By Melody Lashmar - Data, Analytics, Cross Platform Validations, Mobile. These disparate areas are all converging in the effort to thwart fraudsters and the transactions which they initiate.
It wasn’t that long ago that banks were completely segmented in their operations, management and platforms that were responsible for performing the various functions of the bank. As...
By Melody Lashmar - Merchants want to be able to offer their consumers the ability to pay with their preferred payment method but this desire has to be balanced with the practical aspect of the most relevant payment methods for the consumers and only offering those payment methods that do not open the merchant up to unnecessary vulnerabilities. One of the biggest aspects of...
It was only a matter of time before innovative payment companies would be stifled by regulators in the USA. A few years ago, while attending the NACHA Payments conference, they had the founders of Square share their vision and then those gentlemen took some pretty intense questioning from the banking experts. After the session the conversations that I heard centered around that...
By Melody Lashmar - Issue 4: merchants must bear the responsibility for addressing this fraud as there is no incentive for anyone else in the chain of the transaction to take corrective action.
It is time for the regulators and card associations to return some balance to the networks. If the card associations and regulators can tout setting chargeback ratios and penalties for...
By Melody Lashmar - Issue 3: Online purchasing is targeted by fraudsters with computer programs to find and use card numbers.
By Melody Lashmar - Issue 2: Consumers lie and steal at a rate that easily surpasses the restrictions for fraud placed on merchant accounts.
By Melody Lashmar - Over the last few months I have been investigating and writing about consumer initiated fraud. I have been defining the issue, giving recent examples of the issue, providing data about the issue and demonstrating that it is a known issue and has been for quite sometime.
Along with providing to you a solid foundation of understanding regarding the issue of...
This past year I had the good fortune to participate in a day of education related to credit card fraud: how it happens and how we can reduce it. I was delighted to see this article that shows one such credit card ring getting eliminated. One of the key points to this setup is to note the length of time and the depth of detail that has gone into this fraud ring. These people are...
By Melody Lashmar - Another mention of consumer initiated fraud was found in this paper published by the Philadelphia Fed http://www.philadelphiafed.org/consumer-credit-and-payments/payment-cards-center/publications/discussion-papers/2002/fraudmanagement_042002.pdf, In November 2001, The Philadelphia Federal Reserve office hosted a workshop on fraud management in the credit card...
