Square Refunds on High Risk Transactions

Hello,

I wanted to make everyone aware of a new security feature with online orders PROCESSED BY SQUARE. For 99% of potential fraudulent transactions, Square will automatically decline the payment. However, sometimes Square does accept the payment but flags the transaction as "HIGH RISK". Unfortunately, this flag doesn't happen until AFTER PAYMENT has been received. Effective immediately, our online ordering platform will be issuing refunds immediately after a payment has been flagged as HIGH RISK and notifying the customer that an alternative payment method is required.

Here is Square's statement about HIGH RISK transactions.

What does this mean to you? Probably not much. As of March 2020, we've had 36,569 online orders processed by Square. Only 70 have been identified as HIGH RISK.

If a transaction is refunded you will receive an email from Square that a transaction has been refunded. However, you won't be aware of the transaction as it was never processed as a paid order.

As always, reach out with any questions.

Bret & Colleen