official statement
March 21, 2022
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In today’s fast-paced digital world, online transactions are a cornerstone of commerce — especially in the event industry. From music festivals to immersive experiences, millions of tickets are purchased online every day. But beneath the convenience lies a serious and growing problem: banks and credit card processors are failing to verify even the most basic customer details, and it’s putting public safety at risk.
What’s the Issue?
When a customer makes a purchase online, particularly for a ticketed event, you’d assume the transaction includes basic verification: confirming that the name, billing address, and email entered by the buyer match the details on file with the cardholder’s bank.
But in reality?
Many banks don’t actually check any of that.
If the credit card number, expiration date, and CVV are valid, the transaction often goes through — even if the name is fake, the address is incomplete, or the email is clearly fabricated (e.g., “john123@zombie.net“). This opens the door to fraudulent activity, identity masking, and in some cases, event access by individuals with bad intentions.
Why Does This Mat The Hidden Risk: How Banks Are Enabling Online Ticket Fraud by Skipping Basic Checkster for Events?
When banks and payment processors fail to enforce proper identity verification at the point of sale, it directly affects:
1. Event Security
People can use fake names and emails to buy tickets, making it nearly impossible for organizers to know who is actually attending. In high-capacity or age-restricted events, this lack of traceability creates serious security risks.
2. Fraud & Chargebacks
Fraudsters can use stolen card information to purchase tickets under fake identities. When the rightful cardholder disputes the charge, the event loses money — and the bad actor may have already entered the venue.
3. Emergency Situations
If something goes wrong during an event — a medical emergency, lost person, or legal issue — the lack of real, verified customer data can severely delay or obstruct response efforts.
Real Name Policies Mean Nothing Without Enforcement
As an event organizer, you may implement policies requiring real names and matching IDs at check-in. But if banks allow purchases tied to clearly fake information, you’re already at a disadvantage.
For example:
- A ticket is purchased using the name “Test User.”
- The billing address is “123 Fake Street.”
- The email is non-functional or disposable.
And yet — the transaction is approved.
That ticket is now in circulation, and the buyer may sell it, transfer it, or show up in person, completely anonymous.
What Needs to Change?
We need banks and processors to do better. At minimum, card-not-present transactions — like those for tickets — should:
- Require name and billing address verification (AVS) before approval
- Flag mismatched or blank fields for manual review
- Support merchant-level tools to reject orders with suspicious data
- Encourage or enforce 3D Secure (Verified by Visa / Mastercard SecureCode) for added identity checks
What Can Organizers Do in the Meantime?
Until the industry catches up, here’s how you can protect your event:
- Require post-purchase registration with ID upload tied to the ticket
- Manually flag orders with generic or suspicious names/emails
- Use non-transferable tickets for higher-risk events
- Communicate strict entry requirements (real ID, name match, no exceptions)
- Partner with ticketing platforms that offer identity verification tools
Final Thoughts
This isn’t just about fraud — it’s about safety, accountability, and creating a trusted experience for your attendees. When banks fail to enforce the most basic checks, they don’t just enable fraudulent charges — they compromise the integrity of live events.
If you’re in the industry, raise this issue with your payment processor, ticketing provider, and community. Change starts with awareness — and awareness starts with us.
