Multi-stage filtering for fraud detection with customer history filters
A multi-stage filtering process and system for fraud detection is disclosed. The process includes one or more preliminary filtration stages followed by one or more additional filtration stages that may include customer history filters that provide for enhanced screening for fraudulent activity. Over a plurality of transactions, a portion of the transactions are cleared for processing (e.g., deemed not likely fraudulent or of too low value to continue processing) after each filtration stage. As such, acceptable transactions are not unnecessarily scrutinized.
1. A method for multi-stage filtering of a customer's one or more financial transactions for fraud detection, the method comprising:
receiving financial transaction data associated with the one or more financial transactions, each transaction related to one or more customer financial accounts;
executing, via a computing device processor, a first stage fraud filtration on the one or more financial transactions, the first stage fraud filtration evaluating one or more first stage attributes of the one or more financial transactions;
determining from the first stage fraud filtration that a transaction in the one or more transactions is potentially fraudulent;
when the transaction is determined to be potentially fraudulent based on the first stage fraud filtration, retrieving customer history data for the customer, wherein the customer history data is a historical pattern in financial transactions related to at least one account of the customer;
executing a second stage fraud filtration on the potentially fraudulent transaction in response to the first stage fraud filtration determining that the transaction is potentially fraudulent, wherein the second stage fraud filtration comprises comparing attributes of the potentially fraudulent transaction with the historical pattern, the second stage fraud filtration being configured to evaluate one or more second stage attributes, the one or more second stage attributes comprising the customer history data; and
determining whether the potentially fraudulent transaction is likely fraudulent based at least in part on the second stage fraud filtration.
2. The method of claim 1 , further comprising executing at least a third stage fraud filtration.
3. The method of claim 2 , wherein the third stage fraud filtration is executed after the second stage fraud filtration.
4. The method of claim 2 , wherein the third stage fraud filtration is executed before the second stage fraud filtration.
5. The method of claim 1 , wherein the one or more first stage attributes does not include customer history data.
6. The method of claim 1 , wherein the second stage fraud filtration is the final filtration stage in the multi-stage filtering method.
7. The method of claim 6 , further comprising generating a fraud alert following the second stage fraud filtration.
8. The method of claim 1 , further comprising generating a fraud alert.
9. The method of claim 1 , further comprising declining one or more financial transactions based at least in part on the first stage fraud filtration evaluation and the second stage fraud filtration evaluation.
10. The method of claim 1 , wherein the one or more first stage attributes, the one or more second stage attributes, or one or more third stage attributes of a third stage fraud filtration comprise velocity data.
11. The method of claim 1 , wherein the one or more first stage attributes, the one or more second stage attributes, or one or more third stage attributes of a third stage fraud filtration comprise non-monetary account change data.
12. The method of claim 1 , wherein each financial transaction is either processed following a fraud filtration stage or proceeds to the next fraud filtration stage.
13. The method of claim 12 , wherein financial transactions are only declined, if at all, following the final fraud filtration stage in the multi-stage fraud filtration method.
14. A method for multi-stage filtering of a customer's one or more financial transactions for fraud detection, the method comprising:
receiving financial transaction data associated with the one or more financial transactions, each transaction related to one or more customer financial accounts;
executing, via a computing device processor, a preliminary fraud filtration on the one or more financial transactions, the preliminary fraud filtration evaluating one or more preliminary attributes of the one or more financial transactions;
determining from the preliminary fraud filtration that a transaction in the one or more transactions is potentially fraudulent;
when the transaction is determined to be potentially fraudulent based on the preliminary fraud filtration, retrieving customer history data for the customer, wherein the customer history data is a historical pattern in financial transactions related to at least one account of the customer;
evaluating the potentially fraudulent transaction in response to the preliminary fraud filtration determining that the transaction is potentially fraudulent, wherein the evaluating comprises comparing attributes of the potentially fraudulent transaction with the historical pattern utilizing a multi-stage filtration platform, the multi-stage filtration platform being configured to evaluate one or more multi-stage attributes of the financial transactions, the one or more multi-stage attributes comprising customer history data; and
determining whether the potentially fraudulent transaction is likely fraudulent based at least in part on the evaluation of the multistage filtration platform.
15. The method of claim 14 , wherein the one or more preliminary attributes does not include customer history data.
16. The method of claim 15 , further comprising generating a fraud alert following the evaluation utilizing the multi-stage filtration platform.
17. The method of claim 14 , further comprising declining one or more financial transactions based on the preliminary fraud filtration evaluation and the multi-stage filtration platform evaluation.
18. The method of claim 14 , wherein the one or more preliminary attributes or the one or more multi-stage attributes comprise velocity data.
19. The method of claim 14 , wherein the one or more preliminary attributes or the one or more multi-stage attributes comprise non-monetary account change data.
20. The method of claim 14 , wherein each financial transaction is either processed following the preliminary fraud filtration or proceeds to the multi-stage fraud filtration platform.
21. The method of claim 14 , wherein financial transactions are only declined, if at all, following the evaluation utilizing the multi-stage fraud filtration platform.
22. The method of claim 14 , wherein the preliminary fraud filtration is executed utilizing a pre-existing fraud filtration platform and the multi-stage filtration platform is utilized to further filter transactions that the pre-existing fraud filtration platform evaluation determines are likely fraudulent or should otherwise be declined.
