Shopify fraud detection
that explains every verdict.

Shopify fraud analysis: low, medium and high risk

Shopify's built-in fraud analysis rates orders as low, medium or high risk of a chargeback and shows fraud indicators such as AVS and CVV results, location mismatches and unusual device or network activity. According to Shopify's Help Center, indicators are available on the Basic plan and up, while recommendations ("Consider canceling this order") need the Grow plan or higher, or Shopify Payments. Shopify doesn't act on its own: you review flagged orders and decide whether to fulfill, contact the customer or cancel. Some order types, including subscription renewals, don't receive recommendations.

That is a solid baseline. Merchants add a fraud app when they need signals Shopify's view doesn't include, automation on top of the verdict, or a record that helps later if a dispute arrives anyway.

Fraud patterns Shopify stores see

• Stolen cards on first orders. A new customer, a high-value cart, express shipping and a billing address in one state shipping to another.
• Card testing. Many small orders or declines in a short window, often from data-centre IPs.
• Reshippers and drop addresses. Several unrelated buyers shipping to the same address within a day.
• Account takeover. An established customer account suddenly changes email, phone and shipping address at once.
• Triangulation fraud. A real customer's order paid with someone else's stolen card, so the shipping details look legitimate.
• Repeat offenders. Shoppers who charged back at other stores and try yours next.

What to look for in a Shopify fraud app

1. Explainable verdicts. You should see why an order scored high, not just a number.
2. Signals beyond the order. IP intelligence, device identity, velocity across orders, and history from other merchants.
3. Your rules, your actions. Tag, hold fulfillment, alert or flag, with control over thresholds.
4. No silent cancellations. Cancelling a good order loses a customer; automation should be opt-in.
5. Fits your volume and price. Check per-order limits and whether pricing is flat or per transaction.
6. Evidence afterward. The same record should help you answer a chargeback if one still arrives.

A simple review workflow

1. Let low-risk orders flow straight to fulfillment.
2. Send orders above your review score to a short queue checked daily.
3. Hold high-risk orders automatically until someone reviews them.
4. For borderline cases, contact the customer or ask for 3D Secure on a new payment.
5. Approve or cancel, and record the decision so the next order from the same buyer is easier.

How Verdikx helps

Verdikx is a fraud, chargeback and dispute platform for e-commerce and SaaS merchants, built by Verdikx LLC (New Jersey, United States). It installs as a Shopify app.

• Screening on every new order (Growth, $79/month, up to 10,000 orders a month). Orders get a 0 to 100 score with plain-English reasons, within a few minutes: Approved, Needs review (from 30 by default) or High risk (from 60). Signals include billing and shipping mismatches, buyer and IP velocity, disposable emails, order value against your store's own history (until Verdikx has 20 of your store's recent orders: a first-time customer's order at or over a fixed amount in USD, CAD, AUD, NZD, EUR, GBP or CHF), Shopify's fraud analysis, card-testing patterns, account-takeover changes, orders linked to earlier chargebacks, IP intelligence and the Verdikx Network. Missing data never counts for or against an order.
• Device signals. The Verdikx storefront pixel links repeat orders from one browser, with the shopper's analytics consent.
• Blocklists and Trusted lists. Block IPs and ranges, emails and domains, phones, addresses, card BIN and last four, or devices. Matches are held and tagged by default.
• Back in Shopify. Tags such as "Verdikx: review", notes and a risk level on the order.
• Risk rules and automatic holds (Pro, $199/month, up to 50,000 orders a month). Templates such as "Hold high-risk orders over $500" or "Hold orders from Tor or data-centre IPs over $200".
• Optional SEON signal (beta). With your own SEON key, SEON's verdict becomes one more signal.

What Verdikx does not do

• Verdikx never cancels an order on its own. With order screening (Growth and up), it holds risky Shopify orders and orders from customers you block, and you decide whether to cancel; a cancel is always yours, after a confirmation. Automatic refunds of pre-dispute alerts within your cap are a separate opt-in (Growth and up). Autopilot never accepts a dispute; you accept one only after a confirmation.
• It does not insure orders or reimburse chargebacks; it gives you a verdict and the evidence.
• A score is a signal, not proof. Some good orders will look risky, and you make the call.