RiskShield Achieves FPAD-Readiness to Enhance Real-Time Fraud Detection and Prevention

Jul 3, 2024

INFORM proudly announces that its comprehensive financial crime and risk management solution RiskShield has achieved full readiness with EBA Clearing’s Fraud Pattern and Anomaly Detection (FPAD) initiative. This significant milestone demonstrates INFORM’s commitment to providing cutting-edge security solutions in line with the stringent standards set by the European Banking Authority and the European Payment Council’s prescriptions for fraud prevention and detection in payment services.

Given the significance FPAD has in enhancing the security of payment services across Europe, INFORM is pleased to state that its AI-powered financial crime and risk management solution seamlessly integrates with EBA Clearings’ new service offering. The software fully integrates FPAD’s risk indicators and IBAN/Name check results into its decision logic, offering enhanced and unified fraud prevention capabilities in real-time. By integrating the FPAD risk score, RiskShield ensures that institutions benefit from the latest advancements in fraud detection, providing a robust defense against sophisticated fraudulent activities.

Enhanced Risk Management and Operational Efficiency

FPAD is a vital component of EBA Clearing framework designed to enhance the security of payment services across Europe. This initiative supports financial institutions in implementing advanced measures to prevent and detect fraudulent activities efficiently. By providing a centralized, real-time view of payment risks and leveraging advanced analytics and machine learning, FPAD significantly reinforces the fraud detection capabilities of European financial institutions and Payment Service Providers (PSPs).

Key Features of FPAD functionality include:

  • Centralized Network View: The system analyzes both SEPA Credit Transfer and Instant Credit Transfer transactions to create a comprehensive view of payment risks across the SEPA region.
  • Prevention Modules: The service validates account details with an IBAN/Name check and assesses the risks of account manipulation and transactions in real time before payments are made, utilizing advanced analytics and AI models.
  • Detection modules: After completing transactions, the service allows post-transaction investigation of payment risks for in-depth analysis and validation.

RiskShield, equipped with FPAD advanced analytics and detection capabilities, offers banks and payment service providers enhanced risk management by reducing false positives and streamlining operations. For existing customers, integrating FPAD into RiskShield enhances their current security measures, providing additional protection aligned with new regulatory standards. Potential customers, such as financial institutions, gain a competitive edge with state-of-the-art fraud prevention technology and regulatory compliance from the outset.

Achieving FPAD readiness is a testament to our unwavering commitment to advancing fraud prevention technology. With this integration, RiskShield meets the highest regulatory standards and empowers our clients with state-of-the-art tools to combat increasingly sophisticated financial crimes.
Roy Prayikulam, Senior Vice President Risk & Fraud, INFORM

Trusted by more than 250 financial institutions worldwide and with a track record of more than 20 years, RiskShield is a leading fraud prevention solution. Leveraging state-of-the-art Hybrid AI technology, INFORM’s software offers comprehensive and scalable fraud detection capabilities, ensuring robust protection against financial crime.