Financial Insights Case Study Shows Early Credit Card Fraud Detection Can Significantly Cut Losses for Financial Institutions
FRAMINGHAM, MA – JULY 14, 2003 – Leading independent research and advisory firm Financial Insights has issued a new case study that examines how Household International’s HFC Bank significantly cut credit card fraud losses by implementing a new business analytic application. Using predictive modeling, the United Kingdom-based HFC Bank has been able to detect potentially fraudulent card applications more quickly, reducingthe ultimate financial loss. HFC Bank anticipates an almost 500 percent return on investment (ROI) using its new predictive modeling technology.
"Identity theft – of which fraudulent card applications are a significant part – is growing rapidly," says Aaron McPherson, research manager for payments in Financial Insights' Retail Financial Services group. "Card issuers need analytic tools to identify potential fraud early – before the majority of the damage is done."
The new report, titled "Early Detection of Card Fraud at Household International" offers a detailed analysis of HFC Bank's return on investment, and provides guidance for other financial institutions contemplating similar investments to reduce credit card fraud.
For more information on obtaining this report, please contact: firstname.lastname@example.org.
About Financial Insights, an IDC Company
Financial Insights provides independent research services to users and providers of financial industry technology. The company was formed in November 2002 by combining Meridien Research and the IDC Financial Services Advisory group. The Retail Financial Services practice offers four areas of focus: Payments, Channels, Customer Strategies and Wealth Management. The Capital Markets practice offers Trading Technologies and all aspects of Risk Management. The Corporate Banking practice covers cash management, wholesale payments, trade finance, and small business banking. Each practice delivers reports detailing new issues and challenges and uses its knowledge to advise clients on technology related decisions. Financial Insights is an IDC Company, headquartered in Framingham, MA. Visit
www.financial-insights.com for more information.
IDC is a division of IDG, the world's leading IT media, research, and exposition company.