Overview

TxShield's Fraud Management system evaluates transactions for risk using a configurable set of local rules and third-party scoring providers. Fraud checks can run in two modes: embedded within a payment transaction or as a standalone check independent of any payment. Two Processing Modes 1. Embedded Fraud Check (Payment-Triggered) Fraud checks run automatically as part of processing a PAYMENT, PREAUTH, or AUTH transaction. If the transaction's threat score exceeds the configured threshold, the payment is declined before authorization is attempted. No separate API call is needed — the fraud evaluation is built into the transaction flow. 2. Standalone Fraud Check A fraud check can also be submitted on its own — without processing a payment — using the FRAUDCHECK action. This allows merchants to evaluate a cardholder's risk profile before committing to a transaction, or to use TxShield's fraud scoring as a decision layer in their own workflow. A standalone check accepts the same inputs as a payment (card details, billing/shipping address, email, IP, cart data) but produces only a risk result — no charge is made.[8:05 PM]Fraud Checks: Built-in vs. External Built-in checks (processed locally and immediately):

• Velocity — repeated identical transactions within a short window

• BIN validation and issuing country check

• GeoIP — IP location vs. billing/shipping address

• Transaction limits — daily/monthly caps by IP, email, or card

• Chargeback and decline history

• Card and IP whitelists/blacklists

• Repeat transaction detection across card, email, or phone

External risk provider checks (real-time third-party scoring):

• IP reputation, proxy/VPN/TOR detection

• Email validity and disposable email detection

• Phone number intelligence and risk scoring

• Identity verification across name, address, phone, and email

• Device fingerprinting and behavioral signals

• Order-level fraud scoring