Mastercard has announced it will release an anti-fraud product May, designed for global e-commerce merchants to assess transactions on cards issued by US-based financial organisations. Entitled the ‘Expert Monitoring Solutions Fraud Scoring for Merchants’, the solution is designed to measure the likelihood of a fraudulent online transaction in real time using algorithms “specifically for eCommerce merchants.”
According to the statement issued by MasterCard: “These models leverage a greater amount of customer transaction history to create a more accurate fraud score”. The product, which will have a flat rather than subscription-based fee, is essentially an update of the ‘Expert Monitoring Solutions Fraud Scoring’ product released in 2010.
The the need for the product was driven by the increased sophistication of online fraudsters. Jonah Gerber, the group head of MasterCard Worldwide’s Global Network Products said: “Our new tool allows acquirers and their participating merchants to look at the potential for fraud in a transaction in real time, and integrate the data into any existing fraud detection solution.
This helps increase accuracy in fraud detection, and helps to reduce the bottom-line impact of fraud.” MasterCard did not reveal how many enterprise-customers currently use the product what it defined as “high-risk transactions”. However, in its statement it claimed that the results of simulations it had conducted showed online merchants could save 15-30% on fraud loss.