Introduction to Fraud
What is fraud?
Fraud is any intentional act to deceive another party for financial gain. It can take many forms, such as theft, misrepresentation, or concealment of information.
In terms of credit cards, fraud refers to any unauthorized or illegal use of a credit card or credit card information to obtain goods, services, or cash.
This type of fraud involves using stolen or fake identities to apply for new credit cards
Fraud Application
What is the difference between Fraud and Dispute?
Fraud - Not authorized by Cardholder .. Card information compromised/stolen
Dispute - Authorized by the Cardholder -- Unsatisfactory charges
This type of fraud occurs when a cardholder’s information is copied and used to make purchases without the card’s Chip-and-PIN
Counterfeit Mass Compromise
What are the 3 Components of Fraud Triangle?
Pressure
Opportunity
Rationalization
It occurs when a fraudster gains unauthorized access to someone’s bank, credit card, or online account to steal money or personal information. What Fraud Type Am I?
Account Take over
Give at least 3 examples of Red flags
Inconsistent Customer Information
Unusual Transaction Patterns
Failed Verification Attempts
Urgency & Pressure
Multiple Accounts Linked to One Device/IP
It occurs when a fraudster uses stolen card details without the physical card for unauthorized transactions online. What Fraud Type Am I?
Card Not Present
This is one method fraudsters use to obtain a cardholder’s personal information. It happens when scammers impersonate a trusted individual or organization to trick people into revealing sensitive personal or financial details.
Social Engineering
This Fraud type occurs when an individual intentionally uses or misuses their own account, to obtain goods, services, or funds with no intention of repaying. This Fraud Type will only be identified and handled by the Fraud Offline
First Party Fraud