Riskified and Marqeta Team Up to Cut False Declines in Card Issuing
Event summary
- Riskified and Marqeta have partnered to integrate Riskified's pre-authorization risk intelligence into Marqeta’s card issuing platform.
- The integration aims to reduce false declines by providing issuers with enriched transaction data before authorization decisions are made.
- Riskified claims its issuer partnerships have already increased authorization rates by up to 5.9% and cut false declines by 25% for certain merchants.
The big picture
This partnership addresses a persistent pain point in ecommerce: false declines, which cost the U.S. market an estimated $81 billion annually. By combining Riskified’s merchant transaction insights with Marqeta’s card issuing platform, the collaboration aims to improve authorization accuracy at scale. The move reflects broader industry trends toward leveraging AI and real-time data for smarter fraud prevention.
What we're watching
- Execution Risk
- Whether the integration can deliver measurable improvements in authorization rates and false decline reduction across Marqeta’s diverse issuer portfolio.
- Market Impact
- How this partnership will influence other card issuers and fintech platforms to adopt similar risk intelligence solutions.
- Competitive Dynamics
- The pace at which competitors like Visa or Mastercard respond with their own enhanced fraud prevention tools for issuers.
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