Automated Clawback for Referral Fraud Prevention

Automatically handle referral reward clawbacks when referred users cancel early:

  • Monitor referred user activity for 60-day qualification period
  • If referred user cancels within 60 days, automatically revoke referrer's reward
  • Adjust account balance and notify referrer of clawback with explanation
  • Prevent referral fraud and gaming of the system
  • Maintain audit trail of all clawback actions

This feature protects the integrity of referral programs by ensuring rewards are only given for legitimate, lasting referrals. Prevents abuse while keeping the process fair.

Who benefits:

  • Platform operators protecting referral program budgets
  • Honest referrers who aren't competing with fraudulent actors
  • Financial integrity of the reward system

Essential for running a sustainable referral program that rewards quality over gaming the system.