Feedzai Launches Merchant IQ Signals to Link Issuers and Acquirers in Brazil

A shared view of merchant behavior

Feedzai argues that financial institutions struggle when merchant data stays in separate silos. Acquirers and issuers that rely on static credit reports, the company says, create blind spots that let scams go unnoticed while genuine cardholders are frustrated.

Merchant IQ Signals is built to close that gap. With a simple transaction call, users receive live behavior scores and validated risk indicators. The shared intelligence comes from over 15 Brazilian Feedzai clients, which together provide insight into 60% of the Brazilian acquiring market, according to Feedzai. The solution also includes an investigation dashboard that gives analysts broader context for reviewing cases.

Feedzai cites US Federal Reserve data to frame the financial exposure. In 2023, merchants absorbed 49.9% of reported debit-card fraud losses, issuers absorbed 28.3% and cardholders absorbed 21.8%. For card-not-present fraud specifically, merchants absorbed 65.1% of losses.

What it offers acquirers and issuers

For acquirers, Feedzai says daily cross-network intelligence allows them to approve trusted merchants faster without taking on extra risk. The company states that acquirers can use the insights to offer lower transaction fees and higher-margin, higher-risk products such as same-day payouts (D+0) and payment links to trusted merchants.

The solution is also meant to help acquirers identify fraudulent entities, non-existent merchants and risky behavior patterns before they enter the portfolio. That, according to Feedzai, keeps chargeback ratios below card network penalty levels and protects margins from heavy fines.

For issuers, the pitch centers on replacing rigid, blanket decline rules with precision scoring. Because the system captures live transactional behavior rather than relying on negative registries, Feedzai says it can detect social engineering and payment scams long before a chargeback occurs. The stated result is fewer false declines and a smoother checkout experience.

Integration and availability

Feedzai says Merchant IQ Signals works as a standalone API, so teams can feed daily signals into an existing decision engine without replacing their fraud prevention platform or carrying out a complex system overhaul.

Availability is limited. In its FAQ, Feedzai states that the product is not available globally at this time and is currently a Brazil-exclusive solution. The company did not give pricing or a timeline for other markets in the source material.

What it means for the payments market

Feedzai positions the product as a way to turn risk management from a defensive task into a driver of growth, by letting institutions onboard merchants faster, approve legitimate volume and avoid unjust declines. Those benefits are the company's own claims, and the source does not include independent results or customer outcomes.

For Brazilian issuers and acquirers, the notable point is the coverage the company describes: a network of more than 15 clients representing 60% of the local acquiring market. Feedzai describes its technology as trusted by more than one billion customers worldwide and says it helps prevent over $9 trillion in payments every year.