vPAYSTRAX partners with Featurespace to strengthen fraud prevention across Europe

PAYSTRAX, a leading payment processing solution serving merchants across the European Union and the United Kingdom, has entered into a significant partnership with Featurespace, a global leader in fraud and financial crime prevention technology. This collaboration aims to fortify PAYSTRAX’s security measures against fraudulent activities, leveraging Featurespace’s advanced technology to enhance transactional safety.

As PAYSTRAX continues to expand its services across various industries, the integration of Featurespace’s fraud prevention technology will play a crucial role in analyzing transactional behaviour and identifying suspicious activities. This partnership is timely, given the alarming projections from Merchantsavvy, which anticipates that global losses from online payment fraud could reach $343 billion between 2023 and 2027. Furthermore, the United Nations Office on Drugs and Crime (UNODC) estimates that money laundering alone contributes up to $2 trillion USD in losses, equating to 5% of global GDP.

PAYSTRAX, which boasts a customer base of over 500 merchants in the UK and the European Economic Area, has a reputation for high technology, data security, and innovation. The company’s focus on these areas aligns seamlessly with Featurespace’s ethos. Through this partnership, PAYSTRAX will utilise Featurespace’s Merchant Monitoring solution, which is designed for real-time data analytics. This feature enables rapid recalibration of fraud detection rules, enhancing PAYSTRAX’s ability to prevent both existing and emerging forms of fraud.

The Merchant Monitoring solution will allow PAYSTRAX to detect suspicious activities, generate high-risk merchant lists, and provide detailed transactional scores. Additionally, it predicts fraud risk for each transaction and triggers alerts for suspicious activity. Featurespace will offer ongoing consultancy support to ensure that PAYSTRAX remains at the forefront of fraud prevention.

Featurespace’s technology has a proven track record of success. For instance, its solution has previously achieved a 50% reduction in fraud losses and an 81% decrease in the number of genuine transactions declined for a major global payments processor. This success underscores the effectiveness of Featurespace’s approach to fraud prevention.

Wolfgang Specht, Head of Merchant Risk and Project Management at PAYSTRAX, expressed confidence in the partnership, highlighting Featurespace’s ability to deliver rapid and accurate insights into transactional behaviours. He noted that the technology will enhance PAYSTRAX’s decision-making process, allowing for swift adaptation to changing fraud patterns.

Martina King, CEO of Featurespace, also expressed enthusiasm about the collaboration. She acknowledged PAYSTRAX’s commitment to enhancing its fraud prevention capabilities and stated that Featurespace’s technology would help safeguard electronic payments across the UK and Europe, making the transaction environment more secure.

The partnership between PAYSTRAX and Featurespace represents a strategic move towards advancing fraud prevention and ensuring a safer transaction landscape for merchants and consumers alike.