Same day ACH operators, beware! Faster B2B transfer models attract faster fraudsters, too!


“Fraudsters are very excited about the emergence of faster payments — even more so than consumers,” observes industry expert of anti-fraud software for the fintech environment.

 The good news first.

According to an assurance from NACHA, some banks it services can enjoy the privilege of same-day ACH transfers for B2B fund movements, thus recording a new high in faster payment facilities to customers.
But wait, there’s a big ‘What if’ in the process.

The question really is, ‘What if fraudsters catch up with the speed and combat the initiative at the very start itself?’

As the industry expert in anti-fraud software solutions put it, ‘the introduction of any new product in these categories of banking service tend to attract fraudulent activities, almost simultaneously. The faster they come, the faster they fall prone to attack.

Financial Institutions and other watch-dog organizations can seldom react with the same speed and accuracy, to capture such attacks red-handed, feel the industry expert.

NICE Actimize is one leading name in anti-fraud software development arena and services high-level clients in the banking and financial sector. According to this popular banner, their latest innovation named, ActimizeWatch, has been launched as an effective solution against fraudulent attempts at hacking online corporate transactions.

ActimizeWatch uses high-end fintech apps to collect and collate mass volumes of transaction data of B2B clients and applies its machine-learning technology to assess and understand patterns, and not only identify potential fraud-prone areas, but also even block such attacks on the basis of unusual institution, third party, geographic region, industry and other parameters under the transfer mandate.

It closely watches the B2B payment application throughout the specified timeframe, since fraudsters also follow their victims on similar movements.

According to NICE Actimize, the technology they provide equips the bank to stay right on top of things constantly changing patterns to match the fraudster’s fast and newer modus operandi. The name of the game is to act fast in the identification and precautionary measure to halt a fraudulent transaction, and the software recommended helps them with such a tool rendered in real-time.

With the Clearing House and the same-day ACH move coming into the scene, the significance of rapid-fire B2B payments are a major area of watchfulness for banking institutions.

What’s frustrating is that data analysis of ‘business email compromise’ indicated a 10% increase in scams as compared to 2016. This is one area where fraudsters concentrate to land their B2B payment intercept for crimes.

Large data, active machine learning processes, cloud technology and other inputs are top essentials to create a fast, accurate and effective fraud prevention hedge and then stay one step ahead as crime busters on the fintech playfield.


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