Fraud Alert

Fraud Tip – March 29, 2015

A woman has called travel agents requesting tickets for same/next day travel. She advised that she is buying tickets for relatives to travel immediately because of a family emergency, such as a heart attack or a funeral. Additionally, she states that her brother may also call tomorrow to get tickets. Although this scenario may sound like a legitimate request for immediate departures, the fraudster is actually purchasing tickets for his/her passengers using compromised credit cards. They pocket all the money collected from their clients leaving you to pay for the chargebacks after the real cardholder denies the charges.

How can you identify and prevent fraud?

  • Establish a company policy that requires an unknown/local customer to come to the agency for a manual credit card imprint and original cardholder signature
  • Verify the cardholder's identity (Original Driver's license, ID card, etc.)
  • Verify local addresses and telephone numbers by using internet research (i.e., reverse address or telephone searches)
  • Call the phone number(s) given (calls go unanswered or the phone is now disconnected)
  • Use ARC's Red Flags list to assist in determining the risk of issuing the ticket*

If you suspect such a scheme and want assistance to assess the risk, contact ARC's fraud prevention team to at 855-358-0393, 703-816-8137 or fifp@arccorp.com.

* Everyone can sign up to receive a copy of ARC's Red Flags (and future fraud alerts) via return email by completing the sign-up box on the left side of this page.

About ARC:
ARC powers the U.S.-based travel industry with premier business solutions, travel agency accreditation services, process and financial management tools, and powerful data analytics. In 2014, ARC settled $89.6 billion worth of carrier ticket transactions for more than 9,400 travel agencies with 13,000 points of sale. By providing world-class business services and products, ARC enables participating agencies and 200 carriers to focus on what's important–increasing their revenue. Established in 1984, ARC is headquartered in Arlington, Virginia. For more information, please visit www.arccorp.com.