Feedzai taps social media data to prevent card fraud
11 February 2014 | 2020 views | 0
Feedzai, a big data science and software company that uses real-time, machine-based learning to prevent fraud, today announced its Social Connector™ software that lets banks and consumers use social media infrastructure to make commerce safer.
The new social connector enhances protection for financial institutions within omnichannel commerce, as social data is infused into Feedzai's fraud prevention software to better predict and prevent payment loss in real-time.
The Feedzai Social Connector for its Fraud Prevention That Learns™ technology offers a way for consumers to connect their social media accounts on Facebook, Twitter, Google+ or Yelp to their mobile banking applications. Consumers can privately check in with their financial institutions to alert their bank of activity and location, which allows for greater control of false positives, for example, while traveling or conducting out of character behavior.
"Consumers check in on Facebook over 1.8 million times a day, and some of that data can be helpful for authorizing financial transactions. I know first-hand that traveling internationally can be a huge red flag for authorizing transactions, and with this new connector, consumers can check in with their financial institutions before they travel to ensure they can continue to use their credit cards successfully on their trip," said Nuno Sebastiao, CEO of Feedzai. "This will also help banks further understand their customers' buying behavior, and reduce the number of flagged transactions that must be reviewed to provide better customer service."
An upcoming study, "2014 Consumer Reaction to Financial Data Breaches" conducted by Nielsen on behalf of Feedzai finds that two in five consumers (40 percent) would be willing to privately connect with their banking institution on Facebook in order to safeguard their money.
"By adding a financial institution to their circle of trust within a social network and as long as the communication is private, it will help to ensure that consumers will have seamless experiences while shopping, wherever they are on the channel they choose," continued Sebastiao.
Feedzai's Fraud Prevention Software That Learns™ utilizes machine learning to predict and prevent payment loss in real time based on behavioral analysis and understanding the way consumers behave when they make purchases. The software uses big data to create profiles on each customer, merchant, location or POS device, with up to a three-year history of data behind it, helping acquirers, issues and retailers mitigate risk and preserve the customer experience.