By Megan Doyle | American Express Credit Intel Freelance Contributor
5 Min Read | October 28, 2020 in Cards
American Express offers several layers of fraud protection to help protect its Card Members from credit card fraud.
Card security, online account security, and the advanced analytics to evaluate thousands of data points on every transaction all work together to help prevent fraud.
Although American Express’ fraud protection solutions work behind the scenes to protect you from fraud around the clock, it’s also important for you to take proactive steps against credit card fraud, like signing up for fraud alerts.
Credit card fraud is increasingly common. Americans pay by credit card more and more, and fraudsters constantly evolve their schemes to steal personal information. But credit card fraud protection techniques are always improving too. American Express was an early developer of artificial intelligence expert systems for fraud detection,1 and has remained on the cutting-edge of fraud protection methods ever since.
From basic account security to sophisticated machine learning models that analyze thousands of data points in real time, here’s a close look at how American Express fraud protection techniques work behind the scenes, 24/7/365, to help keep you safe and secure.
Your American Express® Credit Card is encoded with personal information that’s connected to your Card account. This also means that your physical Credit Card must have several layers of fraud protection built into that slim rectangle that you slip right into your wallet. For example:
Data plays a key role in accurately detecting fraudulent activity. But identifying fraud patterns within mass amounts of data is difficult without leveraging advanced analytics, like machine learning. American Express uses a machine learning-powered fraud detection model to monitor in real-time and generate a fraud decision in milliseconds every single time an American Express card is used around the world. That’s for more than $1.2 trillion in transaction value every year.
American Express helps prevent credit card fraud whenever you log on to your account, in a few ways:
You can also log on to your American Express account to opt into fraud alerts. You can choose between receiving an email and/or text message every time your account experiences:
American Express’ globally integrated payment network creates direct relationships with both Card Members and merchants, which provides a unique advantage when it comes to fighting fraud. American Express provides payment services to its Card Members and merchants directly, without using third-party financial institutions. Compared to an open-loop system where card issuers partner with third-party banks, this closed-loop system helps provide American Express with more visibility into data that is necessary to detect and prevent suspicious transactions – particularly ones made outside of your normal spending habits.
In addition, American Express offers several tools that merchants can use to further protect you against fraud, such as:
If a fraudulent transaction is attempted, you will be alerted immediately. So it’s a good idea to keep your account and contact information accurate and up-to-date.
American Express works hard to protect you from fraud, but it’s also important for you to take an active role, too. For example, if you notice any suspicious activity or possible fraud attempts, be sure to contact email@example.com, or call the number on the back of your card.
With the following actions, you can do your part to help prevent credit card fraud:
To learn more about how American Express helps protect your account and what you can do to keep yourself safe, visit the Security Center.
After pioneering early fraud detection methods, American Express has been consistently at the forefront of credit card fraud prevention. Today, several layers of fraud protection work together to help keep Card Members safe, from online account security to using cutting edge technology to scan thousands of data points in every transaction. At the same time, though, Card Members can do their part by monitoring their accounts, signing up for fraud alerts, keeping their contact information up-to-date, and creating strong passwords and PINs.