# US 2019/0318358 A1 · System and methods for assessing risk of fraud in an electronic transaction

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- Number: US 2019/0318358 A1
- Document ID: US20190318358A1
- Status: Published application
- Kind: A1
- Application number: 15/950,826
- Filed: 2018-04-11
- Published: 2019-10-17
- Earliest claimed: 2018-04-11
- Assignees: Wells Fargo Bank, N.A.
- Applicants: Wells Fargo Bank, N.A.
- Inventors: Kelley A. Chamberlain; David J. Dietrich; Michael Knorr; Robert L. Kosicki; Valeria J. Gray-Lindsey; Duane F. Lindquist; Michael Mangieri; Maria V. Marmolejos; Jacqueline A. Monteferrario; Yonesy F. Nunez; Leonard J. Valentino
- Web page: https://patentgrep.com/patent/US20190318358A1

## CPC

- G06Q 20/4016: {involving fraud or risk level assessment in transaction processing}
- G06Q 20/3223: {Realising banking transactions through M-devices}
- G06Q 20/4014: {Identity check for transactions}
- G06Q 40/08: Insurance
- H04W 4/02: Services making use of location information
- H04W 4/12: Messaging; Mailboxes; Announcements
- G06Q: INFORMATION AND COMMUNICATION TECHNOLOGY [ICT] SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES; SYSTEMS OR METHODS SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES, NOT OTHERWISE PROVIDED FOR
- H04W: WIRELESS COMMUNICATION NETWORKS (broadcast communication H04H; communication systems using wireless links for non-selective communication, e.g. wireless extensions H04M1/72)

## Abstract

A computing system includes one or more processors and one or more computer-readable storage media communicatively connected to the one or more processors and having instructions stored thereon that, when executed, causes the one or more processors to receive a request from a user device to initiate an electronic transaction to a beneficiary, identify a risk associated with the beneficiary, calculate a risk score for the electronic transaction based on the risk, transmit a notification to the user device, wherein the notification causes display of one or more mitigation activities for reducing the risk, receive data from the user device associated with the one or more mitigation activities, compare the data with information corresponding to the beneficiary stored in a data store, recalculate the risk score based on the comparison, and transmit an electrical signal to the user device to cause the display of a result of the recalculation.

## Claims

### Claim 1

A computing system comprising:
one or more processors; and
one or more computer-readable storage media communicatively coupled to the one or more processors and having instructions stored thereon that, when executed by the one or more processors, cause the one or more processors to:
provide an electronic transfer application to a user for installation on a user device;
receive a request from the user device to initiate an electronic transaction to a beneficiary;
identify a risk associated with the beneficiary;
calculate a risk score for the electronic transaction based on the risk;
transmit a notification associated with the electronic transaction over a wireless communication channel to the user device, wherein the notification activates the electronic transfer application to cause display of a dashboard on the user device, the dashboard indicating the risk associated with the electronic transaction and one or more mitigation activities for reducing the risk;
receive data from the user device associated with the one or more mitigation activities;
compare the data associated with the one or more mitigation activities with information corresponding to the beneficiary stored in a data store;
recalculate the risk score based on the comparison; and
transmit an electrical signal to the user device over the wireless communication channel to cause the electronic transfer application to display a result of the recalculation.

### Claim 2 (depends on 1)

The system of claim 1, wherein the electronic transaction corresponds to an electronic payment or an electronic transfer of funds from the user to the beneficiary.

### Claim 3 (depends on 2)

The system of claim 2, wherein the identifying of the risk comprises:
analyzing transactional history data stored in the data store to identify if there are one or more previous electronic transactions corresponding to the beneficiary; and
in response to determining that there are no previous electronic transactions corresponding to the beneficiary, determining that the beneficiary is an unknown beneficiary.

### Claim 4 (depends on 2)

The system of claim 2, wherein the identifying of the risk comprises:
analyzing a geographical location corresponding to the beneficiary; and
determining from data stored in the data store that the geographical location is associated with fraudulent activity.

### Claim 5 (depends on 1)

The system of claim 1, wherein the one or more mitigation activities comprises contacting the beneficiary to verify the beneficiary's account and routing number using contact information from a reliable source.

### Claim 6 (depends on 5)

The system of claim 5, wherein the receiving of the data associated with the one or more mitigation activities comprises automatically accessing call records or email records stored on the user device to identify the data.

### Claim 7 (depends on 5)

The system of claim 5, wherein the receiving of the data associated with the one or more mitigation activities comprises receiving call records or email records that have been uploaded via the user device.

### Claim 8 (depends on 1)

The system of claim 1, wherein the one or more mitigation activities comprises uploading transactional data corresponding to a previous transaction with the beneficiary from a different provider institution.

### Claim 9 (depends on 1)

The system of claim 1, wherein the one or more mitigation activities comprises establishing a pre-note with the beneficiary.

