Hi Michael,

Your system is of course quite simplistic, but when you respect a few
elements could work (but don't forget to add a customer notification
email!). First of all, never send any private data through email, unless
you can use encrypted email (PGP etc.). Second, using a real database
(even something like MySQL) will give you more security and protection
in case of a crash, plus much more flexibity to handle
users/administrators, log orders, manage your catalog & inventory,
generate reports etc. etc. There are many examples and docs out there
how to set this up.

Unless you can live with charging a flatfee (or nothing) for shipping,
you can get the APIs or software for real time shipping calculation from
the web sites of the DHLs, UPS, USPS, FedEx etc. Tricky is sales tax in
some states in the USA. No, actually, it's a real mess, especially if
you are in New York State (depends on where its shipped to, so basically
you need to know all the applicable rates - and this is NOT nicely
organized by counties/cities).

Always assume that there will be lots and lots of people with very bad
(or plein stupid) intentions out there. It's absolutely common that
hackers use e-commerce sites to systematically place bogus orders solely
to check if the card is accepted (they'll later sell the info as "Fresh
and valid credit cards"). Since your system does not connect to a
payment gateway like authorize.net or verisign, you don't risk
horrendous charges right away, but a lot of hassles later. If you are
connected to a payment gateway, they'll charge you between $0.15 - $0.30
per attempt for processing fee. Multiply this by a few thousand "orders"
processed within a few hours....Outch. A few simple tricks can provide
easy help, like ALWAYS requiring at least a logged two or more step
process to place an order, creating individual form ids (with prevention
of submitting a form multiple times), solid email and phone number
syntax verification etc.. USPS also offers a realtime address
verification on their site, if you are in the USA.

Blocking according to IP addresses or cookies rarely helps. Hackers
easily circumvent this.


Also, as soon as you've processed an order, get rid of the credit card
info from the server, and never ask for the three digit code on the back
of the credit card (CVV2). While it's supposed to add additional
security (I doubt it by now) for telephone orders, its use is very
restricted for online use without a gateway. Without such an authorized
gateway, you basically can't use it at all.

All cc companies offer detailed information about their requirements on
their web sites. Visa's penalties for storing cc numbers and CVV2 codes
on an inproperly secured machine range from threatening you to cancel
your merchant account to $10.000 fine and more.

Finally, but that's more a business issue: If you come across an order
with different bill-to, ship-to address, no or invalid phone number and
funny looking yahoo email accounts (or similar), and -unfortunately-
almost all orders from Indonesia, ALWAYS double & triple check the
order. If a customer notification comes back to you as undeliverable,
drop the order. It's fraud. Payments originating certain countries
should always be made through Western Union or similar (cash).
Tragically, today any legal online transaction from Nigeria is a big
exception, and even "certified checks" often turn out to be falsified.
This can take several weeks to be verified and cleared, although most US
banks added the amount to your account earlier. If it turns out to be
fraud, they'll take it back even weeks later.

A client of mine (jewelry dealer) had over $400.000 in fraudulent orders
within a three month period. He had no losses, since he's used to it,
but it gives you an excellent idea how dangerous the situation is. In
case something goes wrong, don't count on Visa or Mastercard. You'll
ALWAYS be the one who has to eat the losses, even if they approved a
stolen card. Plus they will bill you a hefty sum for the chargeback and
downgrade your rating.

This is currently subject of a neat class-action lawsuit.


HTH,

Markus











-----Original Message-----
From: A mailing list for discussion about Sun Microsystem's Java Servlet
API Technology. [mailto:[EMAIL PROTECTED] On Behalf Of
Michael De Vorms
Sent: Wednesday, July 23, 2003 6:28 PM
To: [EMAIL PROTECTED]
Subject: Online Store


Hello I wish to set up a web site offering online purchasing.
I was thinking of setting up a system that takes the information from
the text boxes on the web site , over a secure connection, compiles the
information into a webpage on that secure server, sends me an email
telling me an order has been placed with the link. When I click the link
I can see the order form and manually do the order.

Can someone please tell me what they think of this? What would be a
better way?

Thanks alot, I am new to web-based shopping! I'm sure someone can help
me :)

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