Japan’s Payment Card Industry Unites to Combat Fraud
A New Era in Fraud Detection
TOKYO, November 1st, 2022 - In an effort to combat the growing threat of credit card fraud, Intelligent Wave Inc. and PKSHA Technology Inc. have announced the development of “FARIS Shared Scoring Service Powered by PKSHA Security”, a cutting-edge fraud detection system that enables data sharing among companies.
A Solution to Combat Fraud
The service is set to launch in June 2023 and will be gradually expanded to the entire payment card industry, aiming to reduce fraudulent transactions by 30% compared to existing methods. The innovative solution allows companies to share information on new fraudulent methods detected by individual companies, strengthening anti-fraud measures across the board.
The Problem of Credit Card Fraud
According to Japan Consumer Credit Association, the amount of fraudulent use in the first six months of 2022 reached approximately 20.6 billion yen, a significant increase from the previous year’s worst record. The escalating problem has prompted credit card companies to adopt scoring systems to detect suspicious transactions. However, conventional measures have proven insufficient against increasingly sophisticated fraud tactics.
Collaboration and Goals
“IWI and PKSHA have collaborated to develop a system that leverages each company’s strengths in fraud detection,” said Kunimitsu Sato, Representative Director and CEO of Intelligent Wave Inc. “Our goal is to create a society where consumers can make cashless payments more safely and securely.”
Katsuya Uenoyama, CEO of PKSHA Technology Inc., added: “We believe that the co-evolution of people and software will lead to a future where payment transactions are safe and secure. Our collaboration with IWI marks a significant step forward in our mission to reduce fraudulent damage.”
Benefits of FARIS Shared Scoring Service
The FARIS Shared Scoring Service is designed to:
- Reduce workload on analysts
- Improve accuracy
- Enable companies to learn from each other’s experiences
As the system expands across the industry, it is expected to contribute significantly to the prevention of fraud not only in Japan but also globally.
A New Era for Cashless Payments
With this groundbreaking initiative, IWI and PKSHA are poised to revolutionize the payment card industry’s approach to combating fraud, paving the way for a safer and more secure cashless society.