Overview of Fraugster
Fraugster is an AI-based risk management platform designed to provide e-commerce businesses, payment service providers (PSPs), and online merchants with advanced fraud protection and risk management solutions.
Core Functionality
At the heart of Fraugster is its proprietary AI Engine, which offers real-time transaction scoring and decision-making. This engine is trained on millions of transactions from various industries and global regions, enabling it to adapt independently to new fraud trends without the need for manual adjustments or additional training.
Key Products and Services
Chargeback Protection
Fraugster’s Chargeback Protection takes full financial liability for fraudulent transactions, covering all chargebacks and associated fees. Merchants only pay for approved transactions, ensuring a significant reduction in chargeback losses. This service leverages AI trained on global payment data to make accurate decisions and boost approval rates.
Fraud Decisions as a Service
This product allows businesses to trust Fraugster’s experts to manage their risk. It includes features such as transparent algorithms, rich reports, performance analytics, and in-depth KPI analysis. While it offers many of the benefits of Chargeback Protection, it does not include the financial liability coverage for chargebacks.
Fraud Management SaaS
The Fraud Management SaaS solution enables businesses to create and manage their own fraud prevention rules based on the data they provide via the API. This allows for granular and specific detection of behavioral patterns and fraud behavior. Key features include performance monitoring, alerts on sudden performance changes, and rule simulations.
Additional Features and Capabilities
- Real-Time Risk Scoring: Each transaction is given a numerical risk score between 1 and 100, allowing businesses to set their own blocking thresholds based on their specific needs.
- Data Enrichment and Analysis: Fraugster’s engine splits each transaction into hundreds of attributes and taps into a broad business network to predict the likelihood of fraud.
- Compliance and Sanctions: Transactions are scanned against global databases of sanctions and PEP (Politically Exposed Persons) lists to secure against money laundering risks and fines.
- Account Takeover Protection: This feature ensures legitimate customer interactions by validating the identity of online buyers using a unique Device ID.
- Alternative Credit Decisions: Fraugster’s data enrichment helps assess a customer’s credit risk, reducing false positives and the need for expensive credit bureau checks.
Integration and Scalability
Fraugster’s API design allows for a single integration to access multiple products, ensuring a seamless transition between different services without additional technical adjustments. The platform is highly scalable, responsive, and flexible, making it suitable for businesses of all sizes.
Benefits
- Reduced Fraud: Fraugster’s AI technology minimizes fraud and maximizes revenue by approving more legitimate transactions and reducing false positives.
- Operational Efficiency: The platform eliminates manual review processes, enabling better workflows and increased team efficiency.
- Frictionless Customer Experience: Fraugster works in the background to ensure a secure and seamless buyer journey without introducing friction.
- Global Support: With partnerships like Worldline, Fraugster supports a global footprint of merchants across various sectors, including travel, gaming, and e-commerce.
In summary, Fraugster offers a comprehensive suite of AI-driven risk management and fraud protection solutions tailored to the needs of e-commerce businesses and PSPs, ensuring enhanced security, operational efficiency, and revenue growth.