Marqeta (NASDAQ: MQ), the global modern card issuing platform, today announced its new RiskControl solution, a comprehensive product suite to help its customers better optimize their card programs and take control of end-to-end risk management.
RiskControl is designed to provide Marqeta’s customers with comprehensive risk, compliance, and fraud management capabilities across the cardholder lifecycle, allowing them to focus on their business growth. RiskControl is anchored by the introduction of a powerful new fraud mitigation solution - Real-Time Decisioning - enabling card programs to develop fine-tuned transaction controls and help limit payment fraud. Additionally, RiskControl includes newly enhanced versions of Marqeta’s Know Your Customer (KYC) and Disputes products, alongside its previously announced 3D Secure.
Global card payments are increasing annually, with more than 450 billion card payments processed in 2020 alone. With the pandemic-fueled digital transformation in payments, the threat of fraud is also rising significantly, underlining the need for card issuers to offer businesses next-level control in order to accurately mitigate fraud. Marqeta’s RiskControl solution has been built as a direct offering to help reduce risk for its customers, enabling them to get ahead of fraud and streamline their risk and compliance programs without adding friction to the cardholder experience or slowing down card program growth.
“When we talk to our customers, the threat of payment fraud comes up consistently as one of their biggest business concerns. We’re seeing fraud increases worldwide weigh heavily on card issuers and processors, intensifying the need to offer highly effective risk and fraud management solutions that are tailored to individual cardholder experiences,” said Randy Kern, Chief Technology Officer of Marqeta. “Marqeta’s deep expertise in issuing helps us provide a unique, end-to-end fraud and risk management solution that is specifically tailored to card issuing transaction data. We’re putting the technology in our customers’ hands, unlocking their potential growth by proactively protecting them against the growing risk of fraud.”
Marqeta customers already using RiskControl include Klarna, Yonder and Branch. The core products in RiskControl - KYC, Real-Time Decisioning, 3D Secure, and Disputes - are designed to manage risk and compliance across the entire cardholder lifecycle, starting with customer onboarding and KYC, to payment transactions, through to the management of disputes.
• Know Your Customer (KYC) delivers identity verification capabilities designed to meet compliance requirements, help block fraudsters, and allow businesses to confidently onboard cardholders with minimal friction. Enhancements to Marqeta’s KYC solution can improve the pass rate to allow card programs to swiftly onboard more customers and reduce their time to value.
• Real-Time Decisioning empowers companies to develop fine-tuned controls for card transactions from hundreds of data attributes - including card network risk scores - to help manage payment fraud. Issuers have real-time control over their card payment transactions while ensuring they’re only accepted in accordance with a strict set of business rules. They can also monitor and review transactions to continuously improve their rules as business needs and external threats evolve. Developed in partnership with Featurespace, Real-Time Decisioning has already been rolled out in beta to select customers and is expected to be generally available later this year.
• Marqeta’s 3D Secure tool enables issuers to create tailored authentication experiences for online transactions. 3D Secure allows users to leverage their own business logic and data to mitigate fraud without adding unnecessary friction or cardholder dropoff.
• Marqeta’s Disputes tool provides risk operations teams with a streamlined process for handling disputes and chargebacks, speeding up resolution time and improving the overall cardholder experience. Marqeta customers can utilize the Marqeta Dashboard and program management services to help them effectively create, submit, and manage disputes at scale. Enhanced API capabilities are currently available in beta to Marqeta customers and are expected to be generally available later this year.
Marqeta’s data-driven RiskControl offering enables users to take their risk management to the next level. Its customers will have full control of the card program by gaining real-time insights and building controls tailored to cardholders. RiskControl aims to overhaul the old-fashioned way of doing risk management and implement an innovative, all-in-one solution built for risk teams managing card programs.
“Marqeta’s Real-Time Decisioning solution is an important tool in helping us to stay ahead of potential fraud concerns,” said Theso Jivajirajah, Chief Risk Officer of Yonder. “We've already seen how Marqeta's flexible controls have helped us fight against fraudulent transactions before they happen, giving our customers a better experience.”