Refund Transaction

A refund transaction is the process where money is returned to a customer for a purchase they previously made. In the context of fraud detection, refund transactions can be flagged for investigation if they exhibit suspicious or unusual patterns, such as an unusually high frequency of refunds, refunds of large amounts, or discrepancies between the refund request and the original purchase details. These flags help identify potential fraudulent activity, ensuring the integrity and security of the transaction process.

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