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Solving the elusive first-party fraud problem

Institutions can now predict the likelihood of bad faith disputes driven by deceitful activities, such as falsely claiming a delivery was lost or refusing to pay off credit card bills indefinitely. It persists as an unsolved challenge that plagues merchants and financial institutions alike.

Key Benefits

early account monitoring

Catch 3X more fraud with early account monitoring

An account closed within 90 days from opening is 3 times more likely to be first-party fraud

reduce first party fraud risk

Reduce first-party fraud risk by 22X

Accounts with 5 or more registered authorized users are 22 times more likely to be associated with first-party fraud

Spot repeat fraud with cross-institution intelligence

Spot 189x more repeat fraud with cross-institution intelligence

Consumers who have 2 or more closed accounts associated with first-party fraud behavior are 189 times more likely to commit first-party fraud again if given the chance

Stop first-party fraudsters before they start

Financial institutions and merchants can now predict the likelihood of bad faith disputes and payment defaults driven by deceitful activities. Using data from our first-party fraud consortium members — 150 million transactions and counting — Socure can identify first-party fraud risk at onboarding. What could this look like at your financial institution? Fewer charge-offs and lower chargeback losses, culminating in a holistic financial ecosystem of trust.

Reduce chargebacks and RegE abusers

Reduce chargebacks and Reg E abusers

Regulation E, which protects consumers using electronic money transfers, is often exploited by organized groups systematically disputing every transaction to overwhelm dispute teams. Sigma First-Party Fraud stops fraudsters at onboarding, preventing fraudulent Reg E dispute costs in later stages of the consumer journey.

Evaluate whether a consumer will commit first party fraud, again

Evaluate whether a consumer will commit first-party fraud again

Track the velocity of identity attributes across production transactions to evaluate whether someone has previously made a bad faith claim and whether they are likely to do so again. For example, ordering multiples of the same item, or using other aliases to set multiple active users on one account or IP address are all red flag signs of potential first-party fraud.

Leverage cross industry data

Leverage cross-industry data to provide a holistic view of consumers

Socure leverages its 400+ databases of cross-industry data, provided directly by financial institutions and adjacent industries, to identify signals that are indicative of first-party fraud and early payment default. If risk exists, a financial institution may opt to require additional verification of information before proceeding with the application.

Streamline risk assessment operations

Streamline risk assessment operations

Fraud is a dynamic crime with attack vectors that change over time, and many financial institutions have implemented unwieldy, cumbersome decision logic with point solutions. Sigma First-Party Fraud is the industry’s first end-to-end solution tailored specifically to mediate first-party fraud across the entire customer journey. It's available in the same API as the Socure ID+ suite of fraud solutions.

Key Capabilities

consortium feedback data

Fuel network intelligence with consortium feedback data

Based on the collective intelligence of multiple financial institutions, outcome data is used to produce a broad range of first-party fraud signals


Gain a comprehensive view of identity with SocureID

Unique and proprietary consumer identifiers reveal how an identity behaves across financial ecosystems

Reduce chargback losses

Reduce chargeback losses with first-party fraud signals

Signals include the number of fraud occurrences, disputes, accounts associated with the identity, and more

Use progressive onboarding

Use progressive onboarding to flow address GLBA use cases

Decision preemptively at onboarding to challenge risky transactions, based on first-party fraud risk

Consortium Founding Members

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