Fraud Screening

Fraud screening is a checking system that financial institutions use to detect and identify fraudulent transactions. The procedure helps reduce illicit credit and debit card operations. It eliminates manual reviews, minimises bad sales, and improves an organisation’s bottom line.

Fraud Screening Benefits

Fraud screening offers financial entities and businesses several benefits:

• Helps avoid chargebacks and fraud;
• Provides additional information about the individual making the transaction;
• Offers detailed risk analysis;
• Facilitates decision-making when payments are flagged;

What is Checked?

When fraud screening software reviews a transaction, it uses the submitted details with the payment to build a score. Each piece of information is processed individually and run against a set of rules. These are the most common fraud indicators:

• Email Address
  • Name of the email address
  • Email domain (Gmail, Yahoo, Hotmail)
• IP
  • Type of the IP address
  • Location of the IP address
• Phone Number
  • Type of the phone number (mobile or landline)
  • Is a phone number provided?
• Billing & Delivery Address
  • Are both addresses the same?
  • Has there been recent high spending at the addresses?
• Card Details
  • How often is the card being used?
  • How many different cards have been used?
• Transaction Value
  • Is the transaction high in value?
  • Is the transaction low in value?
• Historical Information
  • Have the elements mentioned above been used together before?
  • How long have the elements mentioned above been used together?
• Fraud Prevention Checks
  • Has the cardholder passed verification?
  • Do the address and postcode match the used card?