Financial services messaging launches FraudAlert - powered by POINT
Announcement posted by POINT Australia 17 Jun 2004
FraudAlert showcased at Mastercards global risk management symposium
KEY POINTS:
FSM launches FraudAlert the Australian developed electronic messaging solution to help card issuing institutions combat credit card fraud.
Australian credit card fraud a $100 million per year problem.
FSM joins the global MasterCard Vendor Program.
FSM FraudAlert to be showcased at MasterCard Internationals Global Risk Management Symposium in San Diego, 21-24 June 2004.
Financial Services Messaging (FSM), a POINT Australia company, announced the launch of FraudAlert, designed to provide card issuing institutions with a cost effective means to contact customers about out-of-character transactions on their credit cards. FSM was acquired by POINT Australia in June 2004.
Developed in Australia, FraudAlert is one of FSMs range of electronic customer messaging solutions designed specifically for the financial services industry to allow banks to improve their communication with customers via a range of electronic channels of the customers choice, including SMS, instant messaging, email, fax and voice. FraudAlerts plug-and-play capabilities are compatible with most fraud detection software, including Fair Isaacs Falcon and ACI Worldwides PRM.
Banks use fraud detection software to track customers credit card transactions and rate whether they are in line with previous purchase behaviour. Highly out-of-character transactions are checked with customers to confirm their validity. FraudAlert provides a cost effective means to quickly communicate with customers via an electronic channel such as SMS, enabling banks to efficiently check more transactions, allowing them to expand their threshold on what constitutes out-of-character behaviour. As a result, more transactions can be checked with customers so that more fraudulent activity is detected and stopped earlier.
FraudAlert has already gained interest from the global financial services industry with MasterCard International appointing FSM to its MasterCard Vendor program for 2004. MasterCard has also invited FSM to showcase the solution at its Global Risk Management Symposium in the U.S. next week.
Australia is ranked the number two country in Asia for both issuing and acquiring credit card fraud, so we see real demand for FSMs FraudAlert solution in this market. However, by offering card issuers the ability to easily check more cases of suspect activity, potentially reducing credit card fraud by up to 80 percent, the business opportunity is indeed global, said John Thompson, CEO of POINT Australia.
Credit Card Fraud a $100 Million Problem in Australia
The credit card industry is keen to find ways to efficiently combat credit card fraud.
At Visa we estimate the rate of acquired credit card fraud in Australia, across all major card brands, has remained steady at $100 million dollars per year over the last two years. While the loss rate has been contained, it has not improved, said Mr Ian McKindley, Country Risk Manager for VISA International Australia and New Zealand. We know from tracking credit card fraud over the last 30 years, that it runs in cycles as fraudsters find new ways to overcome the system and the banking industry introduces new practices and technology to block them.
There are a number of best practices the banking industry can put into place that will help prevent the next wave of fraud. A key one is using state of the art customer fraud alert communication capability including SMS. Currently on average, five fraudulent transactions are carried out on a counterfeit card before it is blocked. If being able to easily contact a customer via SMS to query an out of character transaction allows us to detect fraudulent activity earlier, we could reduce losses by up to 80 percent. There is a huge opportunity for such a technology, said Mr McKindley.
Kostas Siourthas, founder and managing director of FSM, who has joined Point Australia as Director of Sales and Marketing, said that the FraudAlert solution has been tailored to meet the specific needs of the financial services industry.
FSMs solutions were created in consultation with the worlds leading banks to address their need for enhanced e-communication solutions. There are more than 2,500, 000,000 credit and payment cards issued globally. Banks must communicate with their customers not only for legal requirements, but also to retain customer loyalty. But they need to be able to do this in a way that makes sense for their business, optimising existing systems and mitigating risk. Powered by POINT technology, which is implemented in more than 35 countries and 18 languages at leading institutions such as Deutsche Bank, Allianz, AIG and the Commonwealth Bank of Australia, our FSM messaging solutions meet that critical need, said Siourthas.
FSM Joins MasterCard Vendor Program
The MasterCard Vendor Program (MVP) provides MasterCard member financial institutions with access to the latest product information from participating vendors. MVP participants gain access to the latest MasterCard product and technical information to ensure they are able to support MasterCards core applications and emerging products. FSM joined the program in 2004.
FSM FraudAlert to be Showcased at MasterCard Internationals Global Risk and Fraud Symposium
The FSM executive team has been invited as one of only fifteen vendors to attend and exhibit at MasterCard Internationals Global Risk and Fraud Symposium, Security Masters 2, in San Diego running 21-24 June.
About POINT Australia:
POINT Australia was established in Sydney in 1995 and Melbourne in 1998 and has since developed an enviably strong presence in the local market delivering enterprise solutions to clients such as Woolworths, Freedom Furniture, Novo Nordisk Pharmaceuticals and the Commonwealth Bank of Australia.
POINTs solutions are based on leading global technology from S1 Corporation, including their world leading CRM system, S1 CRM Enterprise Platform 3 (EP3). POINT Australia acquired Financial Services Messaging, developers of electronic messaging solutions for the banking industry, in June 2004.
The highly skilled, experienced and motivated POINT Australia team can tailor a solution to fit specific business needs. This team has been directly involved with the design, integration and implementation of POINT solutions throughout the world. This team now contributes to and addresses R&D out of its local offices, continuing the tradition of Australia based ingenuity, pushing back the boundaries of modern software design.
