How to Use POS Software to Reduce Cases of Return Fraud
Return fraud refers to different forms of cheating that take advantage of a business' return policy. For instance, someone may buy a product, use it, and then return it for a refund. You can use point of sale (POS) software to reduce the magnitude of this problem in your retail store. This article suggests some ways to achieve that reduction of return fraud.
It Detects Fake Receipts
Some people who indulge in return fraud illegally access your receipt forms and use them to print fake receipts for goods they purportedly bought from your store. Those people can then present stolen items and ask for a refund. POS software can help to weed out such cases. This is because the system can print digital receipts against which you can crosscheck any receipt presented by a customer who has returned an item. The fake receipts will be exposed because they will not show up in the database of genuine receipts.
You Can Identify Serial Renters
There are people who have the habit of buying things, using them, and then returning them to the store for a refund. Such people are referred to as serial renters. The POS software can help you to track and identify such people. This is because the product returned can be traced back to the card or cheque of the buyer. The digital receipt discussed above facilitates this tracking process. Your staff can be justified to reject returned items from those serial renters.
It Can Reduce Cheque Fraud
Some customers use fake cheques to buy products. They return the products and ask for a refund. By the time you realise that the cheque was fake, the customer will be gone. This leaves you to incur the added cost of tracking and prosecuting that customer. You can link the cheque verification system with your POS system so that any cheque you receive is immediately screened for authenticity. This will alert you to any return fraud perpetrators that exploit the leeway that independent cheque verification systems of retail stores give them.
Point of sale systems have advanced beyond the basic function of printing purchase receipts. Use them for the additional function of saving your store from losses caused by people engaged in return fraud. Contact the supplier of your POS equipment and software for upgrades that can equip your current system with the capabilities above. If it is not possible to upgrade that system, acquire another one. The savings you make each time you foil a return fraud attempt will more than justify the expense of buying that better POS system.
For more information, contact a company like Austech Weighing Pty Ltd.