On February 18th, 2025, Mastercard announced its alignment with Feedzai AI Technology to bring new financial fraud solutions to mid—and lower-mid-market businesses worldwide.
According to the Global Anti-Scam Alliance (GASA), fraud victims lost over $1.03 trillion in 2024. As fraudsters become more tech-savvy and their techniques more advanced, there is an increased urge for reliable consumer protection strategies.
Key Take Aways
- Mastercard partnered with Feedzai AI to provide advanced fraud prevention solutions for mid-market businesses worldwide.
- Fraud losses exceeded $1.03 trillion in 2024, with 46% of global credit card fraud occurring in the U.S. and identity theft affecting millions annually.
- Feedzai’s AI-driven platform protects over $8 trillion in transactions by analyzing suspicious behavior and detecting real-time fraud.
- By integrating Feedzai’s technology, Mastercard is enhancing its fraud protection capabilities in over 90 countries, reducing the impact of scams like Authorised Push Payment (APP) fraud.
- Mastercard is launching a mid-market accelerator program and a new business card, providing financial tools such as cash flow management, expense tracking, and enhanced security features.
Feedai’s AI-native Financial Crime Prevention Platform protects over $8 trillion in transactions annually and can provide global services. Feedzai AI technology can analyze suspicious behavior and apply real-time fraud prevention by inspecting each transaction from the beginning of the purchase or transfer.
The Mastercard and Feezai partnership allows the payment network access to Feedazi’s fraud detection technology and services, which are already established in over 90 countries. Their unique union will be the first in a wave of security protections that Mastercard will add to their already robust Consumer Fraud Risk solution.
Julie Conroy, Chief Insights Officer, Datos Insights, reports, “The global epidemic of fraud and scams has created a pressing need for innovative technology solutions. In the face of this rapidly rising threat, financial institutions should consider third-party data as an essential part of their strategy for fraud defense,” She goes on to explain, “By building on Mastercard's proven CFR score and extending it globally, this partnership delivers a powerful combination – Mastercard's global data expertise and Feedzai's purpose-built risk scoring capabilities.”
Fraud Risks
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Mastercard's CFR Solution Expansion
Mastercard’s Consumer Fraud (CRF) solution is an AI-powered technology from the UK that started in 2023. The goal was to stop Authorised Push Payment (APP) fraud, such as email chains, text messages, phone calls, or fictitious websites, and eventually provide global data protection services. Mastercard’s Consumer Fraud solution has expanded to over 90 countries and reduced APP's value by over 12%.
“We are excited to expand our partnership with Mastercard to address escalating financial crime threats,” notes Nuno Sebastiao, CEO of Feedzai. “The exponential growth in scams underscores the urgency for financial institutions to adopt AI-based, real-time solutions. We’re excited to be working together with Mastercard to help bring the proven value of its CFR score to new markets for the first time.”
Mastercard will use Feedzai services to analyze the device in use, as well as network data and behavioral biometrics to detect fraud. In addition, the financial institution debuted the Mastercard Mid-Market Accelerator. These benefits will target mid-market businesses generating $10 million to $100 million yearly with 50-250 employees. With the clear objective of reducing costs and increasing value, the allowances of the Mastercard Mid-Market Accelerator program are as follows:
New Mastercard Business Card for Midsize Companies
Mastercard has launched a business card for midsize companies, combining key benefits from its small business and commercial card programs with exclusive new rewards. Available in physical and virtual formats, this card provides greater flexibility, enhanced spending control, and more choices to support business growth and financial management.
Streamlined Cash Flow Management
Powered by Trovata’s Open Banking software solutions, Mastercard automatically gathers and organizes financial data from multiple banks, helping businesses track cash flow, predict liquidity, and make informed real-time decisions. Its integration with Mastercard’s virtual card platform also speeds up and secures supplier payments.
Efficient Expense Management
With Navan Connect’s virtual cards, Mastercard can help businesses control spending, track transactions, and automate expense reporting, giving them real-time visibility and ensuring policy compliance.
Advanced Security & Fraud Protection
Powered by Mastercard’s trusted security framework, this card includes ID Theft Protection™, HealthLock, and Zero Liability Protection, along with the added safety of virtual cards for more secure transactions.
“Historically, processes like expense management can be manual and time-consuming, which is especially draining for middle-market companies with leaner teams and resources,” said Michael Sindicich, Navan's chief executive. Providing these tools to midsize businesses is valuable, as they have the scale to benefit from them but may lack the resources to develop such solutions in-house.
Mastercard and Feedzai Partnership Secures America’s Data
The U.S. middle market comprises over 200,000 businesses and accounts for about one-third of the private-sector Gross domestic product (GDP), employing approximately 48 million people. As a significant cog in the economy, these companies typically have 50 to 250 employees and contribute over 20% of commercial spending worldwide.
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By taking advantage of the Mastercard and Feedzai partnership, mid-size businesses will have the following benefits:
- Fraud Prevention: With Feedzai’s technological systems, Mastercard can offer users fraud detection services in real time.
- AI Defense: Feedai uses advanced AI defense to protect its merchants from outside AI spiders.
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- Expense Management: This union will help American middle-market companies earn more money through cash-flow management and time organization.
Final Thoughts
Mastercard’s collaboration with Feedzai marks a significant step forward in the fight against financial fraud, equipping mid-market businesses with AI-driven tools to enhance security and protect consumers. By integrating Feedzai’s advanced fraud detection capabilities with its existing Consumer Fraud Risk (CFR) solution, Mastercard is reinforcing its commitment to combating evolving threats in the digital economy. This partnership strengthens fraud prevention efforts and expands Mastercard’s suite of financial management tools, including its new business card, cash flow solutions, and expense management services.
