FIS Offers Greater Card Fraud Detection through New Artificial Intelligence Collaboration
FIS collaborates with Stratyfy to enhance fraud prevention in card payments, aiming to reduce false positives and increase security. The partnership anticipates significant improvements in identifying and preventing fraudulent transactions, benefiting businesses and consumers in the payments industry.
The collaboration between FIS and Stratyfy represents a strategic move to enhance the SecurLOCK card fraud management solution. The financial implications of this partnership are significant, given that card fraud is a growing concern, with projected costs to businesses and customers exceeding $40 billion annually by 2027. For investors, this initiative could signal a strengthening of FIS's competitive position in the financial technology sector by potentially reducing operational costs associated with fraud management and enhancing customer retention through improved security.
Moreover, the use of advanced machine learning techniques by Stratyfy to improve fraud detection accuracy addresses a key pain point in the industry: the reduction of false positives. This not only benefits consumers by minimizing inconvenience but also has the potential to reduce customer service expenses for FIS and its clients. Enhanced fraud detection capabilities could lead to an increase in trust and usage of FIS's payment solutions, potentially driving revenue growth.
In the context of the payments industry, the partnership between FIS and Stratyfy is likely to resonate positively with businesses seeking advanced fraud prevention solutions. The trend towards digital payments has escalated the need for robust fraud management and FIS's move to integrate Stratyfy's machine learning approach is a response to market demand for smarter, more adaptive technologies.
From a market perspective, this collaboration could improve FIS's market share in the fraud detection space, an area that is becoming increasingly crowded with both established players and fintech startups. The ability to offer a differentiated product that accurately identifies fraud while reducing false positives could be a key selling point that sets FIS apart from competitors, potentially impacting its stock valuation positively.
The technical aspect of this collaboration emphasizes the growing role of machine learning in combating card fraud. Stratyfy's approach suggests a move away from traditional rule-based systems towards more dynamic models that can adapt to evolving fraud patterns. This is critical in an environment where fraudsters are rapidly adopting new technologies to exploit vulnerabilities in payment systems.
For stakeholders, the success of this partnership hinges on the effectiveness of the machine learning algorithms in reducing fraud without impacting genuine transactions. The cybersecurity implications are profound, as a robust fraud detection system can prevent significant financial losses and protect consumer data, thereby reinforcing trust in the FIS brand and its solutions.
03/18/2024 - 08:00 AM
Key facts
New collaboration with Stratyfy aims to deliver a material increase in accurately identified and prevented fraudulent transactions while also reducing false positives, creating a safer, more frictionless card payments experience for clients and their customers.
Stratyfy is an alumnus of the FIS Fintech Accelerator Program.
JACKSONVILLE, Fla. --(BUSINESS WIRE)--
Global financial technology leader FIS ® (NYSE: FIS) has today announced that its SecurLOCK™ card fraud management solution is poised to deliver an increase in accurately identified and prevented fraudulent card transactions utilizing a new collaboration with FIS Fintech Accelerator alumnus Stratyfy .
The gains anticipated from this collaboration come at a critical time in the payments industry, with a new report finding fraud is expected to cost businesses and their customers more than $40 billion
Through live customer testing, FIS estimated that the SecurLOCK product was able to deliver a significant improvement of accurately identified and prevented fraudulent activity. Reducing this friction, consumers can be less adversely affected by fraud rules and the disruption of “false positives” than ever before.
“With sophisticated fraudsters using new technologies to increase fraud attacks, both businesses and consumers are facing more risk than ever before,” said Eric Kraus, Head of Fraud Services at FIS. “This new collaboration is a continuation of a commitment to implement new technologies, helping businesses prevent fraudulent behavior to protect the consumers they serve.”
“It’s rewarding to see how our unique machine learning approach can enable better outcomes through this solution,” said Laura Kornhauser, CEO, and co-founder of Stratyfy. “Our relationship with FIS showcases the tremendous value that is possible through partnerships, and we’re thrilled to continue to build upon this important work.”
Stratyfy will be joining FIS on the panel “Advancing The Blueprint For Fraud Protection In Modern Banking” at CBA Live on Monday, March 25th, at 8 a.m. EST. Together, they’ll provide a more in-depth look at this partnership and the enhancements it brings to FIS’ customers.
To learn more about how FIS helps clients to effectively fight fraud, please click here .
About FIS
FIS is a leading global provider of financial services technology solutions for financial institutions, businesses and developers. We improve the digital transformation of our financial economy, advancing the way the world pays, banks and invests. We provide the confidence made possible when reliability meets innovation, helping our clients run, grow and protect their business. Headquartered in Jacksonville, Florida , FIS is a member of the Fortune 500® and the Standard & Poor’s 500® . FIS is incorporated under the laws of the State of Georgia as Fidelity National Information Services, Inc., and our stock is traded under the trading symbol "FIS" on the New York Stock Exchange. To learn more, visit www.fisglobal.com . Follow FIS on Facebook , LinkedIn and X (@FISGlobal ).
About Stratyfy
Stratyfy, a women-led fintech, is optimizing how financial institutions make decisions, unlocking data-driven growth without added risks or the need for in-house data experts. With our interpretable AI solutions, financial institutions are making more accurate, efficient, and fair financial decisions in credit risk, fraud, and compliance. Stratyfy was recognized as a Benzinga Fintech Awards finalist in the "Best Lending Solution" category and included in the AIFintech100 for the second consecutive year. For more information, visit stratyfy.com and follow Stratyfy on LinkedIn and X .
View source version on businesswire.com: https://www.businesswire.com/news/home/20240318533957/en/
Kim Snider, 904.438.6278
kim.snider@fisglobal.com
Source: Fidelity National Information Services
What is the new collaboration announced by FIS related to?
FIS has announced a collaboration with Stratyfy to enhance fraud prevention in card payments.
What is the goal of the collaboration between FIS and Stratyfy?
The collaboration aims to increase accurately identified and prevented fraudulent transactions while reducing false positives in card payments.
What is the expected cost of fraud for businesses and customers by 2027?
Fraud is expected to cost businesses and their customers more than $40 billion annually by 2027.
Who is the Head of Fraud Services at FIS?
Eric Kraus is the Head of Fraud Services at FIS.
When will Stratyfy and FIS participate in the panel 'Advancing The Blueprint For Fraud Protection In Modern Banking'?
Stratyfy and FIS will be on the panel at CBA Live on Monday, March 25th, at 8 a.m. EST.
