The Top Fraud Detection Startups in India

Over the last few years, Artificial Intelligence (AI) has gained incredible prominence across business verticals with organisations realizing its value. A recent report from the Reserve Bank of India responding to an RTI petition related to bank fraud has shown that the banking and financial services (BFS) sector can greatly benefit from leveraging AI. According to official data, as of March 2021, banks in India reported fraud worth ₹4.92 trillion. With a staggering increase in fraudulent practices by malicious actors, the BFS industry is in desperate need of better monitoring and management tools. We can make it work in five ways in which technology can drive security and ensure better management in the industry.
Here are some of the leading platforms users can use to safeguard themselves 
Clari5: Founded in 2006, Bengaluru-based Clari5 is considered one of the market leaders in fraud detection and sells its financial crime risk management software product. The company serves Tier-1 banks in 15+ countries and processes data generated by over 10 billion transactions for real-time, cross-channel enterprise fraud management and anti-money laundering. It also has the world’s largest fraud analytics implementation, with 200 million financial accounts at a single site. The firm uses intelligent models based on neural networks, time series and complex analytics to provide insights into fraud and risks. In 2011, the company raised Series A funding of $4 million from investment firm JAFCO Asia and also received funding from Microsoft Accelerator. Also In January 2015, the company collaborated with EY to help banks fight enterprise fraud by linking the forensic capability of EY’s fraud investigation and dispute services (FIDS) practise, and Clari5’s cross-channel fraud management to present specialised solutions. Clari5 also partners with Microsoft, RedHat, Cisco and Intel to co-provide real-time fraud management and customer experience solutions to financial institutions.
Globsyn 3rd.Life: Founded in April 2017, Globsyn 3rd.Life has developed products and solutions to detect abnormality with respect to cross-border payment transactions. It also helps banks remain compliant with all necessary global SWIFT-related Customer Security Programme (CSP) guidelines and Reserve Bank of India’s SWIFT-related mandates (as published in its February 2019 circular).
Trustcheckr:  Founded by Adhip Ramesh and Shivraj Harsha, Trustcheckr enables Digital Safety for Organisations and Individuals by pre-empting digital frauds in the growing online transactions using digital data available across the web including deep and dark web data. TrustCheckr, the single point of focus is to identify and eliminate fraudulent digital identities from the corners of the web to secure businesses and customers. TrustCheckr provides cross industry fraud insights platform using APIs and provides TrustCheckr Score to enable organisations and individuals to identity the risk associated. We provide following APIs:TrustCheckr Digital Identity Verification
  • TrustCheckr Phone Risk
  • TrustCheckr Email Risk
  • TrustCheckr Web RiskUsing TrustCheckr APIs, organisations can unlock the following values:
  • 25% reduction in fraud rates during on-boadring
  • 30% increase in automation
  • 15% decrease in manual reviews18% savings in overall costs
Simility: Paypal owned Hyderabad startup Hyderabad and Palo Alto-based Simility was founded in 2014. It provides cloud-based and on-premise fraud detection software solutions. The main product is an adaptive fraud prevention solution which delivers enterprise-level performance and scalability. The adaptive fraud solution identifies complex fraud and abuse in real-time by ingesting any type of data – structure, unstructured and third-party data. Together with a complex device history plus new data feed, their product can be operational and provides value in just a few hours without requiring assistance from developers. It uses machine learning, giving users deep insights on user behaviour. It also uses ML to feed data back into an instant data label for optimal cross-channel and fraud detection capabilities. The rules and models can be easily updated without the need to write a single line of code. It uses the simple user interface that lets data analysts easily configure rules which can then give a 360-degree view of the customer with drill-down analysis, decision workflows and network graphs. In 2018 PayPal Holdings acquired the startup for $120 million in cash. The company had raised around $25 million in funding prior to that also. 
RazorpayThirdwatch: Razorpay acquired Gurugram-based fraud analytics startup Thirdwatch. Today the firm is one of the most prominent Indian startups that leverage AI for e-commerce fraud analytics. On the Razorpay platform, the team captures billions of events each day and uses that data to feed into AI models.  This is then used to prevent fraud in digital and e-commerce transactions.

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