23. An apparatus for fraud analysis of a customer's one or more financial transactions, the apparatus comprising:
a computing platform including a memory and at least one processor in communication with memory;
a multi-stage fraud filtration platform stored in the memory, executable by the processor and configured to:
receive financial transaction data associated with the one or more financial transactions, each transaction related to one or more customer financial accounts;
execute a first stage fraud filtration on the one or more financial transactions, the first stage fraud filtration evaluating one or more first stage attributes of the one or more financial transactions;
determine from the first stage fraud filtration that a transaction in the one or more transactions is potentially fraudulent;
when the transaction is determined to be potentially fraudulent based on the first stage fraud filtration, retrieve customer history data for the customer, wherein the customer history data is a historical pattern in financial transactions related to at least on account of the customer;
execute a second stage fraud filtration on the potentially fraudulent transaction in response to the first stage fraud filtration determining that the transaction is potentially fraudulent, wherein the second stage fraud filtration comprises comparing attributes of the potentially fraudulent transaction with the historical pattern, the second stage fraud filtration being configured to evaluate one or more second stage attributes, the one or more second stage attributes comprising customer history data, and
determine whether the potentially fraudulent transaction is likely fraudulent based at least in part on the second stage fraud filtration.
24. The apparatus of claim 23 , wherein the multi-stage fraud filtration platform is further configured to execute at least a third stage fraud filtration.
25. The apparatus of claim 24 , wherein the third stage fraud filtration is executed after the second stage fraud filtration.
26. The apparatus of claim 24 , wherein the third stage fraud filtration is executed before the second stage fraud filtration.
27. The apparatus of claim 23 , wherein the one or more first stage attributes does not include customer history data.
28. The apparatus of claim 23 , wherein the second stage fraud filtration is the final filtration stage in the multi-stage filtering platform.
29. The apparatus of claim 23 , wherein the multi-stage fraud filtration platform is further configured to generate a fraud alert.
30. The apparatus of claim 23 , wherein the multi-stage fraud filtration platform is further configured to decline one or more financial transactions based at least in part on the first stage fraud filtration evaluation and the second stage fraud filtration evaluation.
31. The apparatus of claim 23 , wherein the one or more first stage attributes, the one or more second stage attributes, or one or more third stage attributes of a third stage fraud filtration comprise velocity data.
32. The apparatus of claim 23 , wherein the one or more first stage attributes, the one or more second stage attributes, or one or more third stage attributes of a third stage fraud filtration comprise non-monetary account change data.
33. The apparatus of claim 23 , wherein the multi-stage fraud filtration platform is further configured to decline a financial transaction, if at all, only following the final fraud filtration stage in the multi-stage fraud filtration platform.
34. A computer program product for mult-stage filtering of a customer's one or more financial transactions for fraud detection, the computer program product including a non-transitory computer-readable medium, the medium comprising instructions for:
receiving financial transaction data associated with the one or more financial transactions, each transaction related to one or more customer financial accounts;
executing a first stage fraud filtration on the one or more financial transactions, the first stage fraud filtration evaluating one or more first stage attributes of the one or more financial transactions;
determining from the first stage fraud filtration that a transaction in the one or more transactions is potentially fraudulent;
when the transaction is determined to be potentially fraudulent based on the first stage fraud filtration, retrieving customer history data for the customer, wherein the customer history data is a historical pattern in financial transactions related to at least one account of the customer;
executing a second stage fraud filtration on the potentially fraudulent transaction in response to the first stage fraud filtration determining that the transaction is potentially fraudulent, wherein the second stage fraud filtration comprises comparing attributes of the potentially fraudulent transaction with the historical pattern, the second stage fraud filtration being configured to evaluate one or more second stage attributes, the one or more second stage attributes comprising the customer history data; and
determining whether the potentially fraudulent transaction is likely fraudulent based at least in part on the second stage fraud filtration.
35. The computer program product of claim 34 , wherein the medium further comprises instructions for executing at least a third stage fraud filtration.
36. The computer program product of claim 35 , wherein the third stage fraud filtration is executed after the second stage fraud filtration.
37. The computer program product of claim 35 , wherein the third stage fraud filtration is executed before the second stage fraud filtration.
38. The computer program product of claim 34 , wherein the one or more first stage attributes does not include customer history data.
39. The computer program product of claim 34 , wherein the second stage fraud filtration is the final filtration stage.
40. The computer program product of claim 34 , wherein the medium further comprises instructions for generating a fraud alert.
41. The computer program product of claim 34 , wherein the medium further comprises instructions for declining one or more financial transactions based at least in part on the first stage fraud filtration evaluation and the second stage fraud filtration evaluation.
42. The computer program product of claim 34 , wherein the one or more first stage attributes, the one or more second stage attributes, or one or more third stage attributes of a third stage fraud filtration comprise velocity data.
43. The computer program product of claim 34 , wherein the one or more first stage attributes, the one or more second stage attributes, or one or more third stage attributes of a third stage fraud filtration comprise non-monetary account change data.
44. The computer program product of claim 34 , wherein the medium further comprises instructions for only declining financial transactions, if at all, following the final fraud filtration stage.