Enterprise Fraud ProductFIS Payments

June 2017James Heystek

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This Product Roadmap is the confidential information of Fidelity Information Services,

LLC (FIS™) and contains information about potential future developments to FIS’

products, but neither this document, nor any associated meetings or communications,

constitutes an offer, request, commitment or contract of any kind. This document and

any associated meetings and communications shall not impair or restrict FIS’ right to

develop, make, use, acquire, procure or market jointly or individually products or

services, now or in the future, in FIS’ sole and absolute discretion. Future FIS product

implementations may vary, in FIS’ sole and absolute discretion, and may be based

upon a variety of factors, including without limitation, changes in the products and

services offered in the financial services industry, changes in the strategic direction of

FIS clients, developments in the technology services industry, and FIS’ own strategic

direction. ALL INFORMATION PROVIDED IN THIS DOCUMENT IS PROVIDED “AS

IS” AND ANY WARRANTIES, EXPRESS, IMPLIED, STATUTORY OR OTHERWISE,

ARE DISCLAIMED IN THEIR ENTIRETY.

Future scope statement

Product Roadmap Disclaimer

Fraud mitigation solutions for full card lifecycleThe increasing ways consumer interact with payments also increases the risk of fraud

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OriginationValidating consumer at

time of application is

just the start and

allows the ability to

capture key insight to

the consumer

Account LoginA consumers access

credentials can be

compromised by force or

friendly means

Card Present

TransactionTypical fraud has been

reduced my EMV but new

tactics are being used

Card Not Present

TransactionOnline and mobile

transactions should require a

step up authentication when a

transaction is risky

Address ChangeFraudsters attempt to change

address to aide in theft and

the ability to confirm the

change is correct

Card ReissuanceCards being sent out need to

go to the correct place to stop

fraud before it happens

What’s driving fraud innovation in the payments space?

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U.S. drives

majority of

global card

fraud

Fraud is

shifting to

Card-Not-

Present

Rise of

application

fraud

False positive

reduces card

usage

Counterfeit

was still king

in 2016

Fallback fraud

challenges –

High

percentage of

valid activity

ID Theft/social

engineering

remains a

challenge

Identity theft

directly tied to

data breaches

Omni-Fraud ProtectionLeverage each channel’s unique processing to create a holistic view to fraud mitigation

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• Alternative banking

• Unique customer behavior &

banking products

• Consumer authentication

• Device authentication

• Detect malware

• Social Media

• Consortiums

• White papers

• Research collaborations

• Enterprise view

• Feedback loop

• Automate process

• Protection starts at POS

• Detect chargebacks quicker

• Leverage consumer data

• High volume activity

• ATM Data

• Credit trends to predict

• Secondary banking

Card Fraud & Decisions Solutions Products

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SecurLOCK SuiteSolutions for card fraud mitigation

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Transactional Monitoring Consumer Engagement

Post-Transaction Mitigation Data Intelligence

SecurLOCK – Neural Network Transactional Monitoring

SecurLOCK Profile – ATM / Merchant Scoring Elements

SecurLOCK Intelligence – Machine Learning Feedback Loop

SecurLOCK Equip – Consumer Control App

SecurLOCK Communicate – 2-way Messaging Fraud Alerts

SecurLOCK Warranty – Loss Protection

SecurLOCK Manage – Compromise Events

SecurLOCK Demand – Custom Rules

SecurLOCK Predict – Dedicated Fraud Analyst

SecurLOCK Analytix – Data Reporting

FIS Fraud Forum – Quarterly Fraud Trend Webinar

Prepaid will be begin

product roll out starting

Q4 2017

✓ Monitoring using FICO’s Falcon® Artificial Intelligence platform

✓ Real-time scoring

✓ Direct consumer contact

SecurLOCK

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SecurLOCK Intelligence

SecurLOCK Profile

SecurLOCK

Predictive models

Current global fraud trends

Adaptive models

Transaction monitoring in tiers to provides global level evaluation with flexibility to

create a customized portfolio level fraud mitigation card program

Note: Clients enrolled in SecurLOCK Warranty & SecurLOCK Predict will only be billed the 1-time implementation fee

and no increase to their monthly authorization fees

Real-time ATM monitoring

Machine Learning

Automated model training

TIER III

TIER II

TIER I

SecurLOCK IntelligenceMachine Learning that adapts system everyday from fraud cases reviewed to becomesmarter over time

