AI for Fraud Dispute

Ninad Kulkarni

Ranch Hand

Posts: 814

I like...

posted 4 years ago

Number of slices to send:

Optional 'thank-you' note:

Send

How AI will help to prevent fraudulent transactions?

SCJP 5.0 - JavaRanch FAQ - Java Beginners FAQ - SCJP FAQ - SCJP Mock Tests - Tutorial - JavaSE7 - JavaEE6 -Generics FAQ - JLS - JVM Spec - Java FAQs - Smart Questions

Campbell Ritchie

Marshal

Posts: 80124

416

posted 4 years ago

Number of slices to send:

Optional 'thank-you' note:

Send

Can you envisage an algorithm or features to identify a bona fide transaction?

Java 8 (verified skill)
Skill verified by Jeanne Boyarsky

Lucian Maly

Author

Posts: 90

I like...

posted 4 years ago

Number of slices to send:

Optional 'thank-you' note:

Send

Of course it can. As a matter of fact, it is a typical use case for ML. Two years ago, I worked on a project for a bank (one of the top 10 biggest banks in the world) and they had a ML pipeline that was able to detect outliers within 50 miliseconds.

I work @ Red Hat, Inc. but opinions are my own.

Alexey Grigorev

Greenhorn

Posts: 17

posted 4 years ago

Number of slices to send:

Optional 'thank-you' note:

Send

A typical way of detecting fraud is looking at anomalies:

- are there big sums of money moved around?
- are there many small transactions from linked accounts to some common place?
- were these accounts sleeping but then suddenly woke up and started to move money?

And things like that. A Machine Learning algorithm can detect such suspicious activity and flag transactions for futher analysis

Check this article for more details: https://tech.olx.com/detecting-fraud-rings-with-unsupervised-learning-554bedf29dbf

https://mlbookcamp.com/ - learn machine learning by doing projects
https://www.datatalks.club/ - let's talk about data!

We don't have time for this. We've gotta save the moon! Or check this out:

Smokeless wood heat with a rocket mass heater

https://woodheat.net