Systems and methods for providing risk based decisioning service to a merchant

Abstract

A computing device for providing risk-based decisioning to a merchant during payment card transactions is provided herein. The computing device is programmed to receive, from the merchant, transaction data associated with a payment card transaction. The computing device is further programmed to compute a risk score for the payment card transaction based at least in part on the transaction data and infrastructure data associated with the payment card transaction. The computing device is also programmed transmit an indication of acceptable risk to the merchant if the risk score satisfies a first pre-defined threshold. The computing device is still further programmed to initiate an authentication challenge of the suspect consumer if the risk score satisfies a second pre-defined threshold.

What is claimed is: 
     
         1 . A computing device for providing risk-based decisioning to a merchant during payment card transactions, said computing device comprising a processor communicatively coupled to a memory, said computing device programmed to:
 (a) receive, from the merchant, transaction data associated with a payment card transaction, wherein the payment card transaction includes a suspect consumer presenting a payment card from a digital wallet of a privileged cardholder;   (b) compute a risk score for the payment card transaction based at least in part on the transaction data and infrastructure data associated with the payment card transaction;   (c) transmit an indication of acceptable risk to the merchant if the risk score satisfies a first pre-defined threshold; and   (d) initiate an authentication challenge of the suspect consumer if the risk score satisfies a second pre-defined threshold.   
     
     
         2 . The computing device of  claim 1  further programmed to initiate the authentication challenge by transmitting the payment card transaction to a payment card transaction authentication system for additional authentication of the suspect consumer. 
     
     
         3 . The computing device of  claim 1  further programmed to receive, from the merchant, one or more risk scoring configuration parameters, wherein said computing device is further programmed to compute the risk score based at least in part on the risk scoring configuration parameters. 
     
     
         4 . The computing device of  claim 3 , wherein the one or more risk scoring configuration parameters include a first risk scoring configuration parameter defining the first pre-defined threshold and a second risk scoring configuration parameter defining the second pre-defined threshold. 
     
     
         5 . The computing device of  claim 1 , wherein the infrastructure data includes at least one of device data, payment card data, digital wallet data, and cart data. 
     
     
         6 . The computing device of  claim 1  further programmed to provide to the merchant a plurality of checkout options including a first checkout option and a second checkout option, wherein the first checkout option includes performing steps (b)-(d) and storing an indication of merchant liability for the payment card transaction, and wherein the second checkout option includes authenticating the payment card transaction using a payment card transaction authentication system that stores an indication of issuer liability for the payment card transaction. 
     
     
         7 . The computing device of  claim 6  further programmed to receive, from an issuer of the payment card, one or more risk scoring configuration parameters when the merchant selects the second checkout option, wherein said computing device is further programmed to compute the risk score based at least in part on the risk scoring configuration parameters. 
     
     
         8 . The computing device of  claim 1  further programmed to store, in the memory, a first default risk scoring configuration parameter defining the first pre-determined threshold and a second default risk scoring configuration parameter defining the second pre-determined threshold. 
     
     
         9 . A computer-based method for providing risk-based decisioning to a merchant during payment card transactions, the method implemented using a computer device including a processor and a memory, said method comprising:
 (a) receiving, transaction data associated with a payment card transaction, wherein the payment card transaction includes a suspect consumer presenting a payment card from a digital wallet of a privileged cardholder;   (b) computing a risk score for the payment card transaction based at least in part on the transaction data and infrastructure data associated with the payment card transaction;   (c) transmitting an indication of acceptable risk to the merchant if the risk score satisfies a first pre-defined threshold; and   (d) initiating an authentication challenge of the suspect consumer if the risk score satisfies a second pre-defined threshold.   
     
     
         10 . The method of  claim 9 , wherein initiating an authentication challenge of the suspect consumer includes transmitting the payment card transaction to a payment card transaction authentication system for additional authentication of the suspect consumer. 
     
