THE PROBLEM
A Surge IN industry-wise fraud + Reactive fraud management
In 2022, the commercial trucking industry experienced an unprecedented rise in fraud. From stolen freight to card skimming to first-party fuel fraud, the heavy-duty trucking industry was facing attacks from all sides.
Even though Multi-Service Fuel Card already had fraud prevention tools available to their users, the effectiveness of those controls was reliant on each customer setting their parameters, reviewing their statements and reporting suspicious activity. Multi-Service Fuel Card was looking for an innovative approach to mitigate fraud proactively on their customer’s behalf.
Behind the scenes, fuel cards collect data that can be utilized to recognize anomalies in spending behavior on an account based upon that account’s historical purchase behavior and/or based on historical trends from similar accounts across the portfolio. Multi-Service Fuel Card just didn’t have the advanced algorithms or AI insights to preemptively detect potential threats yet.
TLDR: Problems
- Industry-wide surge in fraud in 2022, including card skimming, stolen freight, and first-party fuel fraud.
- Existing fraud tools were reactive, relying on customers to set controls and report suspicious activity manually.
- Lacked proactive fraud detection, with no automated system to flag anomalies on behalf of customers.
- Urgent need for intelligent, scalable fraud mitigation that could protect customers without adding friction.
WHY UNIT21
Adding fraud prevention without adding customer friction
By Q4 of 2022, Multi-Service Fuel Card was aggressively seeking a solution provider that could help them effectively combat fraud. They rigorously vetted seven vendors in total, including Unit21. Though the specifics of the other vendors remain confidential, ultimately Unit21 was the best fit.
After they got up and running with Unit21, they implemented two rules which they are still using today. Those rules are known internally as:
“The Speed Rule,” which checks for logistical possibilities between transactions. For instance, a card used in Phoenix and then in Washington DC within a short time would raise alarms.
“The Velocity Rule,” which flags cards used multiple times within a specified timeframe as a possible card skimming activity.
Ultimately, Clint noted that Unit21 helped Multi-Service Fuel Card shift from a reactive to a proactive stance, detecting fraud long before customers could report it. This not only minimized fraudulent transactions but also reduced potential losses.
TLDR: Why Unit21
- Evaluated 7 vendors; Unit21 emerged as the best fit for proactive fraud prevention
- Enabled rapid deployment of key fraud detection rules ("Speed Rule" and "Velocity Rule")
- Boosted team morale and earned customer praise for proactive protection
