The Corporation for American Banking, a subsidiary of the American Bankers Association, has endorsed Rippleshot’s Sonar card compromise detection tool, the companies said on Wednesday (June 22).
The Sonar product uses the cloud to leverage machine learning and also data analytics to find fraudulent activity. The technology helps process millions of card transactions to find where and when a breach has occurred. The detection is followed by Rippleshot giving financial institutions the tools they must use in order to update their detection processes. The updated technology helps prevent further malfeasance and the difficulties tied to card reissuance.
The firms said that Sonar beat network-issued compromised account management system alerts by an average of 46 days. That meant that banks could reduce reissuance activities by 50 percent and resulted in cost savings when considering that each new card costs $8 to reissue.
In a statement that accompanied the release, Bryan Luke, chairman of the ABA’s Endorsed Solutions Banker Advisory Council, said: "Card fraud remains a critical concern for our members and customers. Our council identified a critical need for a tool that can help financial institutions quickly detect compromised cards and put actionable plans in place to stem fraudulent spend. After researching the industry, the ABA selected Rippleshot's Sonar tool, which has proven success in identifying potential compromises and affected cards, enabling banks to save tens of thousands of dollars from unnecessary card reissuances.”