     
         11 . The method of  claim 9  further comprising receiving, from the merchant, one or more risk scoring configuration parameters, wherein computing a risk score for the payment card transaction further includes computing a risk score based at least in part on the risk scoring configuration parameters. 
     
     
         12 . The method of  claim 11 , wherein the one or more risk scoring configuration parameters include a first risk scoring configuration parameter defining the first pre-defined threshold and a second risk scoring configuration parameter defining the second pre-defined threshold. 
     
     
         13 . The method of  claim 9 , wherein the infrastructure data includes at least one of device data, payment card data, digital wallet data, and cart data. 
     
     
         14 . The method of  claim 9  further comprising providing to the merchant a plurality of checkout options including a first checkout option and a second checkout option, wherein the first checkout option includes performing steps (b)-(d), wherein the second checkout option includes authenticating the payment card transaction using a payment card transaction authentication system that that stores an indication of issuer liability for the payment card transaction. 
     
     
         15 . The method of  claim 14  further comprising receiving, from an issuer of the payment card, one or more risk scoring configuration parameters when the merchant selects the second checkout option, wherein computing a risk score for the payment card transaction further includes computing a risk score based at least in part on the risk scoring configuration parameters. 
     
     
         16 . The method of  claim 9  further comprising storing, in the memory, at least one default scoring rule, a first default risk scoring configuration parameter defining the first pre-determined threshold and a second default risk scoring configuration parameter defining the second pre-determined threshold. 
     
     
         17 . At least one non-transitory computer-readable storage media having computer-executable instructions embodied thereon, wherein when executed by at least one processor, the computer-executable instructions cause the processor to:
 (a) receive, from the merchant, transaction data associated with a payment card transaction, wherein the payment card transaction includes a suspect consumer presenting a payment card from a digital wallet of a privileged cardholder;   (b) compute a risk score for the payment card transaction based at least in part on the transaction data and infrastructure data associated with the payment card transaction;   (c) transmit an indication of acceptable risk to the merchant if the risk score satisfies a first pre-defined threshold; and   (d) initiate an authentication challenge of the suspect consumer if the risk score satisfies a second pre-defined threshold.   
     
     
         18 . The computer-readable storage media of  claim 17 , wherein the computer-executable instructions further cause the processor to initiate the authentication challenge by transmitting the payment card transaction to a payment card transaction authentication system for additional authentication of the suspect consumer. 
     
     
         19 . The computer-readable storage media of  claim 17 , wherein the computer-executable instructions further cause the processor to receive, from the merchant, one or more risk scoring configuration parameters, wherein said computing device is further programmed to compute the risk score based at least in part on the risk scoring configuration parameters. 
     
     
         20 . The computer-readable storage media of  claim 19 , wherein the one or more risk scoring configuration parameters include a first risk scoring configuration parameter defining the first pre-defined threshold and a second risk scoring configuration parameter defining the second pre-defined threshold. 
     
     
         21 . The computer-readable storage media of  claim 17 , wherein the infrastructure data includes at least one of device data, payment card data, digital wallet data, and cart data. 
     
     
         22 . The computer-readable storage media of  claim 17 , wherein the computer-executable instructions further cause the processor to provide to the merchant a plurality of checkout options including a first checkout option and a second checkout option, wherein the first checkout option includes performing steps (b)-(d) and storing an indication of merchant liability for the payment card transaction, and wherein the second checkout option includes authenticating the payment card transaction using a payment card transaction authentication system that stores an indication of issuer liability for the payment card transaction. 
     
     
         23 . The computer-readable storage media of  claim 22 , wherein the computer-executable instructions further cause the processor to receive, from an issuer of the payment card, one or more risk scoring configuration parameters when the merchant selects the second checkout option, wherein said computing device is further programmed to compute the risk score based at least in part on the risk scoring configuration parameters. 
     
     
         24 . The computer-readable storage media of  claim 17 , wherein the computer-executable instructions further cause the processor to store, in the memory, a first default risk scoring configuration parameter defining the first pre-determined threshold and a second default risk scoring configuration parameter defining the second pre-determined threshold.