By alphacardprocess July 10, 2025
The firearms industry has it tough when it comes to payment processing. Given the high-risk nature of the products sold, companies in this industry typically face higher levels of scrutiny, fewer options of processors and more regulations to comply with. But outside of regulatory concerns, there’s another issue merchants can’t ignore—the increase in payment fraud.
In recent times, the increasing incidence of BIN attacks and card testing fraud has rendered firearms operations increasingly targeted for cybercriminals. Using bots or scripts, fraudsters will try thousands of stolen card numbers on merchant websites to find some that are valid. With guns being in the “high risk” vertical, you could not only incur chargebacks and a loss of income on fraudulent transactions, but your merchant account can take a hit. You could be declined by the payment processor as they could shut down your account if your gun sales exceed a certain threshold.
Let us take a closer look at what BIN attacks and card-testing fraud are, why they make firearm businesses an easy target, and what you can do to safeguard your store.
Understanding BIN Attacks and Card-Testing Fraud
Let us understand both these terms and how they are creating fraud:
What Is a BIN Attack?
A BIN attack happens when hackers use the Bank Identification Number (BIN) – the first 6 digits of a credit or debit card – to attack financial institutions. These numbers specify the bank and type of card being used and its place of origin. With this data, fraudsters create numbers that could be valid and script automated scripts or bots to test them on merchant sites. The goal is to find active cards that can later be used for fraudulent purchases or sold on the dark web. While no actual items may be purchased during the attack, merchants still face processing fees and system overloads.
What Is Card-Testing Fraud?
Card-testing fraud is the act of entering small value transactions, often under $1, to see if a stolen card is still valid. After a successful check, the fraudster can go on to make big purchases with the card elsewhere or just sell it. These tests frequently go unnoticed, and particularly on websites with poor security practices in place. A lot of card-testing attempts are automated, so a merchant might receive hundreds or even thousands of failed or pending transactions over a short period.
Why the Firearm Industry Is Targeted?
The firearms industry is at risk for several reasons. Firearm purchases are usually high-dollar transactions so they are appealing to fraudsters who want to maximize the spending on a stolen card. Second, as a high-risk market, gun dealers may operate with minimal fraud prevention technology or outdated payment technology, making them slower to embrace state-of-the-art security capabilities. Finally, due to regulatory constraints and scrutiny, firearm businesses already face higher chargeback rates, which can be further worsened by unchecked fraud.
Together, these factors make firearm retailers a prime target for BIN attacks and card-testing fraud, making proactive prevention essential for business stability.
How These Attacks Impact Firearm Merchants?
Here is how these attacks impact firearm merchants and affect their overall operation:
Financial Damage
Financial loss is the first result of BIN attacks and card testing fraud. While many attempted fraudulent transactions are small, the numbers add up quickly — particularly when bots churn through hundreds or thousands of the testing pieces over a short period. Every rejected or unauthorized transaction may also include a processing fee, and should a charge succeed, you’re on the hook for chargeback fees, refund costs and, in some cases, fines. Worse still, they can freeze your merchant account, preventing you from doing any more business until you get everything cleared up. Such a disruption can be particularly harmful for firearms merchants who already face high-risk categorization.
Reputational Risks
Fraud doesn’t just affect your bottom line—it affects your brand. Consumers could get alerts to questionable transactions or even be charged for purchases they didn’t make. And that results into frustrate customers, bad reviews and customer-service headaches. If your site is perceived to be a target, it could damage trust in your brand, especially if customers assume that there will be tight controls on firearm-related purchases. In a competitive market, that loss of confidence can cost you more than just one sale.
Payment Processor Shutdowns
Payment processors are extremely cautious with firearms and payment facilitators due to the regulatory and reputational risks. If you are exposed to BIN attacks and frauds regularly, your payment processor might cut your service, they do not want to be working with anyone who is too risky to work with. This leaves you having to find another high-risk provider, usually at even higher rates, with more onerous terms. Keeping fraud at bay is not a “nice-to-have” — it’s critical to protecting your business relationships and keeping your business running.
Key Signs Your Firearm Site is Under BIN Attacks/Card Testing Attacks
If you notice unusual transaction behavior on your firearm website, it may signal ongoing BIN attacks or card-testing fraud. Here are the red flags to watch out for:
Spike in Small Transactions
One of the most prevalent indicators of card testing is an abrupt spike in low-value transactions, typically in the $1 to $5 range. It’s these tiny amounts they’re exploiting to silently, stealthily test card validity without alerting anyone. If too many of these charges appear in their checkout logs especially from unknown users it’s time to investigate.
