Open banking platform Tink has launched a rules-based risk engine to protect merchants from fraud on instant payment rails.
Tink says it has built Risk Signals so that businesses no longer need to compromise between a quick checkout and reducing risk. The product feature allows transactions to be assessed in seconds while the payer progresses through the payment.
It uses account, balance and transaction data shared under a valid consent by the payer to make more accurate risk decisions to minimise fraud. These risk checks occur in the background at checkout. Based on Tink’s pan-European bank connectivity, it promises a secure, fast and high-converting payment method, particularly in markets without real-time settlements.
Risk Signals consists of a suite of risk checks which Tink can customise per bank and market: Live balances; transaction history; and velocity checks.
The feature is launching across Europe, beginning in Germany, where giant PSP Adyen is already using it.
Dirk Jan Meijers, payment partnerships lead, Europe, Adyen, says: "By leveraging the real-time risk analysis during payment processes, Adyen can offer a payment option that not only ensures security and reliability but also aligns perfectly with both merchants’ and shoppers’ expectations."
Tom Pope, SVP, payments and platforms, Tink, adds: “Risk Signals is an ideal fit for businesses looking to offer a secure and fast payment method especially in markets without real-time settlement - like Germany. With Tink’s Risk Signals, you no longer need to compromise between a fast checkout and reducing risk."
Learn more about payments at NextGen Nordics on the 23 April 2024.