Asked by Colton Weatherwax on Jul 23, 2024
Verified
Riya purchases a product online using her credit card.She receives the product after a few days.In which of the following ways can Riya commit payment fraud?
A) By asking the credit card issuer for a chargeback
B) By selling the product to her friend at a higher price
C) By returning the product to the seller and asking for a refund
D) By changing the mode of transaction
Payment Fraud
Illegal transactions aimed at deceitfully obtaining money, goods, or services by manipulating payment processes.
Chargeback
A transaction reversal usually initiated by the cardholder's bank, intended to serve as a form of consumer protection from fraudulent activity.
- Understanding the concept of payment fraud and its prevention.
Verified Answer
MB
Madison BarrieJul 27, 2024
Final Answer :
A
Explanation :
Requesting a chargeback without a valid reason, especially after receiving the product, can be considered a form of payment fraud. Chargebacks are meant to protect consumers from unauthorized transactions and not as a means to get products for free.
Learning Objectives
- Understanding the concept of payment fraud and its prevention.