Systems and methods for detecting fraudulent information

• US 20040064401A1
• Filed: 09/27/2002
• Published: 04/01/2004
• Est. Priority Date: 09/27/2002
• Status: Abandoned Application

• Current Assignee: Capital One Financial Corporation
• Original Assignee: Capital One Financial Corporation
• Inventors: Polk, John, Palaghita, Ana, Henneberger, Frances Massey
• Application Number:
  US10/256,145
• Publication Number:
  US 20040064401A1
• Time in Patent Office: Days
• US Class Current: 705/38
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof

Abstract

Methods, systems, and articles of manufacture consistent with embodiments of the present invention perform a fraud detection process that organizes collected documents into one of a set of categories based on selected variables and information included in the documents. Each category of documents has one or more category types, which in turn, are associated with at least one variable that is further associated with certain threshold limits. The fraud detection process identifies one or more category types that are indicative of fraud based on an analysis of threshold violations for each variable in each category type. Based on the results of the analysis, and possibly filtering logic, selected documents are extracted from the identified category types and targeted for fraud analysis that may include validating the information included in each extracted document.

Claims

1. A method for detecting fraud among a set of documents, the method comprising:

collecting a set of documents, each document including information associated with a customer entity;

selecting a variable reflecting a characteristic of customer entity information provided in a document;

assigning the set of documents to a category type associated with the selected variable;

defining a control limit reflecting a predetermined rate of occurrence of the selected variable within the set of documents associated with the category type; and

filtering the set of documents, based on a determination that the control limit is exceeded to detect possibly fraudulent information.

2. The method of claim 1, wherein the characteristic is associated with a type of misrepresented customer entity information.

3. The method of claim 1, wherein assigning the set of documents to a category comprises:

assigning a document from the set to a particular category based on the customer entity information provided in the document.

4. The method of claim 1, wherein defining a control limit comprises:

determining the control limit for the variable based on an average rate of occurrence of the characteristic of customer entity information associated with the variable within the set of documents.

5. The method of claim 1, wherein each document is an application for a financial account provided by at one of a business entity and an individual.

6. A method for detecting fraudulent information among a set of documents, wherein each document in the set of documents includes customer entity information and is assigned to a category, and wherein the documents assigned to the category are further assigned to one of a plurality of category types, each category type having a variable associated with a characteristic of the customer entity information, the method comprising:

determining, for each category type, whether the respective variable exceeds a predetermined control limit;

identifying any category type that may indicate fraud based on a determination that the respective variable for that category type exceeds the predetermined control limit;

filtering those documents assigned to an identified category type identified for fraud; and

analyzing the filtered documents to determine whether they may include fraudulent information.

7. The method of claim 6, wherein the predetermined control limit reflects a certain number of documents included in the category type that include the characteristic of customer entity information corresponding to the variable.

8. The method of claim 6, wherein identifying any category types that may indicate fraud further includes:

determining, for each variable in each category type, a difference value between a number of documents in the respective category type that include the characteristic of customer entity information corresponding to the variable and a control limit for the variable.

9. The method of claim 8, wherein identifying any category types that may indicate fraud further comprises:

designating a category type as indicative of fraud when its corresponding variable has a difference value above a predetermined threshold value associated with the corresponding variable.

10. The method of claim 6, wherein filtering those documents assigned to an identified category type further comprises:

selecting a final group of documents from the identified documents based on a type of customer entity provided in each of the identified documents.

11. The method of claim 6, wherein filtering those documents assigned to an identified category type further comprises:

for each of the identified documents,

removing the identified document from a final group of documents based on a determination whether a customer entity provided in the identified document is one of a spouse, sibling, parent, or child of another customer entity identified in another document included in the identified documents.

12. The method of claim 6, wherein filtering those documents assigned to a category type further comprises:

for each of the identified documents,

removing the identified document from a final group of documents based on whether a customer entity included in the identified document is a student.

13. The method of claim 12, wherein removing the identified document further includes:

removing the identified document from the final group based on whether (i) a customer entity included in the identified document is a student and (ii) an address included in the identified document is the same as addresses included in a certain number of other of the identified documents.

14. The method of claim 6, wherein analyzing the filtered documents includes:

for each filtered document,

contacting a customer entity identified in the document to verify the customer entity information included in the document.

15. The method of claim 6, wherein analyzing the filtered documents includes:

generating a user interface that presents (i) the customer entity information for each filtered document and (ii) a template including one or more queries that are responded to by a user based on a progress of verifying customer entity information in a selected filtered document.

16. The method of claim 6, wherein identifying any category types that may indicate fraud includes:

for each category type,

determining that a category type is indicative of fraud based on a number of a plurality of variables that exceed the predetermined control limit for the category type.

