Fraud detection engine and method of using the same
AssigneeNetcracker Technology Solutions Inc.
InventorsPhillip Geoffrey Claridge, Alastair David Hanlon, Marian Hatfield
Life of this patent
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Abstract
A fraud detection system and method uses unique indicators for detecting fraud that extend beyond traditional transaction-based indicators. These unique indicators may include environmental information about a customer or a transaction. Such indicators may be used to identify fraud events based on computer-executable instructions that evaluate fraud risk. Further, an improved fraud detection system may include a learning component with a feedback loop. Also, authenticating and other information may be directed to the system for updating indicating data, fraud models, and risk assessments.
Claims15
A computer-readable medium including computer-executable instructions to perform the following method steps:
- (a) storing indicators for identifying fraudulent events related to a customer account;
- (b) defining one or more fraud models based on the indicators, wherein the one or more fraud models describe events indicative of fraudulent activity;
- and
- (c) determining that an event is likely fraudulent, wherein the act of determining comprises:
- (i) comparing the event to the one or more fraud models;
- and
- (ii) verifying that the event exceeds a threshold for similarity between the event and the one or more fraud models.
A fraud detection system comprising:
- (a) a first computer-readable data storage including a first set of computer-executable instructions programmed to store indicators associated with a customer account, wherein the indicators comprise customer environmental information and are used to identify an event as likely fraudulent;
- (b) a second computer-readable data storage including a first set of computer-executable instructions programmed to define one or more fraud models, wherein the one or more fraud models are based on the indicators and are indicative of fraud;
- (c) a third computer-readable data storage including a set of computer-executable instructions programmed to establish a communication link with an authorized user of the customer account;
- (d) a fourth computer-readable data storage including a set of computer-executable instructions programmed to authenticate the authorized user;
- (e) a fifth computer-readable data storage including a set of computer-executable instructions programmed to receive information from the authorized user and update the one or more fraud models with the received information.
Dependencies are inferred from the claim text.