Fraud Alert Jan 2010

FRAUD ALERT

There is a new scam targeting restaurants and catering companies. Please call your Voice Authorization Center and request a Code 10 on any orders resembling this scheme:

You may receive a call (usually over the hearing impaired relay network) from someone requesting a food order for a large party or catering event. The caller claims they cannot come to the location to pick up the order and offers a “pick-up agent” to manage delivery.

The “pick-up agent” will not accept credit cards, and you will be asked to charge the pick up fee to a credit card and wire funds to the “pick-up agent.” The amount to be wired usually ranges between $2000.00 and $4000.00. In many cases, you may be provided several card numbers to utilize for these transactions.

Ultimately, there is no pick-up agent, and you will be out the wired money and will receive chargebacks for fraud for the sale(s) processed.

Contact Information
Call us at +1 (239) 549-5055 or toll free at  (866) 207-3298
Email: info@cardsystems.com

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IRS Reporting Requirements

The Housing Assistance Tax Act of 2008 included the enactment of Section 6050W of the IRS Code. This is an important new measure that requires obligated reporting entities to report the gross amounts of their merchant customers' payment card and third party network transactions to the IRS.