Fraud can be one of the biggest problems you will find with Shopify stores. Fraudulent orders can cause significant costs like lost inventory, chargebacks and bad reputation. Luckily, there is the Shopify fraud analysis. Depending on what Shopify plan you’re working with, there are two kinds of fraud analysis.

For those on the Basic Shopify plan, the analysis will include indicators and support for apps that can detect fraud. An excellent Shopify fraud app is this one here.

If you have Shopify Payments or any other Shopify plan, then you will also get fraud recommendations. These can be helpful in showing potentially fraudulent transactions before you take action.

Additionally, these plans often provide more advanced tools for tax management, which is crucial for preventing fraud related to tax evasion. For instance, they can help you correctly apply VAT rates for digital goods, ensuring compliance with tax regulations and accurate reporting.

However, to action these alerts and take on advice, you will need to know how to analyze the information on the fraud reports that Shopify gives you. So, here is a quick set of instructions to check that. Use other payment set ups to avoid fraud and have efficient payments.

Key Takeaways
1
Log in to your Shopify store to start the fraud analysis process.
2
Navigate to ‘Orders’ to find transactions with potential fraud risks.
3
Fraud Analysis section in orders reveals risk indicators and recommendations.

Step 1 - Login

Login to your Shopify store using your store credentials.

Step 2 - Orders

From the admin page, you need to head to the ‘Orders’ page.

Step 3 - Select the Order

Then you want to select the order that you want to review. All those that have a potential for fraud associated with them can be easily recognized, they will have an exclamation mark beside the order number.

It’s also important to note that you can create a collection for products that need tax override, which can help in identifying potentially fraudulent orders related to tax discrepancies.

Step 4 - View the Order Analysis

Within the order page, there is a section that is labeled ‘Fraud Analysis’. If you’re subscribed to the Basic Shopify plan, then there will a list of indicators as well as a button that invites you to view the full analysis at the bottom of the list.

If you’re using Shopify Payments or a higher plan than the Basic plan, then you will also see the recommendation for the fraud analysis. If you want to view the full analysis, you can simply click on the ‘View’ button at the bottom screen.

There might also be a section of notes from the third party fraud app that you’ve installed on your Shopify store. Have a read of the indicators and the recommendations. Then take whatever action you feel is necessary.

As part of your fraud analysis, review any available order history. Additionally, check for any staff comments on the discount timeline that are associated with the order, as these can provide valuable insights into potentially suspicious activity.