Enhancing Online Fraud Detection: Leveraging Machine Learning and Behavioral Indicators for Improved Accuracy and Real-Time Detection

Fraud detection remains a critical challenge in financial security, requiring robust and efficient methodologies to identify fraudulent transactions accurately. This study presents a comprehensive evaluation of machine learning (ML) models for fraud detection, emphasizing the role of behavioral indi...

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Main Authors: Shaha Prasad, Gavekar Vidya
Format: Article
Language:English
Published: EDP Sciences 2025-01-01
Series:EPJ Web of Conferences
Online Access:https://www.epj-conferences.org/articles/epjconf/pdf/2025/13/epjconf_icetsf2025_01003.pdf
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author Shaha Prasad
Gavekar Vidya
author_facet Shaha Prasad
Gavekar Vidya
author_sort Shaha Prasad
collection DOAJ
description Fraud detection remains a critical challenge in financial security, requiring robust and efficient methodologies to identify fraudulent transactions accurately. This study presents a comprehensive evaluation of machine learning (ML) models for fraud detection, emphasizing the role of behavioral indicators in enhancing model performance. A comparative analysis of traditional and advanced ML models, including Logistic Regression, Decision Tree, Random Forest, Support Vector Machine (SVM), Artificial Neural Networks (ANN), and LightGBM, was conducted using real-world fraud detection datasets. LightGBM, the proposed model, outperformed other methods, achieving the highest ROC-AUC (0.981), F1-score (0.902), and lowest false positive rate (0.006). The study also highlights the importance of feature selection, class imbalance handling, and real-world applicability by discussing computational efficiency and deployment challenges. These findings contribute to the growing body of fraud detection research by offering a practical, scalable, and high-accuracy ML approach for real-time fraud prevention systems.
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spelling doaj-art-3d2001707c63416ca4faaa539b981afd2025-08-20T02:09:33ZengEDP SciencesEPJ Web of Conferences2100-014X2025-01-013280100310.1051/epjconf/202532801003epjconf_icetsf2025_01003Enhancing Online Fraud Detection: Leveraging Machine Learning and Behavioral Indicators for Improved Accuracy and Real-Time DetectionShaha Prasad0Gavekar Vidya1School of Management & Research, Dr. D. Y. Patil Dnyan Prasad University's School of Management & ResearchSurydatta Institute of Management and Mass CommunicationFraud detection remains a critical challenge in financial security, requiring robust and efficient methodologies to identify fraudulent transactions accurately. This study presents a comprehensive evaluation of machine learning (ML) models for fraud detection, emphasizing the role of behavioral indicators in enhancing model performance. A comparative analysis of traditional and advanced ML models, including Logistic Regression, Decision Tree, Random Forest, Support Vector Machine (SVM), Artificial Neural Networks (ANN), and LightGBM, was conducted using real-world fraud detection datasets. LightGBM, the proposed model, outperformed other methods, achieving the highest ROC-AUC (0.981), F1-score (0.902), and lowest false positive rate (0.006). The study also highlights the importance of feature selection, class imbalance handling, and real-world applicability by discussing computational efficiency and deployment challenges. These findings contribute to the growing body of fraud detection research by offering a practical, scalable, and high-accuracy ML approach for real-time fraud prevention systems.https://www.epj-conferences.org/articles/epjconf/pdf/2025/13/epjconf_icetsf2025_01003.pdf
spellingShingle Shaha Prasad
Gavekar Vidya
Enhancing Online Fraud Detection: Leveraging Machine Learning and Behavioral Indicators for Improved Accuracy and Real-Time Detection
EPJ Web of Conferences
title Enhancing Online Fraud Detection: Leveraging Machine Learning and Behavioral Indicators for Improved Accuracy and Real-Time Detection
title_full Enhancing Online Fraud Detection: Leveraging Machine Learning and Behavioral Indicators for Improved Accuracy and Real-Time Detection
title_fullStr Enhancing Online Fraud Detection: Leveraging Machine Learning and Behavioral Indicators for Improved Accuracy and Real-Time Detection
title_full_unstemmed Enhancing Online Fraud Detection: Leveraging Machine Learning and Behavioral Indicators for Improved Accuracy and Real-Time Detection
title_short Enhancing Online Fraud Detection: Leveraging Machine Learning and Behavioral Indicators for Improved Accuracy and Real-Time Detection
title_sort enhancing online fraud detection leveraging machine learning and behavioral indicators for improved accuracy and real time detection
url https://www.epj-conferences.org/articles/epjconf/pdf/2025/13/epjconf_icetsf2025_01003.pdf
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