IDEAS home Printed from https://ideas.repec.org/a/mbr/jmbres/v6y2014i18p91-108.html
   My bibliography  Save this article

Fraud Detection in Credit Card Transaction by the Dendritic Cell Algorithm (in Persian)

Author

Listed:
  • Sarvnejad, Samaneh

    (Iran)

  • Ebrahimi, Reza

    (Iran)

  • Monajemi, Seyed AmirHossien

    (Iran)

Abstract

The problem of lack of security in transactions is a relatively new challenge for developing e-banking in recent years. So, fraud detection has been one of the most important issues in financial institutions and specially banks. On the other hand, credit card banking is one of the main branches of e-banking. Although lots of researches have been done in the field of fraud detection, the trustful ways with high detection rate in credit card have been rarely investigated. Therefore, in this paper we concentrate on this narrow field. We applied credit card fraud detection by Artificial Immune System (called as AIS) algorithms and specially the dendritic cell algorithm (Called as DCA). It has the advantage of not having a training phase shortening the application process and low weight in computation improving detection speed. Furthermore, it is appropriate for data stream which is used in online fraud detection. The experimental results show that DCA is suitable enough for fraud detection in credit card based on 90% detection rate. In addition, this algorithm decreases the FP rate by applying safe signal.

Suggested Citation

  • Sarvnejad, Samaneh & Ebrahimi, Reza & Monajemi, Seyed AmirHossien, 2014. "Fraud Detection in Credit Card Transaction by the Dendritic Cell Algorithm (in Persian)," Journal of Monetary and Banking Research (فصلنامه پژوهش‌های پولی-بانکی), Monetary and Banking Research Institute, Central Bank of the Islamic Republic of Iran, vol. 6(18), pages 91-108, March.
    • Handle: RePEc:mbr:jmbres:v:6:y:2014:i:18:p:91-108
    as

    Download full text from publisher

    File URL: http://jmbr.mbri.ac.ir/article-1-106-en.pdf
    Download Restriction: no
    File URL: http://jmbr.mbri.ac.ir/article-1-106-en.html
    Download Restriction: no
    File URL: http://jmbr.mbri.ac.ir/article-1-106-fa.html
    Download Restriction: no
    ---><---

    More about this item

    JEL classification:

    • A12 - General Economics and Teaching - - General Economics - - - Relation of Economics to Other Disciplines
    • F47 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Forecasting and Simulation: Models and Applications
    • L81 - Industrial Organization - - Industry Studies: Services - - - Retail and Wholesale Trade; e-Commerce
    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mbr:jmbres:v:6:y:2014:i:18:p:91-108. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: M. E. (email available below). General contact details of provider: https://edirc.repec.org/data/mbcbiir.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.