16th August 2023
Travel merchants acknowledge that the fraud detection and protection mechanism needs to act swiftly to avoid a situation where they end up with an alarming number of false signals and become a victim of fraudsters’ tactics.
A major concern, as always, is to ensure a fraudster’s attempt shouldn’t go unnoticed, whereas a genuine customer doesn’t end up being denied to pay for a transaction. This also means that action must be taken when an anomaly is spotted, not at the end of the session, say when a user is about to pay.
Progress has been made in the arena of dynamic detection and merchants must gear up and incorporate the same in their fraud prevention layer. Tools must be able to adapt in real-time to ensure the balance between the user experience (UX) and security isn’t disturbed during the booking flow and is rather optimized.
AI-driven fraud control
Take the case of account takeover (ATO)-related issues. This is where biometrics and digital fingerprinting come in.
The focus is on a shopper’s dynamic behavioural characteristics and interaction with a device. For a mobile device, the level of pressure exerted to the screen, the angle at which the device is held and the speed of finger movement etc. So the efficacy lies in understanding the actual behaviour to gauge subtle differences between a legitimate user and a fraudster.
As explained during Ai Events’ conferences, behavioural biometrics delivers continuous authentication. This means that data is continuously being collected in real-time. Via machine learning models, the data can be contrasted with behavioural patterns that may be indicative of fraud. A human fraud analyst can take charge and control the situation, and must assess how to make the most of a machine learning system with a rules-based approach.
Also read: 6 Ways Merchants Can Prevent Fraud: Fraud Prevention Steps
https://insights.discoverglobalnetwork.com/insights/six-ways-merchants-can-prevent-fraud
Hear from experts at the upcoming #ATPSAPAC, to be held in Bangkok, Thailand (22-23 August, 2023):
By Ritesh Gupta, Ai Events
