A Novel Statistical Approach to Detect Card Frauds Using Transaction Patterns

Chae Chang LEE, Ji Won YOON
2015 IEICE transactions on information and systems  
In this paper, we present new methods for learning the individual patterns of a card user's transaction amount and the region in which he or she uses the card, for a given period, and for determining whether the specified transaction is allowable in accordance with these learned user transaction patterns. Then, we classify legitimate transactions and fraudulent transactions by setting thresholds based on the learned individual patterns.
doi:10.1587/transinf.2014edp7071 fatcat:qbhtinyoirbvnjhv7wvnnemaby