects and issued 15 warning letters to CBD companies – which is more CBD-related warning letters than the FDA has issued in the past three years…. read more

Post Date: Posted on December 3, 2019April 16, 2020 Post Categories: CBD Laws, CBD Merchant Risk, FDA Warning Letters

Shifting Online Gambling Landscape Requires Better Merchant Monitoring

It has been almost a year since the Supreme Court struck down the Professional and Amateur Sports Protection Act (PASPA), a federal law that had prohibited most states from authorizing online gambling. Almost immediately, Delaware and New Jersey legalized sports betting (joining Nevada, where sports betting has long been legal) – followed in quick succession… read more

Post Date: Posted on April 10, 2019June 11, 2021 Post Categories: Merchant Risk, Online Gambling

Keep an Eye on Illegal Contact Lens Merchants… They Could Pose a Risk

Did you know that all contact lenses – even decorative non-corrective contact lenses – are considered prescription-only medical devices in the US? That’s right! If a merchant is shipping contact lenses (even crazy vampire-eye lenses!) to the United States without properly requiring a prescription, then that merchant is violating US law and at risk of breaking card… read more

Post Date: Posted on April 4, 2019April 22, 2021 Post Categories: Merchant Boarding, Merchant Fraud

Money Laundering & Misbranded Prescription Drugs

A recent press release issued by the Middle District of Pennsylvania announced that two men have been sentenced to imprisonment for the illegal online sale of misbranded prescription drugs and a conspiracy to commit money laundering.

Post Date: Posted on September 4, 2018February 26, 2020 Post Categories: High-risk Merchants, Merchant Fraud, Money Laundering

ETA TRANSACT: A Profitable Bank is a Confident One

Recently, G2 Web Services had the opportunity to attend one of the most well-established payment conferences in the…

Post Date: Posted on May 10, 2018June 11, 2021 Post Categories: Merchant Underwriting, News & Events

Operation Pangea IX Takes Down Illegal Prescriptions

The Internet is a little safer today than it was last week, thanks to Operation Pangea an international law enforcement effort in cooperation with more than 190 police officers, customs and health regulatory authorities from…

Post Date: Posted on June 15, 2016July 30, 2019 Post Categories: Blog