Payment fraud can have devastating effects on a business. Besides huge financial losses, an organization risks damage to its reputation and broken customer trust when it gets branded as “high-risk.” 

This is why fraud prevention software should be a top priority. 

That said, some fraud prevention software is better at protecting your company than others, so it’s important to choose the right software. In this article, we’ll walk through what features to look for in fraud prevention software and give an in-depth review of our top 10 picks. 

Features to look for in fraud prevention software

Deciding to implement fraud prevention software is an excellent first step toward establishing stronger security protocols for your business. However, choosing the best option means understanding which features are must-haves for your unique operations. 

Let’s look at some of the top features to make sure your fraud prevention software includes:

Real-time monitoring and analysis

Real-time monitoring and analysis help detect fraud as it happens or shortly after. Otherwise, without it, a company would rely solely on historical data. This would create loopholes in your fraud prevention strategy because it’s often too late to stop a suspicious transaction. 

In contrast, systems with real-time monitoring and analysis can detect unusual activity and set an alert, prompting swift action. A good example is what happens when a customer makes a purchase that exceeds a set limit.  

Device and browser fingerprinting

Device and browser fingerprinting uses JavaScript or other methods to collect information about a device (hardware and software) and browser, analyze the data, and create a unique fingerprint. You can use these unique characteristics of each user’s device and browser to identify the device each time it connects to the internet. 

Businesses can leverage device fingerprinting technology to detect and prevent fraud and enhance website security. Whenever the device exhibits behavior that contradicts its unique characteristics, the system detects and flags it as potentially fraudulent. 

Machine learning and AI

Machine learning and artificial intelligence (AI) work hand in glove, enabling systems to monitor and stop risks before fraud threats materialize. It’s very accurate in flagging suspicious activity, which keeps false positives to a minimum. Moreover, this happens so quickly behind the scenes that the customer journey remains unaffected.  

For this reason, most fraud detection features like real-time monitoring, risk assessment, risk scoring, data analytics, and device fingerprinting use machine learning and AI for efficiency, effectiveness, and speed.  

Chargeback prevention

The most common cause for illegitimate chargebacks is credit card fraud, where criminals use stolen credit card details to make purchases. Then, the legal card owner disputes the charges and receives a refund.  

Businesses can use fraud prevention software to reduce chargebacks. These tools enhance and streamline payment verification and security, identifying high-risk transactions before they’re processed and proactively responding to and disputing fraudulent chargeback claims.  

Behavioral analytics

Behavioral analytics offers insights into potentially fraudulent activities. It gathers a user’s transaction data and examines it to establish predictable behavioral patterns characteristic of the user. 

Businesses can use behavioral analytics for user authentication through anomaly detection. They can determine how legitimate users interact with their websites. And when a user’s behavior doesn’t fit the pattern, the system detects the inconsistency and flags it as potentially fraudulent activity. 

Customization

There’s no one-size-fits-all solution to fighting fraud. Rather, businesses need a holistic approach that serves unique risk profiles. That’s where customization comes in. 

Customization allows businesses to tailor fraud detection rules and thresholds to their specific needs and risk levels. Software with this feature uses AI and machine learning to learn fraud patterns, adapt to new ones, and even suggest the rules that apply to an organization’s specific risk challenge.  

User-friendly interface 

Your fraud detection software’s interface should be intuitive enough for users of all technical backgrounds. Otherwise, it would mean a steep learning curve for adoption and troubleshooting. Users would struggle with managing fraud detection tools. Executing vital fraud management-related processes, like configuring dynamic rules, monitoring transactions, and responding to real-time alerts, is difficult. 

Also, make sure your interface has no rigid or unnecessary hierarchies and the standard functions are all in one menu, not buried in multiple menus. This keeps everything streamlined and easy to find, minimizing the learning curve.

The 10 best fraud prevention software 

Now that you know what to look for in your fraud prevention solution, let’s highlight 10 of the industry’s leading software options. 

