Learning temporal representation of transaction amount for fraudulent transaction recognition using CNN, Stacked LSTM, and CNN-LSTM
Yaya Heryadi, Harco Leslie Hendric Spits Warnars · 2017
This paper aims to explore deep learning model to learn short-term and long-term patterns from imbalanced input dataset. Data for this study are imbalanced card transactions from an Indonesia bank in period 2016–2017 with binary labels (nonfraud or fraud). From 50 features of the dataset, 30 principal components of data contribute to 87 % of the cumulative Eigenvalues. This study explores the effect of nonfraud to fraud sample ratio from 1 to 4 and three models: Convolutional Neural Network (CNN), Stacked Long Short-term Memory (SLSTM), and Hybrid of CNN-LSTM. Using Area Under the ROC Curve (AUC) as model performance, CNN achieved the highest AUC for R=1,2,3,4 followed by SLSTM and CNN-LSTM.