Operations

What is payment fraud risk? Types, prevention, and mitigation strategies

Key takeaways:

• Payment fraud is a type of cyber or social engineering attack in which a bad actor attempts to steal money via payment processes.
• Payment fraud can be first-party, where attackers use fake accounts or issue fraudulent chargebacks.
• Payment fraud can also be third-party, where attackers acquire access to account information to make unauthorized transactions.
• Common types of payment fraud include check fraud, credit card and debit card fraud, account takeover fraud, and gift card fraud.

Rules based vs machine learning in fraud prevention: Understanding the differences and benefits

When it comes to rules based vs machine learning, which is more effective? Your business should be familiar with the benefits and challenges of each so you can decide which approach is suitable to address your fraud risk.