Credit Card Fraud Detection using Deep Learning based on Neural Network and Auto encoder

Abstract

<jats:p>Credit card fraud is an event problem and fraud detecting techniques getting more sophisticated each day. Mainly internet is becoming more common in almost every domain. Online transactions, shopping, and e-commerce are expanding step by step. Due to which in the online payment system, fraudulent activities have also increased. It has cost banks and their customers a loss of billions of rupees. The techniques used now a day detects the anomaly only after the fraud transaction takes place. The intruders have found ways to crack the system loopholes and defeat the security. These frauds are not consistent in their actions, they constantly alter. Thus, Artificial Intelligent (AI) algorithms are used to detect the behavior of such activity by learning the past behavior of the transaction of the users. An unsupervised algorithm is used to detect online transactions, as fraudsters commit fraud once by online media and then move on to other techniques. This paper discusses the performance analysis and the comparative study of the two Deep Learning algorithms which include auto-encoder and the neural network. In this paper accuracy, precision, recall, and AUC curve are considered as a model evaluation factor.</jats:p>