When Shopify Fraud Knocks: How to Respond Before It Escalates
Make it stand out
Fraud rarely announces itself loudly.
More often, it starts quietly.
A flagged order.
A familiar fake name.
A small charge that feels almost harmless.
And then another.
And another.
Recently, one of our eCommerce partners ran into exactly this kind of situation. Shopify flagged an order as high risk. The team did the right thing and canceled it. The customer disappeared. End of story, right?
Not quite.
The Pattern That Raises Red Flags
Shortly after the first canceled order, new accounts began appearing. The same buyer behavior, smaller purchases, multiple attempts. In this case, the fraudster even won a chargeback on a low-dollar item.
That's a classic signal.
This wasn't about the product. It was about testing the system.
Fraudsters often "dip their toes in the water," placing small orders across multiple accounts to see what they can get away with. If one card fails, they move on. If one account is blocked, they create another. The goal is speed and scale, not subtlety.
And while it feels alarming (because it is), it's also something we've seen many times before.
What Shopify Is Already Doing (and Why It Still Matters)
Here's the part that's often misunderstood. Creating multiple customer accounts does not bypass Shopify's built-in fraud detection.
Shopify correlates activity across:
IP addresses
Devices and browsers
Card fingerprints
Shipping and billing details
Behavior timing and patterns
So even when a fraudster spins up multiple accounts, Shopify is still connecting the dots behind the scenes.
In this case, every suspicious order was immediately flagged as high risk. That's exactly what you want to see.
The Right First Move: Slow Things Down
Our immediate recommendation was not to panic or overcorrect.
Instead:
Ensure high-risk orders are held for manual review
Continue canceling and refunding flagged transactions
Monitor account creation patterns closely
This alone often stops the damage. Fraud relies on speed. Shopify Manual review introduces friction, and friction is a powerful deterrent.
When Built-In Tools Aren't Enough
Shopify does a solid job out of the box, but some scenarios call for added protection, especially if suspicious behavior continues.
At that point, we typically evaluate apps and services that add more control and visibility, including:
Rules that block known fake names or suspicious email patterns
IP and country-based traffic restrictions
Automated defenses against repeated account creation
Apps like Blockify and Fraud Control can help teams proactively block bad actors before orders are even placed.
For brands that need enterprise-level protection and chargeback coverage, solutions like Signifyd provide a more robust, long-term safety net.
The key is not installing everything at once, but choosing the right level of defense for the actual risk.
The Human Side of Fraud (and Why It Matters)
Fraud is technical, but the stress it causes is very human.
When our client reached out to us about this issue, their concern wasn't just financial. It was the fear of what might come next. The feeling that someone was poking at their business, looking for weaknesses.
That's why we treat situations like this as high priority, even when they're not yet critical.
Our role isn't just to recommend tools. It's to:
Explain what's happening in plain language
Separate real risk from noise
Help teams feel confident, not reactive
Most importantly, it's to remind our partners they're not facing this alone.
What to Do If You're Seeing Similar Signs
If you're running a Shopify store and notice:
Repeated "high risk" orders
Multiple new accounts with similar behavior
Small test purchases followed by chargebacks
Pause. Review. Slow things down.
And if you're unsure whether your current setup is enough, that's the moment to bring in a partner who's seen this before.
Let's Get Ahead of It
Fraud isn't going away. But it doesn't have to run your day or keep you up at night.
If you're dealing with suspicious activity or want a second set of eyes on your Shopify setup, we're here to help you think it through calmly and strategically.
