Re:Ottawa Bitcoin exchange defrauded of $100,000 in cyber cu...
by wikwocket on Tuesday March 18, 2014 @05:24PM
(#7425086)
Very interesting heuristic! I can see why data mining could be so useful for e.g. Paypal: analyzing data on known-fraudulent and known-valid transactions, looking for unexpected correlations...
Although in this particular case I wonder if the most benefit comes from simply flagging people who buy the product without trying it... and that is a heuristic that almost any SAAS could trivially implement.
Re:Ottawa Bitcoin exchange defrauded of $100,000 in cyber cu...
by toomuchtodo on Tuesday March 18, 2014 @01:09PM
(#7423263)
Thank you for sharing Patrick. Informative as usual!
Re:Ottawa Bitcoin exchange defrauded of $100,000 in cyber cu...
by euroclydon on Tuesday March 18, 2014 @03:58PM
(#7424587)
> a first name I've never seen before
You mean you just see if the first name is not already represented in BCC's user database? Under what conditions are your users required to give you their first name? For the trial or just for the purchase?
Re:Ottawa Bitcoin exchange defrauded of $100,000 in cyber cu...
by patio11 on Tuesday March 18, 2014 @11:39PM
(#7426696)
Paypal passes a first and last name with purchases, and some customers provide theirs in Settings (it's not a requirement), so I have about 5,000 or so lying around.
Re:Ottawa Bitcoin exchange defrauded of $100,000 in cyber cu...
by svenkatesh on Tuesday March 18, 2014 @09:20PM
(#7426254)
Why would he be refunding someone for a free trial? ...
Re:Ottawa Bitcoin exchange defrauded of $100,000 in cyber cu...
by euroclydon on Tuesday March 18, 2014 @11:03PM
(#7426576)
You're missing the point. He refunds a purchase if he's not seen the name before plus the other two conditions. My question is: what exactly does he mean by "I haven't seen the name before"?
This heuristic has literally perfect detection and recall [+] against a particular carder ring, which was using BCC to test cards (via our Paypal account, sadly, so I have limited pre-charge options to fix it) this summer.
Paypal, to their credit, has apparently shut down this carder ring, since I can't remember that heuristic firing in 2014. (Edit: Poor phrasing. The heuristic not firing doesn't mean I'm safe. Having a historical level of chargebacks, which is less than one a quarter, rather than having the carder ring induced "20+ in a week." suggests that I'm safe.)
[+] Edit: It's 2 AM and I can't remember if this is the right circumstance for that jargon. What I'm trying to say is, of the universe of charges that I can classify as good or bad at N months after the charge, 100% of the ones this heuristic flags are in fact caused by a carder ring and 100% of the ones this heuristic fails to flag are, to the limit of my current understanding, not caused by that carder ring.