Featurespace, an chargeback prevention solution and anti-money laundering platform, will support the anti-crime efforts of global international bank HSBC via its ARIC platform. The bank is another in an increasing number of high-profile clients for the company, which also counts Worldpay and ClearBank as customers.
In a statement on its website, Featurespace stressed the need for technology to combine with collaboration to prevent fraud.
“In the fight against the ever-evolving threat of financial crime, collaboration is key,” said Featurespace CEO Martina King. “These firms’ application of our technology will help them in optimising the detection of suspicious activity, ultimately protecting their customers from the global impact of financial crime.”
The ARIC platform detects eCommerce fraud through a combination of behavioral analytics and the ability to detect anomalies in real-time. Combined, this allows the platform to decrease chargebacks while mitigating the risk of revenue loss through false positive declines. Overall, Featurespace estimates ARIC reduces incorrect fraud decisions by 70% or more.
ARIC was launched in June of 2019, King emphasized the need to continue to improve on fraud prevention models in order to help customers protect against loss while adding as little friction as possible.
“We’re attuned to the evolution of fraud and leverage our market-leading models and technology to continue to deliver the latest and most advanced fraud prevention and detection tools,” King said. “There has never been a more important time to support our customers in their drive to prevent fraud loss and reduce customer friction.”
The emphasis on minimizing customer friction undoubtedly played a role in HSBC’s decision to adopt the platform. With fraudsters sharing eCommerce fraud tips on the dark web, there is no room for complacency. At the same time, in a competitive payment processing and banking landscape, customers demand speed in their transaction processing.