QFDNN: A Resource-Efficient Variational Quantum Feature Deep Neural Networks for Fraud Detection and Loan Prediction

Social financial technology focuses on trust, sustainability, and social responsibility, which require advanced technologies to address complex financial tasks in the digital era. With the rapid growth in online transactions, automating credit card fraud detection and loan eligibility prediction has become increasingly challenging. Classical machine learning (ML) models have been used to solve these challenges; however, these approaches often encounter scalability, overfitting, and high computational costs due to complexity and high-dimensional financial data. Quantum computing (QC) and quantum machine learning (QML) provide a promising solution to efficiently processing high-dimensional datasets and enabling real-time identification of subtle fraud patterns. However, existing quantum algorithms lack robustness in noisy environments and fail to optimize performance with reduced feature sets. To address these limitations, we propose a quantum feature deep neural network (QFDNN), a novel, resource efficient, and noise-resilient quantum model that optimizes feature representation while requiring fewer qubits and simpler variational circuits. The model is evaluated using credit card fraud detection and loan eligibility prediction datasets, achieving competitive accuracies of 82.2% and 74.4%, respectively, with reduced computational overhead. Furthermore, we test QFDNN against six noise models, demonstrating its robustness across various error conditions. Our findings highlight QFDNN’s potential to enhance trust and security in social financial technology by accurately detecting fraudulent transactions while supporting sustainability through its resource-efficient design and minimal computational overhead.

Authors

Institutions

Publication Details

Journal
IEEE Transactions on Computational Social Systems
Published
2025-06-18
DOI
https://doi.org/10.1109/tcss.2025.3568618
Citations
5
Primary Topic
Imbalanced Data Classification Techniques
Type
article
Field-Weighted Citation Impact
12.40
Controls
|||
ALL TIME
JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
article

QFDNN: A Resource-Efficient Variational Quantum Feature Deep Neural Networks for Fraud Detection and Loan Prediction

Saif Al‐Kuwari, Bikash K. Behera, Shahid Mumtaz, Ahmed Farouk et al.
5 citations
IEEE Transactions on Computational Social Systems
Imbalanced Data Classification Techniques
12.40
article

QFDNN: A Resource-Efficient Variational Quantum Feature Deep Neural Networks for Fraud Detection and Loan Prediction

Saif Al‐Kuwari, Bikash K. Behera, Shahid Mumtaz, Ahmed Farouk, Subham Das, Ashtakala Meghanath
article en
5 citations

Abstract

Social financial technology focuses on trust, sustainability, and social responsibility, which require advanced technologies to address complex financial tasks in the digital era. With the rapid growth in online transactions, automating credit card fraud detection and loan eligibility prediction has become increasingly challenging. Classical machine learning (ML) models have been used to solve these challenges; however, these approaches often encounter scalability, overfitting, and high computational costs due to complexity and high-dimensional financial data. Quantum computing (QC) and quantum machine learning (QML) provide a promising solution to efficiently processing high-dimensional datasets and enabling real-time identification of subtle fraud patterns. However, existing quantum algorithms lack robustness in noisy environments and fail to optimize performance with reduced feature sets. To address these limitations, we propose a quantum feature deep neural network (QFDNN), a novel, resource efficient, and noise-resilient quantum model that optimizes feature representation while requiring fewer qubits and simpler variational circuits. The model is evaluated using credit card fraud detection and loan eligibility prediction datasets, achieving competitive accuracies of 82.2% and 74.4%, respectively, with reduced computational overhead. Furthermore, we test QFDNN against six noise models, demonstrating its robustness across various error conditions. Our findings highlight QFDNN’s potential to enhance trust and security in social financial technology by accurately detecting fraudulent transactions while supporting sustainability through its resource-efficient design and minimal computational overhead.

IEEE Transactions on Computational Social SystemsVol. 12(6)
Welspun (India) (IN), Hamad bin Khalifa University (QA), Indian Institute of Science Education and Research Thiruvananthapuram (IN), Nottingham Trent University (GB)
Peace, Justice and strong institutions
Openalex Percentile: Top 2%
Imbalanced Data Classification Techniques
12.40
AI Navigator

Ask Laika to Summarize, Analyze, and Connect papers live on the map.

Summarize Papers & Methodologies

Extract key findings, datasets, and comparative methods across publications.

Benchmark Rankings & Visual Analytics

Rank top research institutions, authors, funders, topics, and journals by Field-Weighted Citation Impact (FWCI) and paper volume with instant charts.

Connect Distant Disciplines

Bridge topological clusters on the map to find hidden collaborative intersections.