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Money launderers take advantage of limitations in existing detection approaches by hiding their financial footprints in a deceitful manner. They manage this by replicating transaction patterns that the monitoring systems cannot easily…

Machine Learning · Computer Science 2026-04-15 Haseeb Tariq , Alen Kaja , Marwan Hassani

Fraudulent transactions and how to detect them remain a significant problem for financial institutions around the world. The need for advanced fraud detection systems to safeguard assets and maintain customer trust is paramount for…

Machine Learning · Computer Science 2023-12-22 Tomisin Awosika , Raj Mani Shukla , Bernardi Pranggono

As the complexity and dynamism of financial markets continue to grow, traditional financial risk prediction methods increasingly struggle to handle large datasets and intricate behavior patterns. This paper explores the feasibility and…

Machine Learning · Computer Science 2024-12-24 Haowei Yang , Zhan Cheng , Zhaoyang Zhang , Yuanshuai Luo , Shuaishuai Huang , Ao Xiang

We explore the use of deep learning hierarchical models for problems in financial prediction and classification. Financial prediction problems -- such as those presented in designing and pricing securities, constructing portfolios, and risk…

Machine Learning · Computer Science 2018-01-16 J. B. Heaton , N. G. Polson , J. H. Witte

In this report, I present a deep learning approach to conduct a natural language processing (hereafter NLP) binary classification task for analyzing financial-fraud texts. First, I searched for regulatory announcements and enforcement…

Computation and Language · Computer Science 2023-08-09 Qiuru Li

Money laundering is a profound global problem. Nonetheless, there is little scientific literature on statistical and machine learning methods for anti-money laundering. In this paper, we focus on anti-money laundering in banks and provide…

Machine Learning · Statistics 2023-03-22 Rasmus Jensen , Alexandros Iosifidis

Standardized datasets and benchmarks have spurred innovations in computer vision, natural language processing, multi-modal and tabular settings. We note that, as compared to other well researched fields, fraud detection has unique…

Machine Learning · Computer Science 2023-09-26 Prince Grover , Julia Xu , Justin Tittelfitz , Anqi Cheng , Zheng Li , Jakub Zablocki , Jianbo Liu , Hao Zhou

This paper systematically reviews advancements in deep learning (DL) techniques for financial fraud detection, a critical issue in the financial sector. Using the Kitchenham systematic literature review approach, 57 studies published…

Machine Learning · Computer Science 2025-07-31 Yisong Chen , Chuqing Zhao , Yixin Xu , Chuanhao Nie , Yixin Zhang

Financial fraud is an issue with far reaching consequences in the finance industry, government, corporate sectors, and for ordinary consumers. Increasing dependence on new technologies such as cloud and mobile computing in recent years has…

Cryptography and Security · Computer Science 2015-10-27 J. West , Maumita Bhattacharya , R. Islam

Money laundering is a global problem that concerns legitimizing proceeds from serious felonies (1.7-4 trillion euros annually) such as drug dealing, human trafficking, or corruption. The anti-money laundering systems deployed by financial…

Machine Learning · Computer Science 2022-06-20 Ahmad Naser Eddin , Jacopo Bono , David Aparício , David Polido , João Tiago Ascensão , Pedro Bizarro , Pedro Ribeiro

There is a growing demand for explainable, transparent, and data-driven models within the domain of fraud detection. Decisions made by fraud detection models need to be explainable in the event of a customer dispute. Additionally, the…

Machine Learning · Computer Science 2023-12-04 Samantha Visbeek , Erman Acar , Floris den Hengst

Deeplearning has been used to solve complex problems in various domains. As it advances, it also creates applications which become a major threat to our privacy, security and even to our Democracy. Such an application which is being…

Computer Vision and Pattern Recognition · Computer Science 2020-09-17 Rahul U , Ragul M , Raja Vignesh K , Tejeswinee K

Given a set of financial transactions (who buys from whom, when, and for how much), as well as prior information from buyers and sellers, how can we find fraudulent transactions? If we have labels for some transactions for known types of…

Machine Learning · Computer Science 2025-10-07 Robson L. F. Cordeiro , Meng-Chieh Lee , Christos Faloutsos

Financial crimes like money laundering and terrorism financing can have significant impacts on society, including loss of trust in the integrity of the financial system, misuse and mismanagement of public funds, increase in societal…

Cryptography and Security · Computer Science 2026-02-17 Yang Li , Thilina Ranbaduge , Kee Siong Ng

In shaping the Internet of Money, the application of blockchain and distributed ledger technologies (DLTs) to the financial sector triggered regulatory concerns. Notably, while the user anonymity enabled in this field may safeguard privacy…

Cryptography and Security · Computer Science 2023-03-21 Nadia Pocher , Mirko Zichichi , Fabio Merizzi , Muhammad Zohaib Shafiq , Stefano Ferretti

The automatic detection of frauds in banking transactions has been recently studied as a way to help the analysts finding fraudulent operations. Due to the availability of a human feedback, this task has been studied in the framework of…

Machine Learning · Computer Science 2020-04-24 Christelle Marfaing , Alexandre Garcia

The detection of frauds in credit card transactions is a major topic in financial research, of profound economic implications. While this has hitherto been tackled through data analysis techniques, the resemblances between this and other…

Social and Information Networks · Computer Science 2017-06-08 Massimiliano Zanin , Miguel Romance , Santiago Moral , Regino Criado

Detection of a Fraud transaction on credit cards became one of the major problems for financial institutions, organizations and companies. As the global financial system is highly connected to non-cash transactions and online operations…

Machine Learning · Computer Science 2022-05-31 Dinara Rzayeva , Saber Malekzadeh

The rise of digital payments has caused consequential changes in the financial crime landscape. As a result, traditional fraud detection approaches such as rule-based systems have largely become ineffective. AI and machine learning…

Cryptography and Security · Computer Science 2021-03-05 E. Kurshan , H. Shen

This systematic literature review examines the role of machine learning in fraud detection within digital banking, synthesizing evidence from 118 peer-reviewed studies and institutional reports. Following the PRISMA guidelines, the review…

Machine Learning · Computer Science 2025-10-08 Md Zahin Hossain George , Md Khorshed Alam , Md Tarek Hasan