System and method for enhanced fraud detection in automated electronic purchases

摘要

A method and system for enhanced fraud detection in electronic purchase transactions from a remote site. A user at a remote terminal attempting to conduct an electronic purchase is prompted to input the user's billing address and social security number, where this information is used to verify the billing address of the user. Initially, the input social security number is communicated to a local account database containing information about customers as identified by their social security number. If the local account database contains the input social security number, then a determination is made whether the account associated with that social security number has been authorized for use. If authorization for the purchase transaction is not initially approved or refused according to the information provided in the local account database, then the social security number input by the user is next checked to determine if it corresponds to the user. A database having a stored list of social security numbers is accessed, wherein each of the stored social security numbers includes at least one address stored therewith corresponding to an address of an individual identified by the respective social security number. The addresses stored in association with the input social security number are retrieved and compared with the input address to determine if the input address corresponds to any of the retrieved stored addresses. If a match occurs between the user's input billing address and any of the retrieved stored addresses, the electronic purchase transaction is authorized to transpire.