As online shopping continues to surge, so too do the complexities of safeguarding it. According to the LexisNexis True Cost of Fraud Study, U.S. merchants now face an average cost of $4.61 for every $1 lost to fraud. Back in 2016, this figure stood at $2.40 for every $1. For global payment service provider (PSP) […]
As online shopping continues to surge, so too do the complexities of safeguarding it.
According to the LexisNexis True Cost of Fraud Study, U.S. merchants now face an average cost of $4.61 for every $1 lost to fraud. Back in 2016, this figure stood at $2.40 for every $1.
For global payment service provider (PSP) Enovipay, growth came with a daunting increase in fraud risk.
The firm, which offers merchants simplified checkouts, digital wallet integration, and real-time insights, saw fraud attempts rise as it expanded internationally. A more strategic approach to risk was needed.
“The reality is, whether they’re fraudsters, money launders or just angry people, it affects the bottom line of chargeback rates,” says Martyn Przhebelskyy, head of compliance at Enovipay.
“We want to identify them before it happens and figure out a solution prior to escalation.”
A variety of bad actors
Enovipay found that criminals were increasingly deploying sophisticated tactics, such as testing cards and CVVs across multiple regions and manipulating cardholder identities.
The company also faced a wide range of threat actors, each with different behavioural patterns, from organised crime groups to disgruntled customers attempting chargeback fraud (claiming that a legitimate transaction was fraudulent).
Adding to the complexity was Enovipay’s global footprint. Fraud tactics varied significantly by region, forcing the PSP to adopt a more localised approach in its risk modelling.
Many of Enovipay’s merchants operate in high-risk sectors, which are particularly vulnerable and require extra vigilance.
Yet despite these mounting pressures, the company couldn’t afford to slow down.
Fraud prevention measures had to strike a careful balance of being effective without disrupting user experience. Plus, Enovipay aimed to avoid scaling its internal risk teams in order to maintain operational efficiency.
Choosing the right partner
With these goals in mind, Enovipay began evaluating its options.
While several anti-money laundering and transaction monitoring providers were considered, the company ultimately chose Seon as its strategic fraud prevention partner.
“From the first moment, we knew there was a perfect fit with Seon,” says Mohammed Alragom, chief product and technology officer at Enovipay. “There was a pre-integration with our platform, and the onboarding process was seamless. We were up and running from day one.”
“Fraud doesn’t wait – it evolves,” says Husnain Bajwa, SVP of product, risk solutions, at Seon. “As Enovipay scaled rapidly, so did the complexity and speed of threats targeting their platform.”
Husnain Bajwa, SVP of product, risk solutions, at Seon
Seon’s platform, according to Enovipay, offered key advantages: the ability to tailor fraud detection to individual merchant profiles and verticals, advanced device fingerprinting, behavioural analysis, and Fintrack integration to enhance compliance oversight.
It also gave Enovipay the ability to adjust fraud detection settings in real-time.
Implementing the system
Together, Seon and Enovipay developed customised rules that reflected the PSP’s merchant base and transaction patterns. These rules were reviewed regularly to ensure they stayed ahead of evolving threats.
The rollout included training sessions and workshops to ensure Enovipay’s teams could fully leverage the platform’s capabilities.
“Seon’s adaptable rule engine supported us through cycles of rapid growth and refinement,” says Sofia Specht, head of banking and PSPs at Enovipay.
“The ability to customise risk and parameters on the fly helped us stay agile in a fast-paced environment.”
The platform’s flexibility proved especially valuable as Enovipay entered new markets or onboarded merchants in high-fraud sectors—adjustments could be made quickly, without requiring major engineering effort or new hires.
The payoff
According to Seon, Enovipay has seen a significant increase in the early detection of suspicious activity, including card testing and the use of synthetic identities.
At the same time, false positives have decreased, helping ensure legitimate transactions go through without disruption.
Plug-and-play functionality also reduced time and costs associated with development and integration. This operational efficiency freed up risk teams to focus on higher-impact tasks like merchant onboarding and compliance expansion.
“Thanks to the time we’ve saved with Seon, we’ve been able to redirect resources toward onboarding new merchants and growing our client base,” adds Specht.
Enovipay also notes an improved relationship with merchants, thanks to the transparent fraud insights enabled by Seon’s platform.
“Being able to return to merchants with clear, detailed fraud insights has really pushed us above the edge,” says Alragom. “They see the difference, and it’s all thanks to the data we get from Seon.”
