Freight fraud continues to plague the transportation industry, and threats are becoming increasingly sophisticated as technology evolves. Shippers and brokers often find themselves overwhelmed by manual verification processes that are both resource-intensive and prone to error. In today’s fast-paced logistics environment, teams are subject to the challenging balancing act of covering shipments quickly while simultaneously ensuring carrier legitimacy, even when working with long-standing carrier partners due to the possibility of identity theft.
Enter Descartes MacroPoint™ FraudGuard 2.0, a significant enhancement to companies’ existing fraud-prevention arsenal. This next-generation visibility technology serves as an additional reinforcement to carrier vetting and identification programs, empowering users to prevent fraud and theft through automated monitoring and real-time risk alerting for both pre-tender, pre-pick up, and in-transit shipments.
Reinforcing carrier vetting with enhanced visibility
FraudGuard 2.0 stands apart with a multi-layered approach to fraud and theft prevention, starting with its access to the industry’s deepest database of tracking history, providing essential insights for fast, reliable pre-tender vetting. This historical data allows brokers to confidently evaluate carrier and driver legitimacy before entrusting them with valuable cargo.
The solution offers detailed insights based on DOT numbers and driver mobile numbers, streamlining legitimacy checks without slowing down operations. These comprehensive historical insights enable dispatch teams to make better-informed decisions about potential carriers, reducing risk without sacrificing speed. When combined with industry-leading carrier on-boarding and identity solution Descartes MyCarrierPortal™, fraud protection is exponentially enhanced.
“FraudGuard 2.0 empowers your team to proactively identify and prevent costly fraud and theft through automated, comprehensive monitoring across 16 critical risk indicators,” explains Robert Derin, Product Director at Descartes. “Leveraging the industry’s deepest historical carrier and driver data, it instantly flags suspicious activities, reduces manual oversight and strengthens operational reliability.”
Proactive, real-time risk identification
What truly sets FraudGuard 2.0 apart is its additional layer of protection enabled by the ability to proactively monitor shipments in transit and automatically flagging potential risks as they emerge. The solution doesn’t just help with pre-tender vetting—it continues working throughout the shipment lifecycle, providing continuous protection.
Part of the latest tactics bad actors are using to circumvent security measures being added across the industry is to fake or “spoof” real-time location tracking pings by using Voice-over Internet Protocol (VOIP) phones to mask locations, installing mobile apps to send false tracking pings, or even trying to on-board with phony electronic logging devices (ELDs).
FraudGuard was already using VOIP detection, but to counter these new tactics FraudGuard 2.0 monitors an impressive 16 in-transit data points, including:
- Detection of emulated or inaccurate locations
- Driver behaviors that may indicate spoofing
- Route deviations from planned paths
- Identification of overbooked carriers or drivers
- Recognition of suspicious patterns in location reporting
- Historical spoofing detected on carriers or drivers
This comprehensive monitoring happens automatically in the background, requiring no additional work from already busy transportation teams. When suspicious activity is detected, the system sends immediate alerts, allowing for swift intervention, even prior to pick up, before issues escalate.
Practical broker benefits in action
In real-world applications, FraudGuard 2.0 has already demonstrated its value. One freight broker reported preventing multiple fraud incidents after the system flagged suspicious location data on a high-value electronics shipment. The automated alerts identified irregular patterns in location reporting that would have been nearly impossible to catch manually.
In another example a very large broker had some loads stolen where VOIP phones were being used to enable the thieves to impersonate trusted carrier partners. On the first day of turning on FraudGuard the broker received a VOIP alert from FraudGuard for a high-value load of copper prior to the pickup and was able to thwart the theft and secure the load.
Another company utilized historical carrier data to quickly validate a new carrier they hadn’t worked with previously. The system revealed that while the carrier was new to them, they had a strong track record in the Descartes MacroPoint network, giving confidence to proceed with the tender.
“The new FraudGuard release has fundamentally elevated our operational confidence. Its automated alerts and comprehensive insights have not only reduced the manual workload but also enabled us to proactively identify and prevent a range of fraud attempts. By making smarter, earlier decisions at the carrier level, we’ve strengthened network reliability and improved tracking compliance— ultimately safeguarding our customers’ cargo with greater precision.” said Tore Giannone, Director of Operations at Circle Logistics.
These preventative measures translate to fewer operational disruptions, improved reliability and enhanced customer satisfaction. By identifying issues before they become problems, brokers can maintain smoother operations and focus on growth rather than damage control.
Distinct advantages of next-gen technology
FraudGuard 2.0’s approach differs significantly from traditional solutions in several keyways. Traditional carrier vetting relies heavily on manual processes and limited data sets, whereas FraudGuard 2.0 leverages comprehensive historical tracking data that competitors simply don’t possess.
This depth of data dramatically improves predictive accuracy and reliability of fraud detection. When combined with automated monitoring across all 16 risk factors, the system delivers a level of protection that far exceeds conventional approaches.
Perhaps most importantly, FraudGuard 2.0 drastically reduces the need for manual oversight. The automated system works continuously in the background, allowing broker teams to focus on their core responsibilities while maintaining confidence in their shipment security.
As freight fraud continues to evolve in sophistication, shippers and brokers need tools that can keep pace with emerging threats while enhancing team productivity. Descartes MacroPoint FraudGuard 2.0 delivers on this need by harnessing the most extensive historical and real-time data in the industry to protect shipments effectively and automatically. This helps protect not only active shipments but also company reputations.For shippers and brokers looking to strengthen their fraud prevention capabilities without adding operational complexity, working with a partner like Descartes offers a wealth of benefits. Click here to learn more.
