Mastercard Develops a New Artificial Intelligence Tool to Prevent Fraud

Mastercard has introduced a new artificial intelligence (AI) solution called Consumer Fraud Risk (CFR) in the UK. This software operates in real time to predict and prevent various types of fraudulent payments.

Currently, CFR is available to customers of nine banks, including Lloyds Bank, Halifax, Bank of Scotland, NatWest, Monzo, and TSB. Although the announcement did not mention other participating banks or countries, it is expected that further details will be revealed in the near future.

TSB, one of the partnering banks in this initiative, has implemented the Consumer Fraud Risk tool and reported significant improvements in fraud detection over the past four months. Based on their findings, TSB estimates that the UK could save at least £100 million if all banks achieved a similar level of performance.

Mastercard has stated that the Consumer Fraud Risk tool will be adopted by additional banks and countries in 2023. The company aims to bring this technology to international markets, allowing for scalability and further enhancing its effectiveness in combating fraud.