Mitigate Payments Fraud

Protect Yourself from Payments Fraud

In a perfect world, you could conduct every financial transaction without worrying about security. But payments fraud is a fact of life, and criminals constantly look for weaknesses in your financial operations.

Fraud typically occurs when an account is compromised through check, Automated Clearing House (ACH) or wire channels. Whether you make payments using paper checks, electronic methods or both, you can help to minimize fraud by implementing tight internal controls and current fraud solutions.

 
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A Widespread Problem

Two-thirds of organizations surveyed were victims of actual or attempted payments fraud in 2011.Footnote  (Opens Overlay) Among organizations that suffered a financial loss, the typical loss was $19,200.

 
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Types of Fraud

Check fraud is the oldest form of depository account fraud. Counterfeit checks, altered checks and forged signatures on checks comprise the main categories for fraud.

Wire fraud occurs when someone other than an authorized individual performs a wire transfer to an account that is not intended as the recipient.

ACH fraud occurs when an account is accessed for unauthorized ACH payments (debits).

Internet fraud takes several forms and is intended to intercept, view or redirect confidential financial information in order to compromise accounts and commit fraud. It often involves situations where customers believe they’re dealing with legitimate websites that are in fact fraudulent.

 

Chase Fraud Solutions

Once you understand the ways your business or organization is at risk, you can make better decisions about solutions that can help protect your accounts.

 

Electronic Fraud Solutions

ACH Debit Block stops ACH debits from posting based on criteria you select. For example, you can block all ACH debits, debits greater than a certain amount or debits from a certain company or organization. Once you’ve set up your criteria, ACH Debit Block works automatically.Footnote  (Opens Overlay)

ACH transaction review allows you to review and confirm ACH debit and credit transactions that post to your account on a case-by-case basis. Simply determine whether the transaction is authorized and return any transactions that aren’t. Filter transactions you want to review by any combination of debits and credits, company IDs, dollar amount or range and transaction types.

 

Check Fraud Solutions

Positive Pay maps your information about your checks to actual checks presented for payment. You provide details about checks you’ve written. We then compare that information to checks presented for payment. Any check that doesn’t match the information you’ve provided will be marked as an exception, and you’ll decide whether it should be paid or returned.

Payee Name Verification ensures that the person or entity presenting the check for payment is the payee you selected when you provided your check details.

Teller Positive Pay helps prevent check fraud at the branch. We update our bank teller system throughout the day with check-related information on Positive Pay accounts. If we detect an exception, we won’t cash the check at a Chase banking center, and we’ll refer the person presenting the check to the check’s issuer.

Reverse Positive Pay gives you the tools you need to monitor checks on your own. During enrollment, you specify a threshold amount for checks you want to monitor. We’ll then show you any checks presented for payment that are equal to or greater than that amount, and you can decide whether to pay them or not.

Post No Check Service rejects and returns any check presented against a Chase account that does not allow check-writing activity. Once in place, it requires no further monitoring.Footnote  (Opens Overlay)

Encashment settings protect your account at the teller level by preventing non-Chase customers from cashing checks above your established threshold. For example, if you set your encashment settings at $500, then a Chase teller will reject a check for $600 if a non-Chase customer presents it. Encashment settings require no monitoring.Footnote  (Opens Overlay)

 

To learn more about our payments fraud solutions,
please contact us or call your Commercial Banker.