Credit Card Fraud Detection Case Study: Improving Safety and Customer Satisfaction - DataScienceCentral.com

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As more and more businesses are facing credit card fraud and identity theft, the popularity of "fraud detection" is rising in Google Trends. Companies are looking for credit card fraud detection software that will help to eliminate this problem or at least reduce the possible dangers. Before looking at the SPD Group credit card fraud detection project, let's answer the most common questions: It is a set of activities undertaken to prevent money or property from being obtained through false pretenses. Models make predictions based on information about a transaction and some context (historical) information. To make the model more robust, we used only the most important features which were selected based on χ² (a chi-square is a test that measures how expectations compare to actual observed data) and recursive feature elimination techniques.