Fraud Detection System for Banking Services

Abstract: Bank fraud is obtaining money, assets, or other valuable properties owned by financial institutions, or obtain money from depositors by use of potentially illegal means. Bank frauds have always remained an attractive source of revenue for the fraudsters. Frauds not only affect the bank customers but also result in loss to the bank in terms of profitability and image. These issues can�t be processed manually, requiring a series of antifraud measures. Fraud detection is not only concerned with capturing the fraudulent activities, but also implementing processes of continuous monitoring, to capture them as quickly as possible. Data mining technology and machine learning techniques will be applied to form an Anti-Fraud System, which will collect all the information regarding the transactions. The system will then determine whether a transaction is fraudulent or legit.

Keywords: Data mining, Machine learning, Fraud detection, Anti-Fraud system.