Fraud Prevention in the Leasing Industry Using the Kohonen Self-Organising Maps

Abstract

Background and Purpose: Data mining techniques are intensely used in various industries for the purpose of fraud prevention and detection. Research that focuses on the leasing industry is scarce, although frauds in the field of leasing occur rather often. First, we identify clusters of business clients in one leasing company by using the method of self-organising maps based on leasing contract attributes. Second, we compare clusters based on the presence of fraudulent clients, in order to develop fraudsters’ profiles.

Keywords

• fraud
• leasing
• self-organising maps
• viscovery somine
• ward algorithm
• croatia
• data mining