Financial services tech provider Worldpay has entered into a collaboration with Capital One to augment payment fraud decisioning and improve payment security with a data-sharing agreement. The decision to partner can be attributed to the current financial landscape, where strengthened fraud controls can lead to the unwanted consequences of scaling the rate of false positive declines.

To combat this, Worldpay built a direct connection into Capital One’s fraud risk decisioning engine which delivers data from individual transactions conducted using a card issued by the latter.  As part of the agreement, merchants enrolled in Worldpay’s FraudSight, a fraud detection and prevention solution, are set to be able to automatically receive the capabilities when accepting a payment conducted leveraging a card issued by Capital One. The collaboration with Capital One comes shortly after Worldpay teamed up with Aeropay to optimise gaming payments for operators and players in the US. Through this move, Aeropay’s A2A platform was set to be integrated with Worldpay’s merchant network, which could provide advanced and secure A2A payments and payouts to US gaming operators.

At the same time, Worldpay gaming merchants could integrate Aeropay’s platform to enable embedded player deposits via bank payments, instant player withdrawals, and a suite of additional capabilities. Fraud reduction and increased authorisation rates The integration with FraudSight is set to enable Worldpay to minimise false positive declines by 40% on average based on Capital One’s internal results since launching the Direct Data Share program. In addition, merchants can benefit from increased detection of real fraud events due to improved data sharing between the two companies.

FraudSight has the potential to also reduce losses for merchants by detecting fraud with higher precision and augmenting authorisation rates via decreased instances of false positive declines. Furthermore, the official press release mentions that the capabilities of the collaboration between Worldpay and Capital One are currently available to US-based merchants leveraging Worldpay payment services and the organisation’s multi-layered fraud solution while accepting Capital One-issued card payments. When commenting on the announcement, representatives from Capital One mentioned that their company’s Direct Data Share tool is provided to Worldpay as a free, secure, and compliant product that enables merchants using FraudSight to participate.

The data-sharing connection is set to optimise authorisation rates while safeguarding merchants, issuers, and consumers from risks and losses associated with fraud. .