“How to beat a new fraud wave in payments”

Worldline deploys a powerful fraud-fighting strategy to proactively support clients through the entire Fraud Risk Management value chain

Worldline, Atos subsidiary in e-payment and transactional services, advises issuers and acquirers how to prevent, detect, and react more proactively to the growing risk of fraud. In the position paper published today, Worldline outlines practical recommendations on how to re-assess the fraud risk in light of new threats it anticipates due the growth of the digital economy.

Following a period of decline in fraud, mainly due to the migration to EMV, Worldline now sees it starting to increase and predicts that the increase will accelerate, if stronger security measures aren't implemented. As ever, fraudsters actively seek out and exploit the weakest links in the system, and the evolving digital economy is creating new fraud threats and an increase in financial crime. Fraudsters have shifted from exploiting face-to-face to card-not-present transactions. According to the ECB, 60% of the total value of card fraud in Europe came from card-not-present payments (Card Fraud Report, Feb 2014). Countries most affected by fraud today are those with mature card markets with high e-commerce volumes (i.e. France and the UK).

Wolf Kunisch, Head of Financial Processing at Worldline says: “Now is the time for issuers and acquirers to re-assess their situation in order to review all relevant processes, tools and measures they already have in place. These may have delivered good results in the past, but the question they should ask now is, are they sufficient to cope with a new fraud wave which may impact all channels and new means of payment. We are convinced that a new approach is necessary to beat a new fraud wave and maintain the trust of consumers “.

Worldline solution

For more than 40 years, Worldline has been working on design and deployment of fraud-fighting strategies. As a result, it offers services, tools and fraud experts covering the entire Fraud Risk Management value chain.

As fraud becomes radically more complex, a “one-size-fits-all” approach is no longer sufficient in combating fraud. The constant need for greater flexibility and high-alert data accuracy can only be provided by an intelligence-based approach which links monitoring technology – both real-time and post-authorization – with business expertise and strong workflow capabilities, complemented by strong governance to support effective investigations. Acquirers and issuers will be able to select and customize the most appropriate solution, which will deliver these key benefits:

A balance between high detection rates and low false positives
Chargebacks brought under control
Strong image of trustworthiness and security
Improvement of services such as credit risk management, anti-money-laundering, marketing (i.e. to enrich customer knowledge, increase sales and propose tailored services to customers) by leveraging fraud analytics and big data methods
A more efficient fraud risk management thanks to a consistent interconnection between the different solutions applied to all payment means across all channels
Maximization of revenues.

About Worldline

Worldline, an Atos subsidiary, is the European leader and a global player in the payments and transactional services industry. Worldline delivers new-generation services, enabling its customers to offer smooth and innovative solutions to the end consumer. Key actor for B2B2C industries, with 40 years of experience, Worldline is ideally positioned to support and contribute to the success of all businesses and administrative services in a perpetually evolving market. Worldline offers a unique and flexible business model built around a global and growing portfolio, thus enabling end-to-end support. Worldline activities are organised around three axes: Merchant Services & Terminals, Mobility & e-Transactional Services, Financial Processing Services & Software Licensing. In 2013, Worldline's activities within the Atos Group generated (pro forma) revenues of 1.12 billion euros. The company employs more than 7,200 people worldwide. www.worldline.com