Neutrosophy is the neutralities study and prolongs the discussion of the truth of opinions. Neutrosophic logic might be used in all sectors, to provide the solution for the indeterminate challenges. Some real-time data experience issues like inconsistency, incompleteness, and indeterminacy. A fuzzy set (FS) offers an uncertain solution, and an intuitionistic fuzzy set (IFS) processes partial data, but both fail to handle uncertain data. Financial fraud, believed as a deceptive strategy to gain financial assistance, has recently become a common threat in organizations and companies. Traditional methods namely manual inspections and verifications are costly, time-consuming, and imprecise to identify such fraudulent actions. With the development of artificial intelligence (AI), machine learning (ML)-based algorithms are applied logically to identify fraud transactions by investigating a larger amount of financial data. Therefore, the study offers an Optimizing Financial Fraud Detection using Bayesian Optimization and Variable Selection with Neutrosophic Vague Soft Set (OFFDBO-VSNVS) Algorithm. The OFFDBO-VSNVS model presents an optimized framework for fraud detection by integrating advanced variable selection techniques and classification models. Initially, the OFFDBO-VSNVS technique applies the Z-score data normalization technique to transform input data into a compatible layout. Next, the grey wolf optimizer (GWO)--based feature selection to effectively reduce dimensionality and highlight the most relevant features. For the classification and detection of financial fraud, the neutrosophic vague soft set (NVS) model can be employed. Eventually, the Bayesian optimization (BO) model adjusts the hyperparameter values of the NVS algorithm optimally and outcomes in greater classification performance. The stimulated outcome study of the OFFDBO-VSNVS model occurs and the outcomes are examined in terms of changing features. The experimental study represented the superiority of the OFFDBO-VSNVS method across the existing state-of-the-art methods
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