Visa Inc. says it has made upgrades to its Advanced Authorization antifraud system.
The system, a component of its VisaNet global processing platform, analyzes card transaction authorizations “in flight,” the company said Jan. 6. The upgrade increases the number of models used simultaneously to analyze for risk with each transaction.
“This gives us the ability to actually create advanced analysis that can help detect fraud patterns in real time,” says Kevin Siegel, Visa senior business leader in charge of decision sciences.
The upgrades improved risk detection for high-risk populations by 122% and for all transactions by 29%, Visa says.
Visa defines high-risk transactions as primarily cross-border activity. But the upgrades also improve risk detection on high-speed fraud, meaning multiple attacks on one or more accounts at once.
Avivah Litan, vice president and distinguished analyst at Gartner Inc., says Visa’s upgrades represent “a big improvement” if they boost fraud detection at the levels promised. “Visa is trying to get more users of this system,” she says, noting most card issuers use Falcon Fraud Manager, a product of Fair Isaac Corp.
Visa has used its Advanced Authorization system since 2005. The upgrades it announced this week have been live since September.
What do you think about this? Send us your feedback.
