Paypal Carding.txt -

: Merchants are often charged for every transaction attempt, even declined ones.

: These ensure that automated scripts cannot easily send rapid-fire payment attempts.

: Services like PayPal’s Carding Prevention Module use hundreds of data points to identify and block risky transactions in real-time before they even reach the processor. What is carding and how can I prevent it? - PayPal

: If a fraudulent transaction succeeds and is later disputed by the real cardholder, the merchant loses the funds and pays additional chargeback fees.

To combat these evolving threats, businesses should implement a layered defense:

: Once a card is validated, it is either resold at a higher price or used to buy physical goods and gift cards, which are then liquidated for "clean" money. The Impact on Businesses