Dispersion estimates for telecommunications fraud

  • Authors:
  • Nuno Homem;João Paulo Carvalho

  • Affiliations:
  • TULisbon, Instituto Superior Técnico, INESC-ID, Lisboa, Portugal;TULisbon, Instituto Superior Técnico, INESC-ID, Lisboa, Portugal

  • Venue:
  • IPMU'10 Proceedings of the Computational intelligence for knowledge-based systems design, and 13th international conference on Information processing and management of uncertainty
  • Year:
  • 2010

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Abstract

One considers the problem of estimating the call destination dispersion on telecommunications usage to use in fraud detection. The problem is that such detection needs to be performed for each individual customer and kept up to date at all times. The use of fast and small footprint algorithms is critical due to the huge number of events and customers to verify and since approximate answers are enough in most situations. This paper presents telecommunications customer behavior to justify the use of approximate estimators and then presents multiple options of algorithms to solve the problem. These algorithms present a novel approach to the moving window dispersion problem by the use of a probabilistic time decay mechanism.