CheckFree said “NO” to online fraud

CheckFree FraudNet automated fraud detection and case management system developed as a powerful solution for monitoring and stopping fraudulent transactions before they are processed since November 2005 thwarted over 21,000 fraudulent bill payment transactions on amount of $287.9 million.

FraudNet application is a development of CheckFree, a leading provider of electronic commerce services, acquired by Fiserv in 2007.

Online frauds are less often than those made with paper based transactions as victims using conventional funds processing methods may be deprived of their wallet, robbed of the account information committed to paper which was thrown into litterbin or put into the mailbox. FraudNet is a protection instrument that decreases electronic fraud incidents to an even low rate.

462 financial institutions at present time leverage FraudNet system. They installed the system in order to lower the risk of fraudulent attempts to make illegitimate transactions online and this corresponds with Federal Financial Institutions Examination Council (FFIEC) regulations. FraudNet engine uses advanced algorithms and proprietary negative file history, making it extremely accurate in detecting fraudulent transactions

FraudNet represents centralized fraud detection and integrated case management system. It records all online bill payments and blocks suspicious transactions processing. The latter are carefully studied by fraud specialists.

From the time it was started in PSCU Financial Services FraudNet has helped the nation's largest credit union service organization, reduce fraud cases. Every month PSCU Financial Services credit agencies process more than 2.8 million electronic bill payments. FraudNet blocked fraudulent online transactions in amount of $203,000.

"CheckFree FraudNet is a powerful tool for our credit unions in the battle against attempted fraud," David Serlo, chief executive officer, PSCU Financial Services. "Since FraudNet detects and prevents fraudulent payments from being processed, this tool provides our credit unions with added peace of mind about the security of our PayLynx(TM) online bill payment service, which is also provided through CheckFree."