Application Fraud Prevention

With the aim of reaching a wider audience, most businesses go online, which inevitably increases application fraud risks. Companies lack the face-to-face element when interacting with clients. They rely on multiple applications and microservices that can be quite vulnerable.

This fact encourages hackers to use stolen or synthetic identities for their fraudulent activities. Effective app fraud detection solutions appear to be the only way for businesses to keep their data safe as well as ensure a positive customer experience.

Why Application Fraud is a Rising Threat

Application fraud refers to a kind of synthetic identity fraud. Criminals steal users’ vulnerable data or create false profiles to gain access to the victim’s bank account, payment details, and other crucial credentials. This data can be used to apply for credit on the victim’s behalf. Hackers can apply stolen or synthetic identities during the cashout stage.

Such fraudulent activities can harm both users and businesses. It can take victims weeks to restore their personal information. As for organizations, they can face tremendous losses. This is why reliable fraud prevention software is a crucial part of the risk-management strategy.

The Importance of Fraud Detection

Application fraud turns out to be a new rising trend. McKinsey Institute reported synthetic identity thefts account for 85% of all types of fraudulent activities in 2023. What we see now is the rapidly growing form of digital crime. Businesses must adopt accordingly. They need to integrate effective fraud detection tools.

Cost of Fraud to Businesses

On the one hand, financial institutions have become more effective in preventing fraud. On the other hand, fraudulent technologies evolve. Stealing someone’s credentials is no longer needed, Hackers use synthetic data instead. In simpler words, they create false profiles to create false positives when applying for a loan or making a purchase online.

Hackers create so-called fraud rings. They may contain hundreds or even thousands of false credentials ready to be launched at any moment. Companies find it hard to detect and prevent all risky efforts at a time. One such “ring” helped criminals steal around $200 million from banks and lending organizations. They used around 7,000 false IDs and approximately 25,000 stolen credit cards.

User Trust Factor

Apart from financial losses, businesses may lose trust and customers’ loyalty. The problem mainly results from disputes with victims who had their data stolen and used on their behalf. Besides, companies need to clean up the mess after every application fraud.

It means not just restoring the reputation but also eliminating criminal footprints from the digital ecosystem. It all takes time and money. Fraud detection tools can help organizations reduce the risk of fraud as well as increase the approval rate and improve the overall customer experience.

Introducing JuicyScore Fraud Prevention Solution

JuicyScore delivers full-scale end-to-end software to detect and prevent different kinds of application fraud. Our solution applies up-to-date technologies that utilize AI and ML-based principles. Our anti-fraud toolkit helps analyze different information clusters based on technical and behavioral parameters.

JuicyScore is an anti-fraud system with an advanced data vector to detect and prevent transaction, accounting, and other types of application fraud. It might be a perfect fit for:

• Online insurance companies;
• Services that provide digital banking and account services;
• Credit and micro-lending organizations that want to ensure the client’s quality and readiness to repay the debt.

Despite the industry or business sector, JuicyScore anti-fraud solution lets companies reduce digital risk, improve customer experience, and keep their operational infrastructure safe.

Embracing the Power of AI

Businesses can leverage AI-based solutions utilized to detect and prevent various cyber threat patterns. The ML engine can learn from apps marked as potentially risky. The system suggests specific rules based on similarities to automate the application fraud prevention algorithms.

Some systems can calculate false positives using suggested rules blended with existing data. JuicyScore solution analyzes 30+ parameters to track device fingerprinting. Pour authentication technologies monitor 65,000+ technical and behavioral attributes featuring stop-factors and markers to detect potentially fraudulent activities.

Real-Time Fraud Detection

To ensure high-quality real-time anti-fraud protection, our solution analyzes different parameters:

1. Behavioral Attributes. The system analyzes device-assisted parameters. They include types and number of apps installed over a given timeframe. It helps to detect potential mismatches and pinpoint synthetic or stolen identities in case of a mismatch.
2. Technical Attributes. These involve software and hardware characteristics, Internet connection infrastructure, type of carrier, OS, browser version, etc. It helps to highlight anomalies that are the red flags of potential fraud.
3. Additional Attributes. JuicyScore data vector processes a vast range of additional parameters and stop-factors that may indicate randomizers, remote control apps, and other tools used by hackers to apply with false or third-party credentials.

