PayMongo utilizes multiple ways to protect our merchants. We use an advanced machine-learning-based risk engine, implement internal risk parameters and manually review transactions. In some cases, we also reach out to the merchants to require further details or documents that can help us check the legitimacy of a transaction.
We use the data that goes through our system to calculate the risk levels of each transaction. However, merchants are encouraged to conduct due diligence, if deemed necessary (e.g., risky transactions, huge ticket sizes, suspicious customer behavior) since it is largely their responsibility to interact with their customers directly.