### Claim 10 (depends on 1)

The system of claim 1, further comprising:
offer, on the dashboard, fraud insurance for the electronic transaction when the risk score calculated based on the risk is between a first threshold value corresponding to a minimum level of risk that would make the fraud insurance appealing to the user and a second threshold value corresponding to a maximum level of acceptable risk to insure the electronic transaction;
calculate a premium to purchase the fraud insurance based on the risk score calculated based on the risk; and
adjust the premium based on the recalculated risk score.

### Claim 11

A method comprising:
providing, by one or more processors of a computing system, an electronic transfer application to a user for installation on a user device;
receiving, by the one or more processors, a request from the user device to process an electronic transaction to a beneficiary;
identifying, by the one or more processors, a risk associated with the beneficiary;
calculating, by the one or more processors, a risk score for the electronic transaction based on the risk;
transmitting, by the one or more processors, a notification associated with the electronic transaction over a wireless communication channel to the user device, wherein the notification activates the electronic transfer application to cause display of a dashboard on the user device, the dashboard indicating the risk associated with the electronic transaction and one or more mitigation activities for reducing the risk;
receiving, by the one or more processors, data from the user device associated with the one or more mitigation activities;
comparing, by the one or more processors, the data associated with the one or more mitigation activities with information corresponding to the beneficiary stored in a data store;
recalculating, by the one or more processors, the risk score based on the comparison; and
transmitting, by the one or more processors, an electrical signal to the user device over the wireless communication channel to cause the electronic transfer application to display a result of the recalculation.

### Claim 12 (depends on 11)

The method of claim 11, wherein the electronic transaction corresponds to an electronic payment or an electronic transfer of funds from the user to the beneficiary.

### Claim 13 (depends on 12)

The method of claim 12, wherein the identifying of the risk comprises:
analyzing, by the one or more processors, transactional history data stored in the data store to identify if there are one or more previous electronic transactions corresponding to the beneficiary; and
in response to determining that there are no previous electronic transactions corresponding to the beneficiary, determining, by the one or more processors, that the beneficiary is an unknown beneficiary.

### Claim 14 (depends on 12)

The method of claim 12, wherein the identifying of the risk comprises:
analyzing, by the one or more processors, a geographical location corresponding to the beneficiary; and
determining, by the one or more processors, from data stored in the data store that the geographical location is associated with fraudulent activity.

### Claim 15 (depends on 11)

The method of claim 11, wherein the one or more mitigation activities comprises contacting, by the user device, the beneficiary to verify the beneficiary's account and routing number using contact information from a reliable source.

### Claim 16 (depends on 15)

The method of claim 15, wherein the receiving of the data associated with the one or more mitigation activities comprises automatically accessing, by the one or more processors, call records or email records stored on the user device to identify the data.

### Claim 17 (depends on 15)

The method of claim 15, wherein the receiving of the data associated with the one or more mitigation activities comprises receiving, by the one or more processors, call records or email records that have been uploaded via the user device.

### Claim 18 (depends on 11)

The method of claim 11, wherein the one or more mitigation activities comprises uploading, by the user device, transactional data corresponding to a previous transaction with the beneficiary from a different provider institution.

### Claim 19 (depends on 11)

The method of claim 11, wherein the one or more mitigation activities comprises establishing, by the user device, a pre-note with the beneficiary.

### Claim 20 (depends on 11)

The method of claim 11, further comprising:
offering, by the one or more processors, fraud insurance for the electronic transaction when the risk score calculated based on the risk is between a first threshold value corresponding to a minimum level of risk that would make the fraud insurance appealing to the user and a second threshold value corresponding to a maximum level of acceptable risk to insure the electronic transaction;
calculating, by the one or more processors, a premium to purchase the fraud insurance based on the risk score calculated based on the risk; and
adjusting, by the one or more processors, the premium based on the recalculated risk score.

### Claim 21

A non-transitory computer-readable medium having processor-readable instructions stored thereon such that, when executed by a processor, cause the processor to:
provide an electronic transfer application to a user for installation on a user device;
receive a request from the user device to process an electronic transaction for an electronic payment or an electronic transfer of funds from the user to a beneficiary;
identify a risk associated with the beneficiary;
calculate a risk score for the electronic transaction based on the risk;
transmit a notification associated with the electronic transaction over a wireless communication channel to the user device, wherein the notification activates the electronic transfer application to cause display of a dashboard on the user device, the dashboard indicating the risk associated with the electronic transaction and one or more mitigation activities for reducing the risk;
in response to the risk score being between a first threshold value corresponding to a minimum level of risk that would make fraud insurance appealing to the user and a second threshold value corresponding to a maximum level of acceptable risk to insure the electronic transaction, calculate a premium for the fraud insurance based on the risk score;
receive data from the user device associated with the one or more mitigation activities;
compare the data associated with the one or more mitigation activities with information corresponding to the beneficiary stored in a data store;
recalculate the risk score based on the comparison;
adjust the premium based on the recalculated risk score; and
transmit an electrical signal to the user device over the wireless communication channel to cause the electronic transfer application to display an offer for the fraud insurance at the adjusted premium based on the recalculated risk score.