Internal fraud is when users are using company money for personal or unauthorized purposes. This is why we decided to reduce the risks by offering a 🔥 powerful🔥 fraud detection tool.
Goal of the fraud detection feature
The purpose of this report is spot and flag any suspicious activity. The controller can see each suspicious transaction and act on fraudulent ones. This serves 3 purposes :
Fight against fraud
Reassure the controllers and give them more visibility over suspicious transactions
Bring automation to the work of finance teams 💪
🎧 How does it work ?
We have built a fraud engine that screens all the virtual cards payment stream. This engine is able to label every transaction as irregular or not.
The 3 main patterns that we want to detect are :
Unexpected supplier : we have established a list of ‘risky suppliers’ (for instance Netflix, Lydia).
Mismatch between information given by the users and information we collect from the bank.
When we detect a Gambling merchant category code.
Unusually high amount.
Which purchases are covered?
100% of online purchases are covered by Spendesk fraud detection system. First, payments are screened. Then, an automatic weekly report with suspicious transactions is sent to controllers. The controllers (AO or Controllers) can investigate on those suspicious transactions if they wish to.
➡️ Requesters' virtual payments are screened.
➡️ Controllers/AO can be alerted.