1. Fingerprint

Fingerprint is a highly accurate device intelligence platform that uses strong behavior, network, and bot detection signals to help businesses determine users’ true intentions in real time. This prevents payment fraud, account takeover (ATO), trial misuse, and SMS fraud. 

Fingerprint’s comprehensive device intelligence uses an innovative combination of browser fingerprinting, IP/URL analysis, device analysis, and machine learning to accurately identify up to 99.5% of returning visitors. Even the most sophisticated fraudsters don’t stand a chance of concealing their identity. 

Key features

• Device fingerprinting: Fingerprint’s identifier uses superior fingerprinting technology to identify devices at all user touchpoints with extreme accuracy. 
• Smart signals: Reveals user intentions, giving real-time, actionable intelligence on incognito browsing, malicious bots, blocklisted IPs, and more. 
• Mobile app traffic intelligence: Digs deeper into anonymous users’ mobile-specific signals, such as cloned applications and jailbroken devices.  
• Integrations: Seamless third-party integrations with APIs, quick-start SDKs, and webhooks for easy integration with your website, app architecture, and payment processing platform. 
• Customization: You can customize Fingerprint for advanced security and support. 

Pricing

Fingerprint has two payment plans — Pro Plus costs $99 monthly, and Enterprise is a custom plan with custom pricing.  

2. Signifyd

Signifyd helps businesses fight fraud and enhance authorization rates by optimizing payment platforms with intelligence reporting. Due to its highly automated solutions, the software offers a suitable fraud prevention solution for businesses with large volumes of transactions. 

Key features

• Risk analysis and exemption management: Helps businesses navigate regional regulations and route transactions toward where there’s the least resistance, reducing checkout friction. 
• Risk decisioning: Uses real-time machine learning to evaluate the risks behind payment requests and make decisions informed by identity intelligence to block illegitimate transactions. 
• Account protection: Helps businesses protect customer accounts from ATO attacks for a secure login-to-checkout experience. 

Pricing

Pricing is only available upon request. 

3. Kount

Kount is an e-commerce solution that helps businesses ensure safe and secure online interactions by detecting fraud, preventing chargebacks, and reducing false positives. Kount can be a good solution for growing online retail businesses as it focuses on e-commerce.

Key features

• Chargeback management: The software identifies issues, enabling businesses to resolve complaints speedily within the dispute time limit.
• Risk scoring: The software collects data, analyzes it in real time, and assigns a risk score after comparing it to other data points. 
• Compliance feature: This feature enables businesses to identify and block known fraudsters on government watchlists.

Pricing

Kount has four pricing plans. The Essentials plan costs $0.07 per transaction and is only available on Shopify and select e-commerce marketplaces. The Advanced plan starts at $1,000 per month. The Enterprise and Custom plans both require you to contact Kount for pricing details. 

4. SEON

SEON provides full-feature data enrichment (real-time digital, social media, phone, email, IP, and device data) to uncover fraud patterns, all with a modular API approach so you get to choose what you want to use. The flexibility it offers in addressing specific needs makes it a good fit for small businesses.    

Key features

• Transaction monitoring: SEON monitors transactions to flag suspicious behavior and block such interactions, preventing unauthorized account access, fraudulent transactions, and money laundering. 
• AML, API, and screening: These solutions enable a smooth and speedy onboarding experience, more data to work with (all in one platform), and improved risk analysis. 
• Risk scoring: SEON uses machine learning to create pre-built customizable and suggested rules and risk scores to help detect all kinds of attempted payment fraud. 

Pricing

SEON has a Free plan limited to two users, a Starter plan for $599 a month with a 30-day free trial period, and a Premium plan with custom pricing.

5. ArkOwl

ArkOwl is an email and phone number verification software that uses its massive up-to-date data coverage and real-time sources to enrich email data and phone numbers or IP addresses.