High Decline Rate
A significant number of failed payment attempts, especially from card numbers in the same BIN range, is an indication of a live BIN attack. These tries happen as bots cycle through auto-generated card numbers in search of a hit. When your decline rate shoots up without a clear explanation, it’s a big warning signal.
International IP Addresses or VPN Usage
If your transaction logs show multiple attempts from unfamiliar countries or masked IP addresses using VPNs or proxy servers, it may indicate fraudulent activity. Most firearm retailers cater to specific regions or countries unusual geographic access should raise red flags.
Bot-Pattern Activity
Another obvious sign is bot-like behaviours with transaction attempts being less than a few milliseconds apart, or with the same timestamp. These aren’t normal patterns for human shoppers, and usually indicate that automated card testing scripts are scouring your site for vulnerabilities.
Being aware of these signs can help you act fast before the fraud takes a bite out of your bank account, disrupts business or prompts payment processor action.
Choosing a Firearm-Friendly Payment Processor with Fraud Tools
When operating in the world of guns and ammunition – the risk is high and having payment processing to take credit cards is not about convenience, it is about compliance, securing cardholder information, and preventing fraud. Legal and reputational pressures prevent many payment processors from allowing transactions like firearms. A dedicated processor means your business has the personalized fraud protection tools it needs built for high-risk industries.
Key Features to Look For
AGood gun-friendly payment processor should do more than approve—it should help stop BIN attacks and fraud before it ever hits your checkout. Look for:
- Live fraud analytics to identify suspicious transaction activity.
- BIN-blocking mechanisms to prevent known malicious card ranges.
- Pre-chargeback alerts and customer blacklisting tools so you can take action upfront before that chargeback flies.
- Velocity pin checks, to flag several sign up attempts from a single ip, bin, or card within a short time.
These capabilities give you the power to customize your fraud protections, while still maintaining the ability for legitimate buyers to transact without friction.
Mitigating Damage After an Attack
Even robust protections cannot prevent BIN attacks and card-testing fraud. Acting quickly is critical to reduce the damage and get your payment environment back up in good shape.
Immediate Actions
If you notice a flood wave of fraud, you could temporarily disable your checkout or payment form to stop any more from coming through. Contact your payment processor and gateway provider right away. They can also block suspect traffic, identify vulnerabilities, and even assist with real-time adjustments to fraud settings.
Investigate Logs & Patterns
Go through your transaction logs to look at any suspicious IP addresses, BIN ranges, timestamps or card issuer details. By recognizing patterns, you are better equipped to adjust filters and block future attacks.
Notify Affected Customers
If any unauthorized charges were made, and if any customer data was potentially exposed, inform affected users. Transparency demonstrates responsibility and shields your brand from more negative publicity. Make sure that you report the incident to your gateway and possible, your acquiring bank.
Conclusion
BIN attacks and card testing fraud are very real threats for gun shop owners. Such attacks can siphon off your income, destroy your brand and ultimately cost you payment processing. For high risk sectors such as firearms, unchecked fraud ripples can create long-lasting repercussions—like processor termination or frozen merchant accounts.
But the good news is: You can protect your business, with the right combination of technology, strategy and awareness. Working with a payment processor that is friendly to firearms, leveraging fraud tools in real time, training your staff and deploying layered protections keeps you one step ahead of the fraudsters.
In a highly regulated market, secure payment processing is not just a nice-to-have, it’s one of a handful of key support beams for customer trust, compliance and the ongoing health of your business.
Frequently Asked Questions
1. What is a BIN attack?
A BIN attack happens when criminals generate and test numerous card numbers on your site using first 6 digits of a card (Bank Identification Number).
2. Why are firearm merchants frequent targets?
Cyber criminals are drawn to firearms dealers because they have high transaction prices and only offer minimal fraud protection.
3. How can I tell if I’m under attack?
Be on the lookout for a rise in small transactions, higher rates of declines, or bot-like behavior.
4. Can my payment processor help stop attacks?
Yes, a firearm-friendly processor can offer tools like BIN-blocking, fraud filters, and custom rules.
5. What’s the best way to prevent future attacks?
Use layered security, update rules regularly, monitor activity, and train your staff to spot red flags.