Mastercard Debuts On-Demand Authorization Decisioning Tool

On-Demand Decisioning, announced Tuesday (Sept. 9), is what the company calls a first-of-its-kind tool to let issuers define decisioning criteria directly on the Mastercard network.

“Security, flexibility, and reliability are table stakes for any digital experience,” Laura Quevedo, executive vice president of fraud and decisioning solutions at Mastercard, said in a news release.

“It’s important that financial institutions can meet those needs. ODD is a great example of the ways we empower them to do just that with greater agility – it’s a game-changer for decisioning across the industry.”

According to the release, ODD, due to become available worldwide Oct. 1, is designed to provide a more “agile and personalized” approach to transaction decisioning, letting financial institutions automate and enforce “unique business logic and policies,” to provide instant approvals and declines on its behalf.

The release says ODD was launched at Mastercard’s RiskX cybersecurity summit in Rome, where customers saw examples of how the solution works, such as establishing guidelines that prioritize approvals for high-value cardholders and minimizing declines related to card reissuance.

“On-Demand Decisioning contributed to the optimization of our authorization strategy, especially by preserving the experience of high-value customers. The solution required no implementation effort and delivered consistent results with minimal operational risk. Mastercard’s collaborative approach and agility throughout the process were key factors,” Nelson Aguiar, executive director at Porto Bank, said in the news release.

In other card-related news, a recent PYMNTS Intelligence report, “Best-In-Class Modern Card Issuer: Why Data Analytics Features Distinguish Best-In-Class Platforms,” examines how advanced analytics is reconfiguring the future of card programs.

The report also explores why customer lifetime value has become the single greatest metric for profitability and growth, and why most issuers still miss the mark.

An additional PYMNTS Intelligence report, “Consumer Credit Economy: Strategy vs. Spontaneity—Navigating the Great Credit Divide,” exposes an unseen, but serious, threat:  Millions of eligible customers are excluding themselves from the credit market based on assumptions rather than facts.

“This isn’t just a missed opportunity. It’s a systemic blind spot in how credit products are positioned, perceived and used,” PYMNTS wrote recently. “Card issuers and other credit providers that can cut through the consumer perception gap, learn how their customers use credit and what’s important to them, and demonstrate the benefits of their specific credit products, stand poised to grow their revenues and customer base.”