This blog post is part two of a three-part series highlighting some of the key things to look for when it comes to choosing a third-party fraud prevention solution. Please be sure to check out part one here. The first post of this series highlights several key things to look for when choosing a third-party fraud prevention solution such as multiple layers of protection and fraud data that spans the entire world. This second post in the series highlights more features to look for in a third-party fraud prevention solution. Explainability is Crucial Explainability provides companies with a better understanding of relationships in coordinated fraud patterns and allows for actionable insights. The solution must be capable of not only uncovering related patterns but also explaining how and why those patterns are likely related and potentially fraudulent. Explainability is especially crucial to regulated industries such as financial services and telecom. These types of industries are required to explain their methodologies and decisions. If the solution cannot explain how it came to a decision, how can a company explain the decision to regulators? Dashboards with Engaging Visualizations Fraud operations managers should look for a solution featuring dashboards with engaging, interactive visualizations and reports that allow users to digest many data points at once. The visualizations should connect the dots in a manner that users can understand. For example, when the solution discovers that a fraudster did action A which lead to actions B, C, and D, it would generate a visualization that connects and explains this fraudulent behavior clearly. For example, DataVisor provides every customer an intuitive User Analytics Console with rich visualizations and detailed fraud reports. The dashboard helps reduce the manual review time by surfacing important investigation data points across different accounts and actions. This accelerates review decision making per groups of accounts and reveals what makes each group suspicious without the analysts having to dig through multiple screens. Access to Real-Time Data When it comes to fraud prevention, look for a solution that can connect to real-time data. Historical data is important when it comes to predicting fraud, but access to real-time data is crucial. Fraudsters are using sophisticated tools to commit numerous types of online fraud in a matter of seconds. For example, many fraudsters will use mass registration tools to create a massive number of legitimate-looking accounts that are later used for fraud attacks. Bots are also popular with fraudsters- many fraudsters create bot armies for a variety of fraudulent activities such as account takeover (ATO), spam and fake reviews, and credit card fraud. A fraud prevention solution must have access to real-time data so that it can detect malicious and fraudulent transactions as early as possible. When fraudsters use bots and other tools to commit fraud in seconds, a solution needs real-time data (along with machine learning) to keep up. Processes for Data Privacy Fraud prevention involves collecting, analyzing, and storing massive volumes of data. Every country has different regulations and initiatives when it comes to data privacy. So, vendors should have a solid framework for handling data that is in multiple different geographies. For example, GDPR is a regulation in the EU that companies around the world should be familiar with. Even though a company may be headquartered in the U.S., some customers or app end users are likely to be located in other countries like Europe. Vendors must have policies and processes in place regarding data privacy so that their fraud prevention products meet regulatory requirements like GDPR. It should be noted that DataVisor adheres to GDPR standards as to how we handle, store, and delete data. We also created tools for our customers to help them with GDPR issues when it comes to handling and deleting data. To Be Continued More features to look for in a third-party fraud prevention solution are adaptability, scalability, easy integration, and flexible deployment. These features are covered in the next and final blog post of this series. View posts by tags: Related Content: Stay up-to-date on the latest fraud insights and intelligence. Thank you for subscribing.