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QualificationFAQ2 min readUpdated 2026-03-06

FAQ: How do I prevent referral fraud?

Referral Factory has several built-in protections against common referral fraud patterns.

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Referral Factory has several built-in protections against common referral fraud patterns.
Serious referral program software needs fraud controls that protect reward budgets as the program scales.
Qualification before reward. The most important protection is requiring leads to qualify before rewards are issued. By tying rewards to a real payment or conversion event, you ensure you never pay out for fake or recycled leads.
Duplicate handling. If a referral program uses a CRM integration with the duplicate setting set to "do nothing," leads who are already contacts in your CRM will never qualify. This prevents referrers from earning rewards by referring people who are already your customers.
reCAPTCHA. Referral Factory supports reCAPTCHA on the Referral Link Page to prevent bot submissions. Enable it in Campaign Settings → Advanced Settings.
Self-referral prevention. A referrer cannot submit their own email as a lead in the same campaign. The system blocks this automatically.
Reward delays. Adding a delay between qualification and reward issuance gives you time to catch refunds, chargebacks, or cancellations before any reward is sent.
IP monitoring. Each lead's IP address is recorded, making it easier to spot patterns like multiple submissions from the same IP.
Verification On Joining Campaign. On Pro plans and above, you can require referrers or leads to verify their email address via a short code before joining. This prevents fake sign-ups and ensures every participant has a valid email.
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