FSM launches FraudAlert the Australian developed electronic messaging solution to help card issuing institutions combat credit card fraud.
Australian credit card fraud a $100 million per year problem.
FSM joins the global MasterCard Vendor Program.
FSM FraudAlert to be showcased at MasterCard Internationals Global Risk Management Symposium in San Diego, 21-24 June 2004.
Financial Services Messaging (FSM), a POINT Australia company, announced the launch of FraudAlert, designed to provide card issuing institutions with a cost effective means to contact customers about out-of-character transactions on their credit cards. FSM was acquired by POINT Australia in June 2004.
Developed in Australia, FraudAlert is one of FSMs range of electronic customer messaging solutions designed specifically for the financial services industry to allow banks to improve their communication with customers via a range of electronic channels of the customers choice, including SMS, instant messaging, email, fax and voice. FraudAlerts plug-and-play capabilities are compatible with most fraud detection software, including Fair Isaacs Falcon and ACI Worldwides PRM.
Banks use fraud detection software to track customers credit card transactions and rate whether they are in line with previous purchase behaviour. Highly out-of-character transactions are checked with customers to confirm their validity. FraudAlert provides a cost effective means to quickly communicate with customers via an electronic channel such as SMS, enabling banks to efficiently check more transactions, allowing them to expand their threshold on what constitutes out-of-character behaviour. As a result, more transactions can be checked with customers so that more fraudulent activity is detected and stopped earlier.
FraudAlert has already gained interest from the global financial services industry with MasterCard International appointing FSM to its MasterCard Vendor program for 2004. MasterCard has also invited FSM to showcase the solution at its Global Risk Management Symposium in the U.S. next week.
Australia is ranked the number two country in Asia for both issuing and acquiring credit card fraud, so we see real demand for FSMs FraudAlert solution in this market. However, by offering card issuers the ability to easily check more cases of suspect activity, potentially reducing credit card fraud by up to 80 percent, the business opportunity is indeed global, said John Thompson, CEO of POINT Australia.
Credit Card Fraud a $100 Million Problem in Australia
The credit card industry is keen to find ways to efficiently combat credit card fraud.
At Visa we estimate the rate of acquired credit card fraud in Australia, across all major card brands, has remained steady at $100 million dollars per year over the last two years. While the loss rate has been contained, it has not improved, said Mr Ian McKindley, Country Risk Manager for VISA International Australia and New Zealand. We know from tracking credit card fraud over the last 30 years, that it runs in cycles as fraudsters find new ways to overcome the system and the banking industry introduces new practices and technology to block them.
There are a number of best practices the banking industry can put into place that will help prevent the next wave of fraud. A key one is using state of the art customer fraud alert communication capability including SMS. Currently on average, five fraudulent transactions are carried out on a counterfeit card before it is blocked. If being able to easily contact a customer via SMS to query an out of character transaction allows us to detect fraudulent activity earlier, we could reduce losses by up to 80 percent. There is a huge opportunity for such a technology, said Mr McKindley.
Kostas Siourthas, founder and managing director of FSM, who has joined Point Australia as Director of Sales and Marketing, said that the FraudAlert solution has been tailored to meet the specific needs of the financial services industry.
FSMs solutions were created in consultation with the worlds leading banks to address their need for enhanced e-communication solutions. There are more than 2,500, 000,000 credit and payment cards issued globally. Banks must communicate with their customers not only for legal requirements, but also to retain customer loyalty. But they need to be able to do this in a way that makes sense for their business, optimising existing systems and mitigating risk. Powered by POINT technology, which is implemented in more than 35 countries and 18 languages at leading institutions such as Deutsche Bank, Allianz, AIG and the Commonwealth Bank of Australia, our FSM messaging solutions meet that critical need, said Siourthas.
FSM Joins MasterCard Vendor Program
The MasterCard Vendor Program (MVP) provides MasterCard member financial institutions with access to the latest product information from participating vendors. MVP participants gain access to the latest MasterCard product and technical information to ensure they are able to support MasterCards core applications and emerging products. FSM joined the program in 2004.
FSM FraudAlert to be Showcased at MasterCard Internationals Global Risk and Fraud Symposium
The FSM executive team has been invited as one of only fifteen vendors to attend and exhibit at MasterCard Internationals Global Risk and Fraud Symposium, Security Masters 2, in San Diego running 21-24 June.
About POINT Australia:
POINT Australia was established in Sydney in 1995 and Melbourne in 1998 and has since developed an enviably strong presence in the local market delivering enterprise solutions to clients such as Woolworths, Freedom Furniture, Novo Nordisk Pharmaceuticals and the Commonwealth Bank of Australia.
POINTs solutions are based on leading global technology from S1 Corporation, including their world leading CRM system, S1 CRM Enterprise Platform 3 (EP3). POINT Australia acquired Financial Services Messaging, developers of electronic messaging solutions for the banking industry, in June 2004.
The highly skilled, experienced and motivated POINT Australia team can tailor a solution to fit specific business needs. This team has been directly involved with the design, integration and implementation of POINT solutions throughout the world. This team now contributes to and addresses R&D out of its local offices, continuing the tradition of Australia based ingenuity, pushing back the boundaries of modern software design.