Deposit fraud detection software developer Advanced Fraud Solutions has released a new account validation tool for financial institutions.
TrueACH empowers clients to confirm account status and authorised users.
The new tool was created as a response to Nacha’s WEB Debit Account Validation Rule, which requires financial institutions to implement “commercially responsible” fraud detection systems to validate if accounts are open.
This new solution works by triangulating information against Advanced Fraud Solutions’ cooperative database, giving real-time responses to whether an account exists and if it is in good standing. It can also check if there are returning transactions, if it has insufficient funds, whether it is at high-risk and whether the person is authorised to complete transactions from the account.
Advanced Fraud Solutions VP of strategic partnerships Ted Kirk said, “ACH has become a universal method of payment. Banks and credit unions need a solution that will help them achieve compliance as well as make faster payments safer and less prone to fraud.
“TrueACH with Account Validation was built to not only meet the demands of Nacha’s WEB Debit Account Validation Rule, but also with an eye towards reducing both fraud and friction.”
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