Backoffice Pro Developed a Custom Solution for Fraud Detection

The Brief

• Client Profile: The client is a leading private bank that faces real-time fraud detection issues and high false alert rates. The limitations of their existing system have driven the need for a solution that accurately identifies fraudulent threats and improves operational efficiency.
• Company Size and Revenue: The client bank generates an annual revenue of $17 billion.
• Industry Domain: The client operates in the Banking and Financial Services Industry.
• Challenges Faced: The bank was struggling with real-time fraud detection due to the limitations of its rule-based system. The surge in digital transactions led to an increased number of false alerts. They needed a system that could adapt to new complex fraud threats.
• Project Objective: The bank's objective was to improve its real-time fraud detection system, reduce the number of false alerts, and create a system that could be adapted to identify new fraudulent threats.

The Solution

Backoffice Pro implemented a self-learning fraud detection tool that utilized machine learning and big data, allowing the bank to improve its real-time fraud detection and reduce false alerts. The tool increased early fraud detection by 20% and reduced false alerts by 30%, enhancing the system's ability to adapt to new fraud threats and detect previously unidentified fraud activities.

• Self-learning fraud detection tool with machine learning and big data
• 20% increase in early fraud detection
• 30% reduction in false alerts
• Improved ability to adapt to new fraud threats

The Outcome

Operational Enhancements

• The new tool enhanced fraud identification rate by 20% and improved first-transaction fraud prediction by over 20%.
• The bank experienced a significant 30% reduction in false alerts, allowing for better resource allocation.
• The self-learning tool was able to adapt to new fraud threats by 20% and increase alerts for previously unidentified Point-of-Sale (POS) frauds by 30%.

Financial Advancements

The solution provided by Backoffice Pro led to substantial savings for the bank by reducing the number of false alerts, thus saving significant overhead. Furthermore, the rise in the fraud identification rate positively impacted the bank's operational efficiency, significantly reducing losses and preventing liability.