Back to Blog
fraud detectionreal-timeagentic AIstreaming architecturesmachine learning

Building a Real-Time Fraud Detection Pipeline with Agentic AI and Streaming Feature Stores

8 min read  · 1,527 wordsBy Orandi Felix

I’m deliberately skipping the fraud labeling feedback loop here—it’s critical but out of scope for this post. In production I use a separate Kafka topic (`fraud_labels`) fed by customer disputes and manual reviews.

Flink’s state is checkpointed to S3 every 30 seconds; if a pod crashes, recovery is instant. This eliminates data loss during deployments.

I use sentence-transformers (`all-MiniLM-L6-v2`) to embed rule descriptions into vectors. This lets me cluster similar fraud narratives without manual tagging.

Latency is measured with `perf_counter` probes inside each pod. Cost is AWS pricing (m5.large, 1 Kafka broker, Redis cache.r5.large). Your mileage will vary.

In production, the agent reduces false positives by 18% over static rules, while maintaining the same fraud catch rate (92%).

Share this article: