Prevent Card Fraud With High-Risk Merchants Data: Common Point of Purchase Analysis Made Easy

Preventing card fraud

It sounds like an old wives tale: “Prevention is better than the cure.” But it rings true when it comes to stopping credit card fraud. The most effective way to reduce loss from card fraud is to prevent it from happening in the first place. 

That can be a tall order for fraud teams. Often, fraud teams are lean with limited resources, and they’re busy tackling multiple anti-fraud initiatives at once. To operate with a clear priority and high-accuracy, these teams need to focus on one initiative at a time in order to find the right solution matched to their desired outcome—in this case using predictive analytics to detect fraud and prevent future risk. 

Common Point of Purchase 

A critical aspect of that effort is known as common point of purchase (CPP) analysis. CPP identifies the common point—likely a point-of-sale or merchant—where a breach has occurred. It tells you where the card information was stolen, the merchant location or processor, so you can determine which credit cards were used at that location during the exposure window and are potentially compromised.

CPP analysis requires an analyst to find the time and location of a legitimate transaction and a fraudulent one and compare it to understand the CPP. It’s an effective preventative fraud measure but it’s also time-consuming (and time is not a luxury you have when it comes to combating fraud).

Introducing High-risk Merchants 

Flashpoint takes CPP analysis and risky merchants off your plate with our new High-risk Merchant data built into our Card Fraud Mitigation solution. 

We deliver daily reports (or schedule them directly to your inbox) across BIN attack merchants, high-fraud merchants and CPP merchants, so you’re able to quickly spot and mitigate these risks before they spread and multiply. 

The most effective way to reduce loss from card fraud is to prevent it from happening in the first place. 

Here’s what you’ll get with High-risk Merchants:

1) Identify fraudulent merchants and compromised cards

With billions of transactions analyzed for you, you can see where fraud is coming from, which merchants are behind the transactions and what cards are exposed to help you identify fraud trends in minutes instead of hours and days. 

2) Stop manual analysis and take immediate action 

With the analysis already complete and merchant IDs in hand, you can focus on proactive efforts like writing rules such as “don’t use these merchants” or “if one of these cards uses these merchants, set a reissue or flag for human intervention.” 

3) Reduce fraud loss and protect your business

With data-driven, fact-based analysis, you can make accurate decisions and protect your customers from falling victim to fraud, causing less disruption and saving your bottom line. 

Build a Resilient and Proactive Fraud Prevention Program

Leverage Flashpoint to stop fraud loss earlier in the fraud life cycle—at the point of compromise—and secure your credit card ecosystem. Get your free trial today.