Mastercard’s Post

It's important to approach AI powered innovations responsibly and deliberately. This article summarises well Mastercard's way

By putting AI at the heart of its innovation, Mastercard prevented over $20 billion in fraud last year and completely personalized its customer service. Mastercard's approach includes rigorous ethical reviews and significant training investments, ensuring AI's scalability and responsible deployment. As we look at the broader landscape, AI continues to offer boundless potential to revolutionize business operations and customer interactions across industries:

Day 2 of our “AI in Business” series. The old way vs. the new way of fraud detection in financial services Old Way: • Traditional, rule-based systems • Manual detection methods • High operational costs • Poor customer experience due to false positives New Way (Mastercard's AI-driven approach): • AI-powered, data-driven system • Automated real-time detection • Lower operational costs • Improved customer experience The Shift? Mastercard's generative AI model > Traditional fraud detection methods Mastercard's new tool, 'Decision Intelligence Pro' is a big change in how we catch fraud. Instead of using lots of text, this smart system looks at where people shop with their cards to find anything suspicious. It works super fast, giving answers in just 50 milliseconds, and it's really good at spotting fraud. On average, it can find 20% more fraud, and sometimes it's even better, catching up to 300% more. This big step shows Mastercard is moving away from the old ways of doing things. They've spent $7 billion on making their systems safer with new technology and even bought a company called Baffin Bay Networks to help them do this. Mastercard is working hard to stay ahead in keeping our money safe. What other sectors can learn and benefit from this revolutionary approach to fraud detection? ________________ Thanks for making it this far :) Click Yermukhamed Kuatov + follow + 🔔 At KOZ Digital AI we help forward-thinking companies improve their efficiency and reduce costs by implementing innovative AI solutions.

"Gen AI models undergo training with a broad spectrum of data, yet, when faced with input that deviates significantly from their training set, they can run the risk of producing outputs that can be inaccurate or nonsensical." https://lttr.ai/AOekD #GenAi

🔍 Interested in how AI is being used strategically by Mastercard? 🔍 I just read a fascinating case study on Forbes by Bernard Marr about how Mastercard leverages AI to enhance their operations and services. Here are some highlights: 1. Fraud Detection: AI helps Mastercard detect fraudulent transactions in real-time, significantly reducing the risk of fraud and protecting both customers and merchants. 2. Customer Service: AI-powered chatbots and virtual assistants improve customer service by providing quick, accurate responses to customer inquiries and issues. 3. Personalized Offers: By analyzing transaction data, AI helps Mastercard deliver personalized offers and recommendations to customers, enhancing their shopping experience and increasing customer loyalty. 4. Operational Efficiency: AI optimizes Mastercard’s internal processes, from risk management to compliance, making operations more efficient and cost-effective. 5. Predictive Analytics: AI-driven predictive analytics enable Mastercard to anticipate market trends and customer needs, allowing for proactive decision-making and strategy adjustments. In my opinion, Mastercard’s strategic use of AI exemplifies how technology can revolutionize the financial sector. The ability to detect fraud in real-time and provide personalized customer experiences showcases AI’s potential to enhance both security and satisfaction. Moreover, the efficiency gains from AI-driven process optimizations highlight how AI can be a powerful tool for reducing costs and improving overall operational performance. This case study serves as a compelling example for other companies in the financial industry to consider how AI can be integrated into their strategies to drive innovation and growth. For a deeper dive into how Mastercard is strategically using AI, check out the full article. #AI #TechInnovation #Fintech

Dive into the future of payments with our CEO, Tamas Kadar, on NorthRow's Wired-In series. Join us as we explore the powerful intersection of AI & payments and assess the ripple effects of AI on the present and future of fraud prevention. You’ll discover how SEON leans on AI and machine learning to stop fraud as early as possible in the customer journey. Expect to uncover: - The evolving fraud challenges facing the payments sector today - Why traditional fraud prevention solutions have been ill-suited to dealing with the intricate demands of modern payments - A glimpse into the future of fraud prevention - Why AI and machine learning are the answer to the fraud challenges modern payment demands Don't miss out on game-changing insights to propel your payment strategies forward 🚀 Secure your spot now: https://bit.ly/3IafGwd #AIinPayments #SecurePayments #NorthRowWebinar

Key take aways 1. AI will become like an OS and various applications built over it 2. AI will argument the tasks of the people rather than replacing them. 3. AI models must be - Explainable(showing how a system came to a decision) - Traceable (showing what data, processes, and artifacts went into the system) and - Additionally, outputs must be validated to avoid hallucinations / bias, or inaccurate answers based on fabricated data. Please read the article below, loved it.

Mastercard has developed a generative AI model that can help financial institutions improve their fraud detection rates by 20% on average. Payments giant Mastercard says it has built its own proprietary generative artificial intelligence model to help thousands of banks in its network detect and root out fraudulent transactions. The company told CNBC exclusively that its new advanced AI model, Decision Intelligence Pro, will allow banks to better assess suspicious transactions on its network in real-time and determine whether they’re legitimate or not. Mastercard’s proprietary algorithm is trained on data from the roughly 125 billion transactions that go through the company’s card network annually. The data helps the AI understand relationships between merchants — rather than words, as is the focus with large language models such as OpenAI’s GPT-4 and Google’s Gemini — and predict where fraudulent transactions are taking place, Mastercard said. Instead of textual inputs, Mastercard’s algorithm uses the history of a cardholder’s merchant visit as the prompt to determine whether the business involved in a transaction is a place the customer would likely go. The algorithm then generates pathways through Mastercard’s network — kind of a like heat-sensing radar — to find the answer in the form of a score. A higher score would be one that follows the pattern of what’s the usual kind of behavior expected from the cardholder, and a lower score is out of that pattern. This process all happens in just 50 milliseconds, according to Mastercard ...

#frauddetection | #artificialintelligence : Mastercard Elevates Consumer Security Through Advanced #generativeai . Mastercard is taking a giant leap forward in #consumerprotection with the introduction of cutting-edge generative AI. 🛡️💡 🔍 Mastercard's Decision Intelligence Pro is revolutionizing fraud detection by leveraging generative AI models. By assessing the intricate relationships between multiple entities in a transaction, it effectively gauges the associated risk. In a remarkable feat, this technology delivers results in less than 50 milliseconds, significantly enhancing the Decision Intelligence score and providing sharper data insights for banks. 💳✨ 💪 The initial modeling results are truly impressive – the AI enhancements are showcasing an average boost of 20% in #fraud detection rates, with some instances demonstrating an astonishing 300% improvement! 📈💯

Really interesting article on how crucial it is for firms to align their AI practices with the recent EU AI Act’s standards to ensure adopting best practices in AI governance and ethics. It's clear that companies that prioritise customer trust and transparent practices will lead the market in deploying AI solutions that are not only innovative but also socially responsible and compliant. https://lnkd.in/e7_3smf2