Comments on: US Banks Rated for Identity Theft http://emergentchaos.com/archives/2008/02/us-banks-rated-for-identity-theft.html The Emergent Chaos Jazz Combo Mon, 15 Mar 2010 15:02:09 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: Alexandre Carmel-Veilleux http://emergentchaos.com/archives/2008/02/us-banks-rated-for-identity-theft.html/comment-page-1#comment-4402 Alexandre Carmel-Veilleux Thu, 28 Feb 2008 13:26:44 +0000 http://emergentchaos.com/?p=2664#comment-4402 <p>Whenever comparing data like this, the biggest challenge is to normalize the data in useful ways.</p> <p>Fraud per billion $ in deposit for example will likely over-represents retail banks (BoA/MBNA, the largest MasterCard issuer, being the poster child) and under-represents banks that cater to smaller markets and/or market segments with few wealthier customers.</p> <p>Clearly the Fraud per billion $ in deposit metric attempts to factor in the financial impacts of the banks by assuming some proportionality in fraud size vs. bank size. Without accounting for mean/median customer size, financial impact is not modeled very accurately.</p> Whenever comparing data like this, the biggest challenge is to normalize the data in useful ways.

Fraud per billion $ in deposit for example will likely over-represents retail banks (BoA/MBNA, the largest MasterCard issuer, being the poster child) and under-represents banks that cater to smaller markets and/or market segments with few wealthier customers.

Clearly the Fraud per billion $ in deposit metric attempts to factor in the financial impacts of the banks by assuming some proportionality in fraud size vs. bank size. Without accounting for mean/median customer size, financial impact is not modeled very accurately.

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