Cross-Regional Fraud Detection via Continual Learning With Knowledge Transfer

Fraud detection poses a fundamental yet challenging problem to mitigate various risks associated with fraudulent activities. However, existing methods are limited by their reliance on static data within single geographical regions, thereby restricting the trained model’s adaptability across different regions. Practically, when enterprises expand their business into new cities or countries, training a new model from scratch can incur high computational costs and lead to catastrophic forgetting (CF). To address these limitations, we propose cross-regional fraud detection as an incremental learning problem, enabling the development of a unified model capable of adapting across diverse regions without suffering from CF. Subsequently, we introduce Cross-Regional Continual Learning (CCL), a novel paradigm that facilitates knowledge transfer and maintains performance when incrementally training models from previously learned regions to new ones. Specifically, CCL utilizes prototype-based knowledge replay for effective knowledge transfer while implementing a parameter smoothing mechanism to alleviate forgetting. Furthermore, we construct heterogeneous trade graphs (HTGs) and leverage graph-based backbones to enhance knowledge representation and facilitate knowledge transfer by uncovering intricate semantics inherent in cross-regional datasets. Extensive experiments demonstrate the superiority of our proposed method over baseline approaches and its substantial improvement in cross-regional fraud detection performance.

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Publication Details

Journal
IEEE Transactions on Knowledge and Data Engineering
Published
2024-08-29
DOI
https://doi.org/10.1109/tkde.2024.3451161
Citations
5
Primary Topic
Imbalanced Data Classification Techniques
Type
article
Field-Weighted Citation Impact
1.74

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article

Cross-Regional Fraud Detection via Continual Learning With Knowledge Transfer

Qiang Gao, Xin Yang, Tianrui Li, Yujie Li et al.
5 citations
IEEE Transactions on Knowledge and Data Engineering
Imbalanced Data Classification Techniques
1.74
article

Cross-Regional Fraud Detection via Continual Learning With Knowledge Transfer

Qiang Gao, Xin Yang, Tianrui Li, Yujie Li, Hao Wang, Junbo Zhang
article en
5 citations

Abstract

Fraud detection poses a fundamental yet challenging problem to mitigate various risks associated with fraudulent activities. However, existing methods are limited by their reliance on static data within single geographical regions, thereby restricting the trained model’s adaptability across different regions. Practically, when enterprises expand their business into new cities or countries, training a new model from scratch can incur high computational costs and lead to catastrophic forgetting (CF). To address these limitations, we propose cross-regional fraud detection as an incremental learning problem, enabling the development of a unified model capable of adapting across diverse regions without suffering from CF. Subsequently, we introduce Cross-Regional Continual Learning (CCL), a novel paradigm that facilitates knowledge transfer and maintains performance when incrementally training models from previously learned regions to new ones. Specifically, CCL utilizes prototype-based knowledge replay for effective knowledge transfer while implementing a parameter smoothing mechanism to alleviate forgetting. Furthermore, we construct heterogeneous trade graphs (HTGs) and leverage graph-based backbones to enhance knowledge representation and facilitate knowledge transfer by uncovering intricate semantics inherent in cross-regional datasets. Extensive experiments demonstrate the superiority of our proposed method over baseline approaches and its substantial improvement in cross-regional fraud detection performance.

IEEE Transactions on Knowledge and Data EngineeringVol. 36(12)
Southwestern University of Finance and Economics (CN), Sichuan University (CN), Jingdong (China) (CN), Chengdu University (CN), Southwest Jiaotong University (CN)
National Natural Science Foundation of China, China Scholarship Council, Fundamental Research Funds for the Central Universities
Peace, Justice and strong institutions
Openalex Percentile: Top 13%
Imbalanced Data Classification Techniques
1.74
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