academy of risk management | innovate. collaborate. educate. fraud management solutions innovative...

Academy of Risk Management | Innovate. Collaborate. Educate.

Fraud Management SolutionsInnovative Products & Thought Leadership

©2011 MasterCard.Proprietary


Fraudulent use of payment cards remains a serious global problem costing over $5.55 Billion USD a year.

The Nilson Report,

Balancing the Many Costs of Fraud

With your profitability, reputation and customer satisfaction on the line, balancing the growth and risk in your portfolios requires constant vigilance to manage the many costs of fraud, including…

Financial loss

Reputation loss (measured by increased customer attrition and difficulty winning new customers)

Investment infraud technology



Build hostedsolutions for quick

deployment with minimal cost

Develop withbest-in-classtechnology

Leverage MasterCardrobust data assets and

global network

Create customer specific solutions for improved

decisions at POS

A One-Size-Fits-All Approachto Fraud Doesn’t Work

MasterCardPrinciples



Expert Monitoring represents MasterCard’s comprehensive transaction fraud monitoring solutions that address fraud using specific models to evaluate multiple risk dimensions.

EMS can be installed on your system or hosted by MasterCard.

Expert Monitoring Solutions

Risk specific scoring(fraud, credit, etc.)

Product specific(Corporate, Prepaid, all brands/products, etc.)

Geography specific(US, EU, AP, LAC, country, etc.)

Transaction specific(ATM, e-commerce, contactless, etc.)



Comprehensive Fraud Monitoring Solutions

Fraud Modeling• Segmented data-specific models developed using auth and fraud data • Network models designed specifically for your region/country/product• Custom models trained specifically to your data

Fraud Reporting• Fraud Operations Reporting via MasterCard OnLine Fraud Reporter • Benefit from the learnings of all MasterCard issuers transaction and fraud data

Fraud Scoring• Cooperative transaction scoring based on the likelihood of fraud• Patented behavior profiles of your cardholders • Leading artificial intelligence

Fraud Event Management• Full-featured, browser-based Event Management workstation

fully hosted by MasterCard



Expert Monitoring Provides a Real-Time Risk Assessment of Compromised Accounts

Comprehensive real-time insight into

compromised account risk within

the authorization request:

1. MCAlerts Case Number(s) under which the account has been exposed up to three unique cases for accounts compromised under multiple ADC events.

2. Type and Count of Exposed Account Data including MagStripe, PAN, PIN, CVC2, Personal Information and/or Expiration Date.

3. ADC Threat Score indicating the likelihood that fraud will occur on the account as a result of exposure to the compromise event(s).

Compromised Account Service

– Evaluates the events for compromised accounts within the last 3 years.

– Delivers in-depth insight in real-time during authorization for each account exposed under a compromise event.

– Provides a unique global risk assessment based on the collective behavior of all accounts from all issuers exposed in a specific compromise event.

– Predicts the threat of fraud in compromised accounts to determine if and when accounts should be re-issued.



PCI Merchant Education

Partnering with customers, service providers and merchants to:• Provide complimentary training and education

in person or via the web

• Increase awareness and promote adoption of PCI DSS

• Create recorded webcasts at: www.mastercard.com/pci360

PCI Merchant Education Program

Collaborate to achieve shared objectives with our customers.

http://www.mastercard.com/pci360



PCI Merchant Education ProgramDelivery Options

On-Site (OS)In-person training for acquiring bank members at designated locations. This option provides the best opportunity for high-contact interaction

Live Web Meeting (LM)Real-time online interface and teleconference. This option is ideal for presenting one to three modules and may be followed by Q&A sessions

On-Demand Webinar Series (WS)Pre-recorded content available through an online interface. This option is low-contact and can be viewed as the merchant’s schedule allows. www.mastercard.com/pci360

The education program offers several training options including:



The Academy of Risk Management

ARM Conferences:MasterCard Global Risk Management Conference Series– One of the world’s leading security conferences in the payments industry– Assembles industry leaders in the security and payments fields to explore

better methods to optimize the balance between opportunity and risk– Four global conferences in 2011

(Americas, APAC, Europe, Middle East/Africa)

ARM Training– ARM Training courses have been designed to provide the necessary skills

and knowledge to improve risk management– ARM offers several training platforms including classroom-style courses,

onsite instruction, webinars, and online courses

– Over 50 in-person courses delivered globally in 2011



Join Us Next Year

• 2012 Conferences

South Asia, Middle East & AfricaAmman, JordanMarch 5 - 8

www.mastercard.com/arm

The AmericasBoca Raton, FloridaMay 7 - 11

Asia PacificLocation & Dates: TBA

EuropeLocation & Dates: TBA

http://www.mastercard.com/arm



Resources

The Academy of Risk Managementwww.mastercard.com/arm

PCI 360www.mastercard.com/pci360

Payment Card Prevention Trainingwww.mastercardsecurity.com

PCI Councilwww.pcisecuritystandards.org

academy of risk management | innovate. collaborate. educate. fraud management solutions innovative...

Documents

fraud data fraud

costs of fraud

specific scoring fraud

fraud technology slide

mastercard slide

fraud data network models

compromised account

customer specific solutions