Key features

• API and batch queries: Integrates with fraud detection systems to enable businesses to check large amounts of email addresses at a glance.
• Email address analysis: Analyzes emails in real time to detect and highlight real names, signup dates, and registration statuses with service providers for email lookup and verification. 
• Phone number verification: Real-time phone number verification. 

Pricing

Pricing is only available upon request.

6. ThreatMetrix

ThreatMetrix is a digital intelligence solution that employs several targeted features to seamlessly distinguish between trusted transactions and fraudulent behavior. This prevents existing and emerging fraud threats across multiple channels.  

Key features

• Data analytics: The tool uses machine learning and advanced analytics to provide identity insights that power fraud risk management.  
• Smart ID signals: Helps identify returning users attempting to bypass traditional fingerprinting tools  
• Malware protection: Helps protect businesses from bot attacks, ransomware, illegitimate login attempts, and attempts to mimic legitimate user behavior. 

Pricing

Pricing is only available upon request.

7. Emailage

Emailage combines email addresses with email risk intelligence, providing businesses with powerful network intelligence and predictive fraud scoring to fuel fraud prevention while ensuring a seamless customer experience.

Key features 

• Email risk scoring: Emailage uses a patented proprietary analytic approach to power fraud detection.
• Advanced digital insights: Leverages advanced analytics, machine learning, and AI to provide a clear picture of risks, enabling businesses to assess risk at every touchpoint.
• End-to-end software stacks: As part of LexisNexis, Emailage has several software stacks.  

Pricing

Pricing is only available upon request.    

8. ClearSale

ClearSale leverages statistical tech and fraud analysts to help businesses detect fraud accurately, prevent chargebacks, and approve more orders.

Key features

• Fraud detection solutions: Combines statistical algorithms with fraud analysts’ reviews to flag suspicious orders.
• Fraud consulting services: Expert, fully customized e-commerce fraud consulting to help businesses fight fraud without negatively impacting customer experience. 
• Integrations: Integrates easily with existing software (plug-and-play or custom), making it easy to implement. 

Pricing

Pricing is only available upon request. 

9. Feedzai

Feedzai employs advanced analytics and profiling to uncover criminal networks and suspicious behavior patterns.

Key features

• AML transaction monitoring: Using flexible AML scenarios, Feedzai monitors customer behavior to detect suspicious activities at any entity or transaction level.  
• Alert prioritization: Feedzai uses machine learning to prioritize important alerts, helping businesses address the higher-priority risks first.
• Know Your Customer (KYC)/customer due diligence: Helps businesses perform customer due diligence that evolves as clients interact with their business by providing holistic risk scoring, interconnected risk signals, and trigger-based reviews.

Pricing

Pricing is only available upon request. 

10. FraudLabs

Fraudlabs Pro uses advanced algorithms that screen orders automatically, protecting merchants from fraud losses and chargebacks.

Key features

• Comprehensive fraud validation: Conducts a comprehensive fraud validation on all data points, enabling the system to detect fraud patterns effectively. 
• Validation rules customization: Offers a wide range of validation rules businesses can use to customize and automate their fraud checks and adapt them to evolving business needs.
• Global merchant network: An extensive global merchant network that shares data on fraud attempts and patterns, powering fraud detection.  

Pricing

Fraudlabs has several price plans: Micro, which is free, Mini for $29.95 per month, Small for $99.95 per month, Medium for $249.95 per month, Large for $499.95 per month, and Enterprise for $1,249.95 per month.  

Fortify your business against fraud with Fingerprint

By considering the features we have discussed above, you can’t go wrong in selecting a suitable fraud prevention tool. But to make things easier for you, any of the software in our review of the best fraud detection software will work.

However, if you want to stay a step ahead of fraudsters with maximum identity verification, Fingerprint is powered by the world’s best fingerprinting technology and guarantees 99.5% accuracy. 

Contact us today to fortify your business against fraud.