FICO Integrates 41st Parameter’s TrustInsight into Antifraud Platform
June 12, 2014
41st Parameter, an antifraud technology provider acquired by consumer data aggregator Experian last October , partnered with another major data firm to bolster that company’s antifraud platform. FICO will leverage 41st Parameter’s TrustInsight—a network enabling merchants to reduce false positives in their fraud prevention efforts—in its FICO Falcon Platform. TrustInsight is a collaboration between merchants and banks that puts the device together with the credit-card number and creates a network of known consumers. So, even if a merchant’s antifraud system flags a transaction for some reason, if the company employs TrustInsight, they know if the card number making the transaction and the device on which it is performed are trusted together, the transaction is good and an unnecessary card decline will not be made.
“The future of payments is online and mobile, where the card is not present,” said TJ Horan, vice president for Fraud Solutions at FICO. “Integrating 41st Parameter’s TrustInsight technology with the FICO Falcon Platform score will enable issuers to increase the approval rate, and corresponding revenue for CNP transactions. With TrustInsight, we believe issuers can recover more than 30 percent of transactions declined for fraud reasons that are actually false positives.”
Numerous merchants and issuers have contributed data into the TrustInsight network since the company debuted the service in March 2013, said Surag Patel, vice president of global product management for 41st Parameter.
“As of today, the TrustInsight system has around 175 million profiles,” said Patel. “It is quickly gaining in size and has created this networked asset that will continue to impact authorization decisions.”