Fraudulent charges
Understand why fraudulent charges happen and the steps you can take to protect your studio from card fraud.
Any business that accepts payments online can occasionally see fraudulent charges. Fraudsters constantly change their tactics, so a single charge — or a burst of them — can slip through even with strong protections in place. This page explains why fraud happens, how to spot it, and what to do when you find it.
Why fraudulent charges happen
Fraud shows up in many forms, and most of it has nothing to do with your studio specifically — online payments are simply a target. Here are the most common causes.
Signs you may be seeing fraud
A few patterns tend to signal fraudulent activity rather than normal sales:
- A burst of many small, rapid transactions in a short window — the classic carding pattern
- Unfamiliar client names or billing information that doesn't match the account
- A string of declines followed by a success on the same or similar cards
- Multiple purchases coming from brand-new accounts around the same time
Seeing one of these signs doesn't guarantee fraud, but it's a good reason to take a closer look.
How to protect your studio
Arketa processes all payments through Stripe, which includes built-in fraud detection (Stripe Radar). Radar screens transactions automatically and blocks many high-risk charges before they go through, so a layer of protection is always running behind the scenes. Beyond that, a few habits go a long way:
If you spot a charge you believe is fraudulent, refund it as quickly as possible. Refunding promptly reduces the chance the cardholder files a chargeback, which is more costly and time-consuming to resolve than a straightforward refund.
- Refund suspected fraud quickly. A fast refund closes out the charge before it can escalate into a dispute.
- Watch your payment reports for patterns. Review the All Payments, Failed Payments, and Disputed Payments reports for the warning signs above — especially clusters of small charges or repeated declines.
- Encourage account sign-in at checkout. Guest or walk-in online checkout is harder to verify. Where you can, prompt clients to sign in to an account so purchases are tied to a known profile.
- Contact Arketa support for sustained attacks. If you see an ongoing pattern of fraudulent attempts rather than a one-off charge, reach out to Arketa support so the team can help investigate and block the activity.
Stripe Radar runs automatically on every transaction — there's nothing you need to switch on inside Arketa to benefit from it. For questions about your specific Stripe account or additional protections, contact Arketa support.
What to do if you spot a fraudulent charge
If you find a charge you believe is fraudulent, act quickly:
Refund the transaction immediately
Open the client's profile, go to the Payments tab, find the charge, and issue a refund. See Refunds for the full process. Refunding right away limits your chargeback exposure.
Gather the details
Note the amount, date, card, and the client name or email tied to the charge. Keep this handy in case the charge later turns into a dispute and you need to reference it.
Reach out to Arketa support
Report the charge to Arketa support, especially if it's part of a larger pattern. The team can help you investigate and take steps to block further attempts.
Watch for a chargeback
A fraudulent charge can still result in a chargeback even after you refund it. Keep an eye on your Disputed Payments report and review Payment disputes so you know how the process works if one comes through.