February 21, 2023

6 Minutes

Benefits of using Data Analysis to prevent fraud

Benefits of using Data Analysis to prevent fraud

Data Analysis to prevent fraud: How it works and its benefits

The use of Data Analysis to prevent fraud has been popular for years, as it is a very effective technique that allows you to discover recent fraud patterns and thwart any future attack that has the same characteristics.

There are softwares that use machine learning and artificial intelligence to automate this task, as is our case. This allows us to replace the classic Data Analyst in order to:

·      Detect more patterns

·      Shorten action times

·      Prevent further losses

Do you want to know how Data Analysis can help you fight fraud in your business? In this article we tell you.

How can Data Analysis prevent fraud?

It should be clarified that the integration of Data Analysis to prevent fraud works by way of detection and prevention.

More specifically, it is responsible for analyzing a large database (Big Data) belonging to the business or company in search of patterns and anomalies that may be present related to a recent fraudulent scheme.

This is better known as “data mining” and makes use of resources such as artificial intelligence and machine learning to automate the analysis and provide more accurate results in less time.

The detection process -prevention works as follows:

·      The anti-fraud software performs a deep analysis of the database in search of patterns

·      When you finish your search, sort patterns into groups based on their characteristics

·      Then saves the results and stays alert for future attacks

·      Subsequently, it compares any suspicious transaction with the data already registered and determines whether or not it is fraudulent

Of course, the data analysis is done in real time, so the tool adapts to the constant changes in fraud schemes. Likewise, it updates its records periodically and remains alert to any threat that may arise.

4 benefits of implementing Data Analysis to prevent fraud

The implementation of Data Analysis to prevent fraud presents great advantages to companies and businesses, of which the following 4 benefits stand out:

1.  it has a great execution speed

An outstanding feature of the Bayonet analytical process is its speed. In a matter of milliseconds, our tool can carry out an in-depth study of an entire database and find hundreds of patterns and record them.

This speed of action benefits the companies that choose us by avoiding unnecessary delays in their customers' transactions and purchases, so that it improves the user experience.

2.  the results offered are very accurate

Continuing with the example of our software, data analysis yields highly accurate results, as it is performed based on a massive amount of data.‍

This allows even the finest patterns to be detected and recorded, so that our customer network remains secure even against elaborate and almost imperceptible attacks.

3.  previous frauds are also detected

Detecting patterns and anomalies not only allows you to prevent future fraud, but also allows you to detect past and recent fraud, giving you the possibility to take corrective measures if necessary.

For example, a fraud that has not yet been completed or that is is carrying out.

4.  massive amounts of data are used

While a data analyst can process a very limited amount of information per day, an automated system like ours is capable of processing millions of data in a very short time.

This, in turn, allows the following:

·      More and more patterns are detected

·      Registered frauds increase

·      And, thanks to this, more frauds are prevented

In addition, and by working the analysis with Big Data, a broader picture of the types of fraud that are frequent in the sector is obtained, so that our anti-fraud tool adapts to the specific needs of the company.

To find the solution, you must first analyze the problem.

As in any sustainable business today, it is necessary to know the problem to find or create a viable solution to it. This is why Data Analysis becomes important to prevent fraud in your business, because it is the first step to the solution.

At Bayonet we take advantage of all the data generated in your business; we detect patterns and thwart fraud to prevent them in milliseconds avoiding friction with your customers.

Are you willing to end fraud in your business? We are too.