Machine learning based fraud detection in credit card data transactions

Abstract

Improvement of correspondence advancements and web based business has made the Master card as them ost well -known method of installment for both on the web band standard buys. Along these lines, security during this framework is extremely expected to stop misrepresentation exchanges. Mis representation exchanges in Visa information exchange are expanding yearly. Toward this path, analysts additionally are attempting the novel strategies to distinguish hand stop such cheats. In any case, there is consistently a need of certain procedures that ought to unequivocally and productively identify these fakes. This article includes a plan for the purpose of con artists in the visa details, with the help of the neural network (NN), unsupervised learning in the process. The proposed method is superior to the common methods of Auto Encoder (AE), the Local Emission Factor (LOF), isolation forest (IF),and the K-means clustering. The proposed method for the localization of the expression is based on the NNR operates with an accuracy of 99.87%, compared to the existing, AE, AS, PRAISE, and 'K' Means as the strategies that will give an accuracy of about 97c/o,98c/o,98c/o, and 99.75c/o separately. Frauds in credit card transactions are common today as most of us are using the credit card payment methods more frequently. This is due to the advancement of Technology and increase in online transaction resulting in frauds causing huge financial loss. Therefore, there is need for effective methods to reduce the loss. In addition, fraudsters find ways to steal the credit card information of the user by sending fake SMS and calls, also through masquerading attack, phishing attack and so on. This paper aims in using the multiple algorithms of Machine learning such as support vector machine (SVM), k-nearest neighbor (Knn) and artificial neural network (ANN) in predicting the occurrence of the fraud. Further, we conduct a differentiation of the accomplished supervised machine learning and deep learning techniques to differentiate between fraud and non-fraud transactions.