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http://dx.doi.org/10.13089/JKIISC.2016.26.6.1527

Fraud Detection System in Mobile Payment Service Using Data Mining  

Han, Hee Chan (Graduate School of Information Security, Korea University)
Kim, Hana (Graduate School of Information Security, Korea University)
Kim, Huy Kang (Graduate School of Information Security, Korea University)
Publication Information
Journal of the Korea Institute of Information Security & Cryptology / v.26, no.6, 2016 , pp. 1527-1537 More about this Journal
Abstract
As increasing of smartphone penetration over the world, various mobile payment services have been emerged and fraud transactions have drastically increased. Although many financial companies have deployed security solutions to detect fraud transactions in on/off-line environment, mobile payment services still lack fraud detection solutions and researches. The mobile payment is mainly comprised of micro-payments and payment environment is different from other payments, so mobile-specialized fraud detection is needed. In this paper, we propose a FDS (Fraud Detection System) based on data mining for mobile payment services. The method of this paper is applied to the real data provided by a PG (Payment Gateway) company in Korea. The proposed FDS consists of two phases; (1) the first phase is focused on classifying transactions at high speed (2) the second is designed to detect abnormal transactions with high accuracy. We could detect 13 transactions per second with 93% accuracy rate.
Keywords
Mobile Payment Service; Fintech; Fraud Detection System; Data Mining;
Citations & Related Records
Times Cited By KSCI : 3  (Citation Analysis)
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