If your client receives a suspicious transaction, they should...

The most appropriate action to take when a client receives a suspicious transaction is to contact the customer for verification. This allows the business to confirm the legitimacy of the transaction directly with the customer, ensuring that no misunderstandings occur and offering the customer an opportunity to clarify any potential confusion. Verifying with the customer can help prevent potential disputes and chargebacks, fostering a sense of trust and communication.

Refunding immediately could lead to unintended consequences, such as falsely accusing a legitimate customer of fraud or failing to resolve any underlying issues related to the transaction. It is essential to first confirm with the customer whether the transaction is indeed fraudulent or a misunderstanding. Reporting to authorities is another valid measure, but it usually follows internal verification processes to gather adequate details and evidence before escalating the matter further.

Thus, contacting the customer for verification is the first step in addressing suspicious transactions appropriately.