Some of the hardest merchant risk calls start with an application that looks fine. In this article in the Green Sheet, LegitScript's Dan Frechtling points to the CB Surety case, where sham companies, fake websites, and artificial transactions helped fraudulent merchants process more than $111 million.
Fraudsters now shape the very signals risk systems trust, including chargeback rates. AI can surface inconsistencies across applications, transactions, and websites. Analysts still decide what they mean. Frechtling argues that effective risk management depends on connecting information across a merchant’s wider online footprint, not relying on any single indicator.