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Sentinel AI — Fraud Detection Co-Pilot

The first AI Co-Pilot that stops fraud and explains why. Real-time fraud detection with explainable AI for financial institutions.

Python AWS XGBoost

Live Demo


Overview

Production-grade AI fraud detection platform deployed for financial institutions, lending platforms, and fintech companies. Sentinel AI acts as an intelligent ride-along partner for fraud review teams, providing real-time fraud probability scores (0.0–1.0) and plain-English explanations powered by GenAI.

Built at Reallytics.ai for Tower Loan and other financial services clients.

Architecture

┌──────────────────────────────────────────────────────┐ │ Data Integration Layer │ │ OLL/TLOS Loan Application Systems │ │ - Secure data ingestion │ │ - Encrypted PII handling │ │ - ~100 raw data points per application │ └─────────────────────────┬────────────────────────────┘ │ ┌─────────────────────────▼────────────────────────────┐ │ Feature Engineering Pipeline │ │ - 650+ predictive features generated │ │ - Behavioral anomaly detection (deltaH timing) │ │ - Contact information pattern analysis │ │ - Profile stability scoring │ │ - Identity verification signals │ └─────────────────────────┬────────────────────────────┘ │ ┌───────────────┼───────────────┐ │ │ ┌─────────▼──────────┐ ┌────────────────▼───────────┐ │ XGBoost Detective │ │ Isolation Forest Watchdog │ │ (Supervised) │ │ (Unsupervised) │ │ - Known fraud │ │ - Novel fraud patterns │ │ patterns │ │ - Mathematical anomaly │ │ - 25% recall │ │ profiling │ └─────────┬──────────┘ └────────────────┬───────────┘ │ │ ┌─────────▼───────────────────────────────▼───────────┐ │ Ensemble Task Force (50/50) │ │ Combined score → 50% fraud detection on holdout │ └─────────────────────────┬───────────────────────────┘ │ ┌─────────────────────────▼───────────────────────────┐ │ Persona Classification (UMAP + HDBSCAN) │ │ - Digital Ghost (70% fraud concentration) │ │ - High-Friction Anomaly (abnormally slow process) │ │ - Safe Bet (100% legitimate, fast-track) │ └─────────────────────────┬───────────────────────────┘ │ ┌─────────────────────────▼───────────────────────────┐ │ GenAI Explanation Engine (Amazon Bedrock) │ │ - SHAP value interpretation │ │ - Plain-English PDF reports │ │ - Risk factors + mitigating factors │ └─────────────────────────────────────────────────────┘

Key Features

  • Ensemble Detection: Task Force combining XGBoost (supervised, known patterns) + Isolation Forest (unsupervised, novel fraud) — 50% fraud detection on holdout
  • 650+ Engineered Features: Behavioral anomalies, timing patterns, contact signals, identity verification, profile stability
  • 3 Applicant Personas: Unsupervised UMAP + HDBSCAN reveals Digital Ghost (70% fraud), High-Friction Anomaly, and Safe Bet personas
  • Explainable AI: GenAI-powered PDF reports via Amazon Bedrock translating SHAP values into plain English
  • Real-Time Scoring: Headless API on AWS Lambda/SageMaker with API Gateway — scores applications at pre-funding stage
  • Fraud Indicators: Detects early reversals, legal actions, repos, UCC failures, forgeries, first-payment defaults
  • Continuous Learning: Automated retraining pipelines with data drift detection and A/B model deployment

Tech Stack

Category Technologies
ML Models XGBoost, Isolation Forest, UMAP, HDBSCAN
Feature Engineering Python, Pandas, NumPy, scikit-learn
Explainability SHAP, Amazon Bedrock (GenAI reports)
Cloud AWS Lambda, SageMaker, API Gateway, S3
Data PostgreSQL, encrypted PII handling
MLOps CloudWatch, QuickSight, automated retraining
API FastAPI, REST endpoints

Results

Metric Value
Fraud detection rate (holdout) 50%
Features engineered 650+
Applicant personas discovered 3
XGBoost recall 25%
Ensemble improvement 2x over single model
Scoring latency < 500ms
False positive rate < 15%

Industries Served

  • Financial Institutions
  • Lending Platforms
  • Credit Unions
  • Online Lenders
  • Fintech Companies

Source Code: The production source code for this project is maintained in a private repository due to proprietary and client confidentiality requirements. This repository documents the architecture, design decisions, and technical approach. For code-level discussions or collaboration inquiries, feel free to reach out.

Author

Rehan Malik — Senior AI/ML Engineer @ Reallytics.ai


About

Fraud Detection AI Co-Pilot — ensemble XGBoost + Isolation Forest with 650+ features, SHAP explainability, UMAP clustering, GenAI reports via Amazon Bedrock.

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