Index IntroductionCarding ProcessAttack TechniquesIssues with Credit Card Fraud DetectionCredit Card Fraud Detection MethodsBiometric ApproachLearningConclusionThe banking industry involves a lot of transactions for its daily operations and now they have understood that their main concern is how to detect fraud as early as possible. In this document I have included information regarding the basics of carding. How this threat becomes more challenging every day. Process on how this threat is conducted and how we can prevent this threat from being conducted. The processes discussed in this study are phishing, skimming, and triregulation and copying overview. And there are several methods for carding process detection which biometric approach and learning are also included. These technologies will help diagnose credit card fraud and provide the acquiescent result. Using these techniques will help distinguish credit card transactions generally into two types: legitimate and fraudulent transactions. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an Original Essay Introduction Bank is a financial institution that accepts deposits from the public. And it becomes a big concern for the bank if any kind of deposit fraud occurs. It is mentioned by K. Chan & J Stolfo et. However, there are many types of fraud, and in general, financial fraud affects bank fraud a lot. According to Leukfeldt (2010) and Taylor et al (2006), Internet fraud will target many victims in the future. Cyber ​​criminals are constantly looking for new and better methods to increase their chances of success. An organization called Citigroup suffered losses of about $2. 7 million in losses – which is just one of many examples – after hackers found a way to steal credit card information from its website and post fraudulent charges. In this article we will discuss credit cards. Carding can be broken down into two separate phases: the set of techniques through which credit card information and other payment information ends up in the hands of criminals, and how this information is used by criminals. Carding encompasses multiple forms of cybercrime (such as spamming, identity theft, or credit card fraud), and carding must be taken seriously. The Carding Process Carding can be divided into two separate phases: collection of credit card information and collection. credit card information. There are many frauds detected that affect the bank, merchants and customers. Some of them are listed below:Receiving emails: of newly issued cards.Copying: or replicating card details through cloned websites.Phishing: where the credit card number and password are hacked such as through emails, etc. Triangulation: In this type of fraud, the scammer creates an authentic-looking website and advertises the sale of goods at much lower prices. Unknowing users get attracted towards such sites and carry out online transactions. They submit their card details to purchase such goods. And then scammers use this card information to make genuine transactions. Skimming: This means obtaining credit card information and additional information to make payments on behalf of victims. After collecting all this credit card data, the main goal is to steal data as well as sell or trade. Stealing money is called encashment. The card cashing process can be divided into four different typesmethods. The following definitions are summarized: Online Carding: Purchase product online with stolen credit card information, does not require a physical card, only requires the credit card number and other information to make a payment. In-store carding: Encodes a fake credit card with stolen account information, which is used in a physical location (store). Gift Card Sales: This includes purchasing gift cards from brick-and-mortar retailers using counterfeit credit cards. How to purchase items with Amazon gift cards. Then criminals sell these cards for a percentage of their real value. Cashing out: Refers to obtaining money instead of goods and services through the unauthorized use of stolen financial information. Instead of using the stolen information, criminals can also sell or trade it with the use of carding forums. Carding forums: These are meeting places (convergence settings) where tutorials, software and stolen information are exchanged or sold. Indicated with the term trafficking. The purposes or intentions according to Peretti (2009) of a carding forum are to inform, help, teach and create the possibility of exchanging or offering stolen information or resources to make carding possible. Attack techniques The spotlight on phishing is focused on the use of email, however nowadays other information tools can be used to trap, lure or attack individuals. The accessible online news articles about phishing however talked about email phishing. The exercises can be divided into phases. Before a phishing attack occurs, preparation is necessary. To decrease the risk of getting caught, you need a temporary, fake email account. However, just a fake email account doesn't give someone the ability to commit a phishing scheme. Some software is also needed. Phishing kits and pre-built websites can be purchased by other criminals and they look just like the real thing. Another key element of preparation is the use of a server. A server is essentially a PC that does stable work on several PCs in a system. A criminal can use the impenetrable facilitation, for example the bulletproof facilitation uses a server and its (rented) services to send spam and then emails. A PC criminal chooses an unfortunate victim intentionally or unknowingly. Be that as it may, there are circumstances in which no goal was chosen at the beginning of the plan. In that case, the target will be chosen later, when a phishing attack is possible. After the email locations of PC clients have been legally or illegally collected and the exploited people have been identified, the attack can occur. The phisher then sends messages, or in other words spamming. These messages contain tools that a phisher uses to collect data. When sending messages, it is imperative that a deceptive email, containing false data or a connection to a deceptive site, goes beyond any spam channels. The purpose is to persuade people that the email can be considered important, that the substance of that email is solid and authentic. This is the most basic minute. Individuals are simply an obstacle away from being misled or not. A client that downloads a connected document, without realizing that the document contains some type of data-stealing malware or spyware. On the other hand, the damaged individual accesses a hyperlink that sends him to a fake site or, in other words, the phisher. The unfortunate victim should enter crucial data here - PIN, card number etc. - which the phisher can use