An American Express-sponsored coalition of Internet merchants and payment processors has come together to form the Worldwide E-Commerce Fraud Prevention Network (www.merchantfraudsquad.com), with the goal of reducing Internet-based card crime.
The US-based network includes merchants buy.com, Expedia.com, Starwood Hotels and Ventro Corporation, and card processors and EFT providers, Paymentech, First Data Corp, and ClearCommerce.
One of the group's chief aims will be to share fraud prevention information and best practices in order to improve Web security and decrease the costs associated with fraud. It has hired Gartner Group to research and evaluate current and future fraud prevention solutions and to provide members with quarterly white papers on specific fraud prevention topics.
American Express has agreed to fund the coalition's activities during its first year.