Real-Time Fraud Protection System
FraudBlock™ SA is an isolated instance of FraudBlock that can serve either for real-time fraud protection or for background (near real-time) protection. The Standalone edition is meant to be installed independent from other systems, and does not require integration with an existing SWITCHWARE® or EZswitch® system. A turnkey solution that integrates seamlessly with almost any FI switch or card authorizing system used for debit/credit processing, FraudBlock SA is meant for customers who wish to license an isolated, standalone fraud protection solution.
Issuer-based transactions that pass through FraudBlock are tested against rules that identify, block, or warn of fraud taking place. The real-time mode provides online authorization decisions to identify and prevent fraudulent activity before it happens. The background mode accumulates historical data to identify fraudulent activities and patterns without making online authorization decisions.
The system’s architecture is flexible and highly parameterized. The intuitive user interface allows for easy performance of system configuration and management functions to be performed via client applications. The dynamic, rules-based nature of the system allows flexible tailoring for current and future business requirements. Real-time and background system monitoring functions are accomplished through electronic query facilities.
A Comparison of FraudBlock™ and FraudBlock SA
- Offers an integrated fraud blocking solution with SWITCHWARE®
- Real-time fraud protection rules for the issuing and acquiring modules in SWITCHWARE®
- Ease of setup and use with existing and new CSFi SWITCHWARE® systems
- 25+ real-time fraud rules for total protection
- Unlimited network denial rules for blocking various acquiring situations
FraudBlock™ StandAlone (SA)
- Works with almost any debit and credit issuing application
- A universal integration approach to real-time fraud protection
- Designed for customers using any type of switching or issuer processing system
- Does NOT require SWITCHWARE® to implement
- Same real-time issuer rules and network denial rules found in FraudBlock™
The demand for ATM and debit payment networks has grown considerably around the world. In 2016, Javelin Strategy & Research revealed the number of identity fraud victims increased by 3% (13.1 million consumers) in the United States, with a total of $15 billion stolen in identity-related fraud. The need for fraud protection has never been greater, and FraudBlock provides an easy-to-use, instantaneous, real-time solution that can:
- Block fraud at the cardholder level. FraudBlock can block, identify, or warn of fraud based on patterns used by the cardholder. For example, if a specific cardholder spends over a pre-determined amount in a given time period, FraudBlock can track that specific cardholder and treat future transactions as fraudulent.
- Block fraud In real-time and background. Many fraud solutions require card issuers to send transactions to the fraud protection system after they are already processed. However, FraudBlock inspects transactions as transaction processing is occurring which means fraud can be stopped before it happens.
- Block fraud using On-Demand Network Denial Rules. In addition to fraud rules, FraudBlock also allows card issuers to build network denial rules that can reject transactions based on a value in the ISO 8583 transaction message being sent by the EFT network. This highly flexible component provides immediate protection against a wide range of possible fraud attempts based on a combination of data elements sent from the EFT network. For example, a rule could be constructed to block all transactions from a particular state where a PIN value is not found in the transaction.
- Block fraud outside the country. FraudBlock can isolate fraudulent transactions that come from a specific country. If an issuer is receiving large transaction amounts or transaction frequency is high from a “risky” country; FraudBlock can monitor and block the transactions, notify the issuer, and modify the card statuses.
- Block isolated merchants or risky merchant categories. Where transaction frequency is high at a particular merchant, FraudBlock can identify the repetition occurring at the same merchant and block at the cardholder level. FraudBlock will permit card issuers to identify merchant categories as “risky,” and block or warn of transactions coming from a particular merchant category.
- Set the degrees of risk for each risky category. For countries, merchant categories and merchant ID, set the risky categories and rate them based on the degree of risk (e.g. high-risk, moderate-risk, low-risk, etc.).
- Copy or duplicate rules. Duplicate a specific fraud rule and then slightly modify the parameter to uncover unique fraud situations, or establish escalation criteria.
- Build Custom Rules. Fraudulent transactions are not always the same, and FraudBlock was built to evolve with the different fraud situations a card issuer faces. The system comes pre-loaded with more than a dozen rules, but card issuers can have custom rules built specific to their needs.