to withdraw cash. ANDIt is essential that a phisher also finds confirmation codes that can be used to complete trades. The people involved and the information flows between them will be discussed here. Since some preparation is required for phishing, some server providers and hosters may be included. Other than vendors and hosters, no other artists are included. The phisher attacks an unfortunate victim, possibly with the help of vendors and hosters, gets data in case he gets lucky, and at that point uses that data to get the money. Phishing can be summarized in a couple of fundamental perspectives, namely aggression, targeting, planning, persuasion and taking. Be that as it may, it takes a lot of attitude and vitality to get things done. A second attack technique is skimming. Skimming differs from other attack techniques because the information is obtained from devices instead of breaking in using computers. These devices can be purchased or made. Activities can be divided into several phases. See figure illustrating activities related to skimming. It starts with choosing a goal. This could be an ATM in a densely populated region. For example, banks, shops, restaurants or other places where people pay using ATMs can be targeted, skimmers use these ATMs to collect data. While collecting data from stores, restaurants and the like, the skimmer would initially have to penetrate (gain access to) a target and place a card reading device on the target's ATM. This generally happens in stores. To enter a store, a skimmer can persuade or ask individuals, for example, representatives - eagerly or reluctantly - to place a gadget on a store's ATM. After the data is stored on the gadget, the gadget is recovered. After collecting data from shops, restaurants, banks or corner shops, the skimmer - disguised - returns to the ATM and collects the gadgets, which contain all the important data that the skimmer can use money or offer. Some actors are involved in the screening process, as shown in the figure. When choosing a shop or restaurant, most of the time it is commissioned by an employer or someone who has access to the shop's ATM. Likewise a skimmer can penetrate a shop or other association independent of anyone else. Although, according to online news articles, this is not standard. It is less demanding for a skimmer to assign a worker to penetrate. Furthermore, there are equipment suppliers (skimming gadgets) who, clearly, provide the skimmer with all vital break-in tools such as gadgets, card readers, small cameras or console overlays. . Again, the skimmer can do this without anyone's help, however, once again, it is much less demanding and less expensive to have another person provide the anti-theft tools. Eventually, individual data (PIN, Visa data and check codes) will be taken from a customer or an injured person using robbery tools. A skimmer can use the data to create fake cards and use these cards to withdraw cash from an ATM or offer the data. A retriever may become interested in using the victim's data to withdraw cash from ATMs with fake cards and then offer it to the skimmer for a possible small reward. Another possible skimming situation that can be named but not mentioned in the articles covered is that a skimming scheme can take place in cities where skimmers persuade - affectively - or push young people to hand over their visas and stick codes. Withthese installment data, cash can be easily withdrawn from ATMs. This is a precedent to demonstrate that the consequences of this investigation can be integrated. Problems with Credit Card Fraud Detection There are many problems that make this technique extreme to perform and one of the most concerning problems related to recognizing misrepresentations is the absence of both writing that provides exploratory results and true information for scientists schools can carry out investigations. The purpose of this is the sensitive money related information relating to the misrepresentation which must be kept classified for the rationale behind customer protection. Currently, here we identify the distinctive properties that a cheat tracking system should have in order to produce legitimate results: The system should have the ability to handle asymmetric dispersions, since only a small percentage of all credit card transactions are fraudulent. There should be an adequate means to manage the noise. Noise is errors in the data, such as incorrect dates. This noise in the actual data limits the generalization accuracy that can be achieved, regardless of how large the training set is. Valid measurements are required to evaluate the structure of the classifier. For example, the generalaccuracy is not suitable for evaluation on an oblique transport, since even with high precision; all deceptive exchanges can be misclassified. Another issue with this field is data overlap. Many transactions may resemble fraudulent transactions when in reality they are genuine transactions. The opposite also happens, when a fraudulent transaction appears authentic. The framework should cover the amount of money that is lost due to extortion and the amount of money that will be needed to distinguish such extortion. For example, you get no benefit by blocking a deceptive trade that is less than the amount of money that will be needed to distinguish it. Systems should be able to adapt to new types of fraud. Because after a while, successful fraud techniques lose their efficiency because they become well known because an efficient fraudster always finds new and creative ways to do their job. Credit Card Fraud Detection Methods A legitimate and intensive writing study explains that there are several techniques that can be used to recognize credit card identification for extortion. Some of these approaches are: Artificial neural network Bayesian network Neural network Hidden Markov method Genetic algorithm. In our research paper, as stated earlier, we will highlight the genetic algorithm and how it is used in credit card fraud detection systems. Biometric Approach Kenneth Aguilar and Cesar Ponce et al. characterizes that all human beings have specific qualities in their conduct and furthermore in their physiological qualities. Here social qualities mean the voice, signature, keystroke, and so on of any human being. Furthermore, physiological attributes involve fingerprints, comparison image, or hand geometry. Biometric data mining is a use of learning dissemination procedures where we provide biometric data with the thought process to distinguish projects. According to Revett Henrique Santos, we can have the following characteristics that can identify patterns. Characteristics that can be recognized by the biometric system Typing patterns: Revett and Henrique Santos defined the typing pattern in terms of duration or.