Cashlez is a financial technology company trusted by more than 18,000 businesses across Indonesia. The company’s POS and back-office reporting features make it easy for merchants to manage and improve their business. Cashlez aims to empower Indonesian businesses through simple, safe, and reliable payments innovation.
Key Takeaways
- 12x reduction in false decline rate
- Eradicated the use of malicious tools
- Stopped fraudsters without affecting legitimate customers
Driving the Adoption of Cashless Payments
Cashlez has established itself as one of the most innovative players in the payments space: it holds the record from the Indonesia World Records Museum (MURI) as the payment gateway offering the most payment options in a single app.
The Cashlez team wanted to help businesses across Indonesia accelerate their digitalization and benefit from the rapid growth of Indonesia’s digital economy. To drive widespread adoption, Cashlez knew that it had to establish its reputation as a safe payments gateway that both merchants and users could trust.
Knowing fraud syndicates were actively targeting the payments industry, the Cashlez team tapped SHIELD’s AI-powered technology to bolster its fraud prevention strategy.
Protecting Users from Fraudsters
Fraudsters were rapidly evolving their tactics. For example, fraudsters have been known to introduce malicious code into or tamper with merchant POS software to commit fraud, such as account takeovers or incentive abuse.
There was also the potential of incentive abuse and merchant-customer collusion. Many payment providers offer incentives, such as cashback, which dishonest users exploit. Merchants could create fake user accounts to purchase their own products and receive the promotional benefits - without actually having to spend money or sell the product to anyone. Merchants might also collude with real customers by convincing them to falsify the purchase of goods, and share the incentives gained.
Last but not least, fraudsters could use Cashlez’s solution to launder money obtained through illegitimate means.
Despite Cashlez knowing friction was undesirable for any payments solution, it needed to ensure its fraud prevention solution would stop fraudulent transactions without declining legitimate payments.
Creating a first line of defense against fraudsters
Cashlez leveraged SHIELD’s AI-powered technology to stop fraud and prevent abuse. One key feature was the SHIELD Device ID, the global standard for device identification. This allowed the Cashlez team to persistently and accurately identify the physical devices behind fraudulent activity, even if fraudsters try to change device parameters or perform factory resets. Without the SHIELD Device ID, stopping individual instances of fraud would not help weed out the root of fraud - fake accounts, as fraudsters can easily create new fake accounts to keep up their attacks.
SHIELD’s Risk Intelligence helped Cashlez eliminate fraud by detecting the tools and techniques commonly associated with fraud, such as tampered apps, app cloners, emulators, and GPS spoofers. To combat money laundering, businesses must detect threats and risk throughout the user journey and not just the payment window. SHIELD’s technology was instrumental in this regard, allowing Cashlez to pinpoint the exact moment fraudulent activity was initiated.
Together, these features meant that Cashlez could confidently pinpoint risky transactions as well as the devices behind them, stopping fraudsters before they impacted genuine merchants and customers.
Accelerating Indonesia’s Digitalization Without Compromising Safety
SHIELD’s cutting-edge Device Intelligence solution made sure that the platform was able to confidently and proactively eliminate fraud at its root, without affecting legitimate payments.
Irianto Kusumadjaja, President Director of Cashlez, commented, “SHIELD is our first line of defense against fraud, giving us and our customers complete peace of mind.”