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Broad fraud detection with portfolio

specific characteristics

Increased fraud detection through

identifying short-term changes of

purchasing behavior

Adapting models with daily updates to

fraud rules as the fraud trends shift

Models become smarter on every case

based on the actions analyst status a case

Card

Transaction

Fraud

Prediction

Evaluate

Results

ML

Algorithm

Live October

2017

Consumer engagement solutionsTechnology to engage cardholders as part of the fraud mitigation process

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SecurLOCK Equip

What is it?

Gives your consumers the ability to

control their payments card with In-

App controls

How Does it Work?

Switch card on/off

Set transaction size and type

Control by location

SecurLOCK Communicate

What is it?

Auto case resolution features generated to

consumers as a result of fraud alerts

How Does it Work?

2-way contact with cardholder via:

SMS/text alerts, e-mail, and Interactive

voice calls

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SecurLOCK ManageWhat is it?

A secure browser-based tool designed to help financial institutions efficiently

manage compromised credit and debit fraud events

How Does it Work?

Evaluate cardholder risk

Facilitate selective account blocking

Reissue plastics

Enable targeted fraud monitoring

What are the Benefits?

Reduce the administrative costs associated with compromised accounts

Automate the receipt of VISA® Alerts and MasterCard® fraud events

Mitigate losses through card blocking SecurLOCK WarrantyWhat is it?

Warranty against unrecoverable fraud losses over $50 per occurrence

How Does it Work?

If FIS can’t stop the card fraud we will warranty the loss FIS uses a collaboration

of systems and processes to mitigate fraud losses on behalf of the institution

What are the Benefits?

Ability to offer credit and debit cards without fear of fraud loss

Turnkey fraud detection, prevention, investigation and recovery

Clients that enroll enjoy an average 35% to 40% reduction in overall fraud

Customized programCreate custom rules for your program that are tailored to your unique cardholder based on fraud trends identified and your risk tolerance

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SecurLOCK DemandWhat is it?

Submit requests for custom fraud prevention strategies surrounding their card programs

How Does it Work?

Client submits custom rules request

Risk Analytics Team evaluates the fraud trend/event

pre-deployment testing for an impact analysis

Client receives the impact analysis and rule definition criteria

What are the Benefits?

Create custom rules based on your specific programs and cardholders

React quickly to fraud trend

SecurLOCK PredictWhat is it?

Customized fraud-strategy program that addresses fraud specifics to each issuer’s

portfolio

How Does it Work?

Dedicated fraud analyst

Ongoing analysis to ensure timely and effective rule performance

Monthly performance reports showing rule effectiveness and fraud types targeted

Quarterly executive briefing

What are the Benefits?

Clients receive a dedicated fraud analyst and retain control over strategies

Significant reduction of fraud losses

Access to in-depth analysis of current fraud trends specific to the portfolio

Fraud forumQuarterly webinar created to address the challenges and difficulties posed by the card fraud industry

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FIS card fraud analyst

group provides latest

trends

Insight to how the fraud

is moving through

payments

Deep dives to help

better manage portfolio

risk

SecurLOCK Analytix

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• What is it?

A suite of fraud reporting solutions that include data extracts,

drill-down reporting, and info graphs that allow

Clients data visibility.

• What does it do?

Interactive dashboards

Ability to filter and drill down

Ability to create and schedule reports

• What are the Benefits?

Addresses individual business needs to

ensure optimal operational efficiencies

Ability to answer critical business questions

to make informed decisions

Thank you James, Product Solutions Consultant | FIS Payments

James.Heystek@FISglobal.com