Fraud Awareness Session - WestJet
Presented by Alexis Gunderson
Team Leader
WestJet Fraud Investigation
Agenda
• Fraud Investigation Team
• The Fraudster M. O.
• Travel Industry Fraud Trends
• Strategies to Mitigate Fraud Risk
• The Cost of Fraud
Fraud Investigation Team
WestJet Fraud Investigation Team
Established dedicated team in 2007
Identify & prevent fraudulent bookings
Manage chargebacks
Internal system access abuse
investigations
• Respond to police requests
• Fraud Awareness
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The Fraudster M.O.
Who are these Fraudsters?
Friendly Fraudsters – Legitimate customers who file a chargeback in error
Opportunistic Fraudsters – knowingly accept high risk deals, don’t
ask any questions
Organized Crime – stealing identities and credit
cards to book flights for victims or others within
their criminal network.
Proceeds of fraud enterprises fund serious criminal activities such as
theft, fraud, illegal immigration, sex crimes, and drug offences.
Travel Industry Fraud Trends
Fraud Trends
Basic Fraud Profile:
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Third Party credit card
Multiple declines
Last minute
One way
Free (web based) email domain.
• Ex: Hotmail, Yahoo, Gmail
• High risk station (YUL, YYZ, MBJ, KIN, POS)
• Multiple geographic elements***
Fraud Trends
Multiple Geographic Elements
Fraud Trends
Evasive Behavior
• Caller confuses the PNR details
• Doesn’t know the spelling of the names
• Doesn’t know their own phone number
• Mispronounces the names or spells everything and doesn’t pronounce anything
• Calls late in the day, in a rush
• Repeats the questions back before providing an answer
Strategies to Mitigate Fraud Risk
Strategies
Automated Tools
• CVN/CID - Security code on credit card
• Fraud screening tool (Interceptas)
• Ethoca fraud alerts
System Limitations
• After hours processing
Are reservations made after-hours (online) screened?
Canadian Anti-Fraud Centre
•Toll Free: 1-888-495-8501 •Toll Free Fax: 1-888-654-9426
Fraud Reporting System (Secure Online Services)
Basic steps to verify a suspicious order
Manual name, address and phone verification
• Contact issuing bank
Reverse address look up
• Canada411.com
• 411.com
Email Services:
• Emailage
• Facebook
• Spokeo
Contact phone on file:
• In service? Wrong number?
• Interview for evasive behavior
Strategies
Fraud Screening Tools
Accertify’s Interceptas Data Management
Platform
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Negative database
Positive database
Rules based scoring
American Express Risk Management
Shared client databases
Link Search
Managed services – after hours fraud screening
Strategies
Education for Front Lines
• Train employees to spot fraud identifiers, ensure
employees understand the consequences of fraud
• Front line incentive program, rewards and recognition
Strategies
Establish relationships with supplier
Fraud Investigation teams
WestJet Fraud Investigation
Phone: 403-444-2248
1-877-223-0117
Email: [email protected]
Collaboration
Travel Trade
– Educational seminars
– Fraud data share
– Canadian Anti-Fraud
• validation services, data share
– ACTA Fraud Committee
Fraudsters will often book duplicate itineraries with
multiple travel providers.
When refused service with WestJet, they will try other
carriers.
Evidence required to dispute a
chargeback
_Signed and Imprinted Sales Slip
_Signed Terms & Conditions
_Documentation of additional
cardholder transactions to establish
positive history (>5 months)
_Photocopy of government photo ID
_Photocopy front and back credit card
_Signed credit card authorization
_Signature panel on ID matches credit
card, matches authorization form
Face to Face transactions (Card Present):
The Associations rules require a signed and card imprinted (if not cardswiped) transaction document to establish cardholder participation
Non Face to Face transactions (Card Not Present):
We are required to provide as much information as possible to establish
cardholder participation in a transaction. Non face to face transactions
are made at our your own risk.
Chargeback Timelines
The Cost of Fraud
Cost of Fraud
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Impacts profits
Brand/reputation
Guest loyalty
Shareholder confidence
The Dollars
Prevented Fraud
Numbers to remember
Issuing Bank Phone numbers:
• Global VISA 1-800-847-2271 (option #2)
• MasterCard Global Services 1-800-826-2181 (press 121)
• American Express Merchant Services 1-800-528-2121 or
Verify It
• Discover 1-800-347-3723 or Verify +
Canadian Anti-Fraud Centre:
1-888-495-8501 or email [email protected]
http://www.antifraudcentre-centreantifraude.ca
Thank you!
Alexis Gunderson
Team Leader,
Fraud Investigation
WestJet
[email protected]