CREDIT CARD FRAUD DETECTION

Abstract

Now a day’s online transactions have become an important and necessary part of our lives. It is vital that credit card companies are able to identify fraudulent credit card transactions so that customers are not charged for items that they did not purchase. As frequency of transactions is increasing, number of fraudulent transactions are also increasing rapidly. Such problems can be tackled with Machine Learning with its algorithms. This project intends to illustrate the modelling of a data set using machine learning with Credit Card Fraud Detection. Fraud detection has become an important tool and probably the best way to stop such frauds. The Credit Card Fraud Detection Problem includes modelling past credit card transactions with the data of the ones that turned out to be fraud. This model is then used to recognize whether a new transaction is fraudulent or not. Our objective here is to detect 100% of the fraudulent transactions while minimizing the incorrect fraud classifications.