Credit card fraud management is elusive. Just as you create one line of defense, another hole pops up. This survey by the Federal Reserve Bank of Minneapolis covers various topics on fraud mitigation across the spectrum of financial service products, from bank cards to wire transfers.
While predictive fraud analytics, such as FICO Falcon are mainstays, it is interesting to note how important customer awareness is.
- 97% of banks surveyed agreed that providing online information services to view transactions is an effective fraud management tool.
On surprising number in the survey is the frequency of outsourcing card fraud management, which is done by two-thirds of responding issuers.
Flipping through the survey in the link above is worthwhile; for a quicker read, try this at Credit Union Times.
Overview by Brian Riley, Director, Credit Advisory Service at Mercator Advisory Group
Read the quoted story here