Developed through payments industry collaboration, the FraudClassifierSM and ScamClassifierSM models enable consistent fraud and scam classification across organizations. The models can help financial institutions speak the same language, improve prevention and detection, expedite claims intake and enhance customer education.
FraudClassifier Model
The FraudClassifier model provides an intuitive approach to classifying fraud. It offers a holistic picture to help organizations better understand the magnitude of fraud involving payments. The model supports consistent classification of fraud involving payments using a series of questions to classify fraud independently of payment type, payment channel or other payment characteristics.
ScamClassifier Model
The ScamClassifier model is a classification structure that supports consistent and detailed classification, reporting, analysis and identification of scams and related trends. It uses a series of questions to differentiate and classify scams by methods, categories and types.
The FraudClassifier and ScamClassifier models are not intended to result in mandates or regulations, and do not give any legal status, rights or responsibilities, nor are they intended to define or imply liabilities for loss or create legal definitions, regulatory or reporting requirements. While sharing and use of the FraudClassifier and ScamClassifier models throughout the industry is encouraged, any adoption of the FraudClassifier or ScamClassifier model is voluntary at the discretion of each individual entity. Absent written consent, the FraudClassifier and ScamClassifier models may not be used in a manner that suggests the Federal Reserve endorses a third-party product or service.