Checking Account Owner Authentication Service: What are your options?
Businesses looking to mitigate the risk of accepting electronic of paper checks and especially those enrolling a customer for recurring ACH Payment debits need to look beyond the “account is open and in good standing” check verification service. For many businesses there is a need to know that the consumer “owns” the checking account being provided.
There are over 100 BILLION reasons why as that is the estimated $ loss associated with account takeover fraud over past 6 years.
Here is an example: Fraudsters go to an online payday loan store and use stolen bank account info to get a $500 deposit. They enter a valid bank account to be debited via ACH Processing network for paying back the loan. They redirect loan proceeds to an account they control. Payday loan company debits the account fraudulently provided for payment. The true owner disputes and the loan company is out the $500.
What can be done?
Recent tech advances have now made a Checking Account Owner Authentication Service available.
Real-time checking account verification and account owner authentication services can confirm a consumer or business owns the account and is authorized to transact.
Key account owner and status information such as name, address, social security number, driver’s license, date of birth, and other relevant data points can help authenticate the consumer or business dda information.
- Reduce unauthorized access to customer accounts
- Eliminate the need for account-owner login credentials
- Improve customer experience and reduce abandonment rates
- Reduce unauthorized and administrative ACH and check returns
You can also reduce/eliminate false positives by providing additional customer intelligence around business and consumer names: nicknames, birth dates, maiden names, typos, or other data entry errors.
Additional customer insight information is available providing the ability to either confirm data submitted or query and receive correct information to update your customer info records.
Checking account owner authentication authenticates the consumer utilizing consumer data, matching profiles, and alternative data from multiple aggregation source..
Contact us to find out how our account authentication solutions help you transact with confidence.