Fraud Detection in Banking
A First Data White Paper
Now You See It, Now You Don’t: A Review of Fraud Costs and Trends
Fraud is more dangerous to your business than you think, and treating it as a cost of doing business may be emboldening criminals and costing you customers. A well-designed fraud management program can help protect your customers and improve profitability.
By Krista Tedder Product Owner, Risk Management and Fraud Solutions
© 2009 First Data Corporation. All trademarks, service marks and trade names referenced in this material are the property of their respective owners.
Now You See It, Now You Don’t: A Review of Fraud Costs and Trends
A First Data White Paper
Introduction: Is Fraud the Perfect Crime?
The very best crime, or the very worst, depending on your point of view, is the crime that goes unnoticed. Imagine this: Today is your big day, and you are about to finalize an important contract. To seal the deal, you treat your customers to a fine lunch at a very special restaurant. You have an excellent meal during which you build on your relationship with your customers. When it comes time to pay the bill, you reach for your wallet. It’s not there! How embarrassing is that? You are mortified as your customers watch you frantically search your pockets. Where could you possibly have lost your wallet? Of course, by the time you recall that someone bumped against you in the crowded lobby, your cash is gone, your cards are maxed out and the thief has vanished. Now, imagine this same business luncheon once again. After a very successful meeting, you announce you’ll take the bill as you hand your debit card to the waiter. Moments later he returns and whispers that the card has been declined. How can this be? You have not used this card recently, and your paycheck was just deposited. You check—your card has not left your wallet. No one would have your PIN, would they? As your mind races to figure out what’s going on, one of your business associates asks, “Is there
Now You See It, Now You Don’t: A Review of Fraud Costs and Trends
Fraud is more dangerous to your business than you think, and treating it as a cost of doing business may be emboldening criminals and costing you customers. A well-designed fraud management program can help protect your customers and improve profitability.
By Krista Tedder Product Owner, Risk Management and Fraud Solutions
© 2009 First Data Corporation. All trademarks, service marks and trade names referenced in this material are the property of their respective owners.
Now You See It, Now You Don’t: A Review of Fraud Costs and Trends
A First Data White Paper
Introduction: Is Fraud the Perfect Crime?
The very best crime, or the very worst, depending on your point of view, is the crime that goes unnoticed. Imagine this: Today is your big day, and you are about to finalize an important contract. To seal the deal, you treat your customers to a fine lunch at a very special restaurant. You have an excellent meal during which you build on your relationship with your customers. When it comes time to pay the bill, you reach for your wallet. It’s not there! How embarrassing is that? You are mortified as your customers watch you frantically search your pockets. Where could you possibly have lost your wallet? Of course, by the time you recall that someone bumped against you in the crowded lobby, your cash is gone, your cards are maxed out and the thief has vanished. Now, imagine this same business luncheon once again. After a very successful meeting, you announce you’ll take the bill as you hand your debit card to the waiter. Moments later he returns and whispers that the card has been declined. How can this be? You have not used this card recently, and your paycheck was just deposited. You check—your card has not left your wallet. No one would have your PIN, would they? As your mind races to figure out what’s going on, one of your business associates asks, “Is there