The enhanced anti-fraud toolkit helps businesses generate digital profiles along with abnormalities and potential risks.

Key Features

Application fraud detection software was designed to collect and analyze thousands of attributes. The process DOES NOT involve the collection of user’s personal data. The system generates mainly technical and behavioral data based on specific parameters. They can be used as filters for user rejection or blockage.

The product is easy to use and install. We guarantee seamless integration on either web or mobile applications. Besides, our team delivers full-scale support on every stage from getting started to configuring and customizing the JuicyScore solution to meet your specific business needs.

We provide fraud prevention tools that are compliant with GDPR, current and prospective regulating rules, and browsers' and operational systems' security policies.

User Behavior Analysis

Abnormal user activities within the digital ecosystem are the first sign of potential fraud. That is why we utilize 200+ different attributes to form a behavioral profile. It delivers crucial data on possible mismatches in the way a client engages with his device. As a result, businesses can clarify if the credentials provided are stolen or fake.
The software considers a range of extra fulfillment markers to detect potential anomalies. Let’s say, an underlying user analysis shows abnormal typing or reading speed. This may be a sign of a fake or stolen account. The idea is to detect as many mismatches as possible for the most accurate digital profiling.

Risk Scoring and Profiling

A blend of integrated tools involves risk-scoring models that pinpoint NLP90+ probability. The process relies on large-deviation analysis. It distributes specific parameter values that signalize potential fraud risks. If the value is high, it means higher risks and vice versa.

Additionally, the system uses macro indexes developed to create the full digital picture with behavioral, technical, and other factors involved.

How Our Product Works

The solution is easy to use and integrate. It fits either web or mobile applications depending on your major business activity. Seamless installation lets companies quickly make use of the full-scale toolkit without specific technical requirements.

Integration and Setup

Here are the three major factors that help companies get started with JuicyScore right at once:

1. Seamless Integration. We provide partners with JavaScript/SDK to be installed on the web or mobile device. All you need is to install the script on the application or website. The system is ready to go. You can process and collect needed data.
2. Easy to Customize. Business owners can fine-tune the system following their niche-specific needs. Some attributes and marker values can be used as stop-factors or filters.
3. Full-Scale Support. Our expert team assists partners on all stages from prior integration to customization and further support.

Monitoring and Alerting

Proactive monitoring helps quickly detect device-assisted anomalies. Alerting notifies the system in case of detected abnormalities based on aggregated variables. The software uses an array of markers that include:
Device markers with a set of supplementary parameters and risk factors. Altogether, they identify potential device mismatches and other anomalies that indicate fraud risks.

Behavioral markers analyze app frequencies, session length, abnormal actions, and other stop-markers for precise scoring.

Connectivity markers explore the underlying device’s Internet infrastructure along with connection quality and types of apps installed. It helps to detect randomizers, anonymizers, and other tools used to hide the real nature of the data provided.
JuicyScore’s solution is not just about detecting fraud. It is about minimizing costs and risks.

Get Started with JuicyScore Today

To get started with our anti-fraud solution. You need to do the following:

1. Install JavaScrip (web) or SDK (mobile) on your app.
2. Configure the system following your needs.
3. Start receiving crucial data to detect potentially fraudulent activity.
   Protect your business and ensure a positive customer experience with the JuicyScore application fraud prevention solution. Contact us to book a demo.

FAQs

What is application fraud?

Application fraud supposes a person who utilizes deceptive tools and algorithms to receive financial services or products online. The idea is to steal data from a third-party person or create false accounts also known as synthetic identities.

How does user behavior analysis help in detecting fraud?

User analysis tracks different parameters and pinpoints anomalies that are not typical for an underlying user. Those parameters involve abnormal engagement with the device, types of apps installed, etc. Every mismatch is a sign of potentially fraudulent activities.

What is risk scoring and profiling and how does it work?

Risk scoring collects all analyzed parameters to deliver specific data based on attributes and averages. The data is used to create a digital profile with parameters’ values. The value shows if this is a fraud or not.