Credit card fraud and detection techniques : a review

Delamaire, L; Abdou, HAH; Pointon, J

Abstract

Fraud is one of the major ethical issues in the credit card industry. The main aims are, firstly, to identify the different types of credit card fraud, and, secondly, to review alternative techniques that have been used in fraud detection. The sub-aim is to present, compare and analyze recently published findings in credit card fraud detection. This article defines common terms in credit card fraud and highlights key statistics and figures in this field. Depending on the type of fraud faced by banks or credit card companies, various measures can be adopted and implemented. The proposals made in this paper are likely to have beneficial attributes in terms of cost savings and time efficiency. The significance of the application of the techniques reviewed here is in the minimization of credit card fraud. Yet there are still ethical issues when genuine credit card customers are misclassified as fraudulent.

Citation

Delamaire, L., Abdou, H., & Pointon, J. (2009). Credit card fraud and detection techniques : a review. Banks and Bank Systems, 4(2), 57-68

• Journal Article Type: Article
• Publication Date: Jul 1, 2009
• Deposit Date: Dec 2, 2009
• Publicly Available Date: Dec 2, 2009
• Journal: Banks and Bank Systems
• Print ISSN: 1816-7403
• Peer Reviewed: Peer Reviewed
• Volume: 4
• Issue: 2
• Pages: 57-68
• Keywords: credit card fraud, detection techniques, credit bureaux, data mining techniques
• Publisher URL: http://www.businessperspectives.org/component/option,com_journals/id,6