17. The method of claim 6, wherein the predetermined control limit is reflects a certain number of the documents assigned to the category type that include the characteristic of customer entity information corresponding to the variable for the category type.

18. A system for detecting fraud among a set of documents, comprising:

a database for storing the set of documents, wherein each document includes customer entity information; and

a fraud detection system configured to;

receive the set of documents from the database,

assign the set of documents to a category, each category having a plurality of category types and wherein each document is further assigned to one of the plurality of category types, and where each category type is associated with a variable that corresponds to a characteristic of customer entity information, and

for each variable in each category type,

define a control limit reflecting a predetermined limit for a rate of occurrence of the variable within documents associated with the category type, and

detect fraud based on the rate of occurrence for the variable exceeding the control limit.

19. A system for detecting fraud among a set of documents, comprising:

a database for storing the set of documents, wherein each document includes customer entity information; and

a fraud detection system configured to;

assign the set of documents to a category, wherein the documents assigned to the category are further assigned to one of a plurality of category types, each category type having a variable associated with a characteristic of customer entity information,

determine, for each category type, whether the respective variable exceeds a predetermined control limit,

identify any category types that may indicate fraud based on a determination that the respective variable for that category type exceeds the predetermined control limit,

filter those documents assigned to an identified category type identified for fraud, and

analyze the filtered documents to determine whether they may include fraudulent information.

20. The system of claim 19, wherein the predetermined control limit reflects a certain number of documents included in the category type that include inconsistent customer entity information corresponding to the variable.

21. The system of claim 19, wherein the fraud detection system is further configured to:

determine, for each variable in each category type, a difference value between a number of documents in the respective category type that include the characteristic of customer entity information corresponding to the variable and a control limit for the variable.

22. The system of claim 21, wherein the fraud detection system is further configured to:

designate a category type as indicative of fraud when its corresponding variable has a difference value above a predetermined threshold value associated with the corresponding variable.

23. The system of claim 19, wherein the fraud detection system is further configured to:

selecting a final group of documents from the identified documents based on a type of customer entity provided in each of the identified documents.

24. The system of claim 19, wherein the fraud detection system is further configured to:

for each of the identified documents,

remove the identified document from a final group of documents based on a determination whether a customer entity provided in the identified document is one of a spouse, sibling, parent, or child of another customer entity identified in another document included in the identified documents.

25. The system of claim 19, wherein the fraud detection system is further configured to:

for each of the identified documents,

remove the identified document from a final group of documents based on whether a customer entity included in the identified document is a student.

26. The system of claim 25, wherein when the fraud detection system removes the identified documents, the system further removes the identified document from the final group based on whether (i) a customer entity included in the identified document is a student and (ii) an address included in the identified document is the same as addresses included in a certain number of other of the identified documents.

27. The system of claim 19, wherein the fraud detection system is further configured to:

for each filtered document,

contact a customer entity identified in the document to verify the customer entity information included in the document.

28. The system of claim 19, wherein the fraud detection system is further configured to:

generate a user interface that presents (i) the customer entity information for each filtered document and (ii) a template including one or more queries that are responded to by a user based on a progress of verifying customer entity information in a selected filtered document.

29. The system of claim 19, wherein the fraud detection system is further configured to:

for each category type,

determine that a category type is indicative of fraud based on a number of a plurality of variables that exceed the predetermined control limit for the category type.

30. The system of claim 19, wherein the predetermined control limit reflects a certain number of the documents assigned to the category type includes the characteristic of customer entity information corresponding to the variable for the category type.

31. A computer-readable medium including instructions for performing a method, when executed by a processor, for detecting fraud among a set of documents, the method comprising:

collecting a set of documents, each document including information associated with a customer entity;

selecting a variable reflecting a characteristic of customer entity information provided in a document;

assigning the set of documents to a category type associated with the selected variable;

defining a control limit reflecting a predetermined rate of occurrence of the selected variable within the set of documents associated with the category type; and

filtering the set of documents, based on a determination that the control limit is exceeded, to detect possibly fraudulent information.

32. A computer-readable medium including instructions for performing a method, when executed by a processor, for detecting fraudulent information among a set of documents, wherein each document in the set of documents includes customer entity information and is assigned to a category, and wherein the documents assigned to the category are further assigned to one of a plurality of category types, each category type having a variable associated with a characteristic of customer entity information, the method comprising:

determining, for each category type, whether the respective variable exceeds a predetermined control limit;

identifying any category type that may indicate fraud based on a determination that the respective variable for that category type exceeds the predetermined control limit;

filtering those documents assigned to an identified category type identified for fraud; and

analyzing the filtered documents to determine whether they may include fraudulent information.