An IP fraud score evaluates the risk associated with a user’s IP address by assigning points based on various risk factors. For example, using a VPN might add +1 points, while an emulator could add +2 points. These points are summed up to produce an overall score that reveals the potential risk of harmful activity. Do check proxy detection IP fraud scores
How Do IP Fraud Scores Work?
IP fraud scores are calculated by analyzing data related to a user’s IP address and applying predefined risk rules. For example:
Location: An IP from a high-risk country like Russia might add +2 points.
ISP Type: A residential ISP might subtract -1 point.
Open Ports: Detecting an open SSH port could add +5 points.
The combined score helps determine if a user poses a high, medium, or low risk.
Important IP Data for Fraud Scoring
Effective IP fraud scoring depends on identifying various IP parameters:
Public vs. Private IP Addresses: Public IPs are assigned by ISPs and are unique, while private IPs are used within local networks.
Geolocation: IP addresses can reveal user locations, which helps detectexceptions like a mismatch between the user’s IP location and their billing address.
ISP Information: Knowing whether the IP is from a residential, corporate, or data centre source helps gauge risk.
Open Ports: Scanning for open ports can indicate the presence of potentially risky services like SSH.
Proxy Servers and IP Masking
Fraudsters often use proxies, VPNs, or TOR to mask their IP addresses and escape detection. Understanding how these tools work helps in identifying suspicious activities:
VPNs: Tunnel traffic through a server in another location.
TOR: Encrypts and routes traffic through multiple nodes for anonymity.
Proxy Servers: Act as middlemen, hiding the original IP address.
Velocity Rules for IP Usage
Analyzing the frequency and patterns of IP address usage over time (velocity rules) helps in detecting mysteriousbehaviour, as IP addresses can change continuously.
Enhancing IP Score Checks
While IP analysis is valuable, it should be part of a complete fraud detection system. linking IP fraud scoring with other methods like reverse email lookup and device fingerprinting enhances accuracy and effectiveness.
Benefits of IP Analysis Against Fraud
Lightweight: Checks are invisible to users and don’t disturb their experience.
Real-time Results: Quick analysis helps in immediate risk examination.
Cost-effective: IP analysis is an affordable way to filter out fraudulent activities.
In summary, IP fraud scores are essential for identifying and managing risks in online activities. By analyzing various IP parameters and incorporating advanced detection tools, businesses can effectively prevent fraud, ensuring a secure online environment for their users. This detailed approach enables proactive reduction of potential threats, safeguarding against harmful activities and maintaining trust in digital transactions.
