How AI is helping detect fraud and fight criminals

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AI is about to go mainstream. It will show up in the connected home, in your car, and everywhere else. While not as glamorous as sentient beings that turn on us in futuristic theme parks, the use of AI in fraud detection holds major promise. Keeping fraud at bay is an ever-evolving battle where both sides, good and bad, are adapting as quickly as possible to determine how to best use AI to their advantage. There are currently three major ways that AI that is used to fight fraud, corresponding to how AI developed as a field.


Why Unsupervised Machine Learning is the Future of Cyber Security

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With online criminals getting highly skilled at attacking enterprises every day, it's getting difficult for businesses to tell the difference between legitimate and fraudulent activity. Fraud detection has always been a cat and mouse game. With improvements in techniques to detect and prevent frauds, fraudsters keep changing their attack patterns to unearth new holes and vulnerabilities – which the detection solutions then shore up. However, the nature of this game is changing. The days where enterprises were able to keep fraudsters at bay by using static detection rules are long gone.


Fight gaming fraud with AI and machine learning (VB Live)

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It's also been notoriously difficult to combat – until now. Learn about how artificial intelligence can keep your game and players safe from increasingly aggressive online criminals, when you join this VB Live event! There are over 2 billion gamers in the world. Almost half of them are shelling out cold, hard cash in those games – rounding up somewhere around $108.8 billion in revenue across platforms, devices, and game types. And all of them – from players to platforms – are incredibly vulnerable to the insidious types of fraud that infest every online game out there, which includes account takeovers, game hacks, credential ripoffs, and bots.


A Comprehensive Survey of Data Mining-based Fraud Detection Research

arXiv.org Artificial Intelligence

This survey paper categorises, compares, and summarises from almost all published technical and review articles in automated fraud detection within the last 10 years. It defines the professional fraudster, formalises the main types and subtypes of known fraud, and presents the nature of data evidence collected within affected industries. Within the business context of mining the data to achieve higher cost savings, this research presents methods and techniques together with their problems. Compared to all related reviews on fraud detection, this survey covers much more technical articles and is the only one, to the best of our knowledge, which proposes alternative data and solutions from related domains.


Man Vs. Machine - Latest Thinking Blog

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Machine learning has become an invaluable tool in the fight against fraud. It combines computational statistics, artificial intelligence, signal processing, optimisation, and other methods to identify patterns. Machine learning has been a significant breakthrough in helping companies move from reactive to predictive by highlighting suspicious attributes or relationships that may be invisible to the naked eye but indicate a larger pattern of fraud. The great value of machine learning is the sheer volume of data that computers can analyse that humans cannot, thanks to a variety of pattern recognition algorithms. With this you can add exponentially more data to your analysis -- but selecting the right data and approach to model the problems is critical.