ACH and holiday fraud: Don’t give fraudsters an unexpected gift

by Actimize Xceed Team

This holiday season, you jolly well better be prepared for more fraud.

1 –  What is the risk? – Financial Fraud and holiday scams

Fraudsters love holiday season. It’s the perfect time to take advantage of busy online shoppers. Financial Institutions need to get ahead of fraudsters executing their holiday scams.

In this contactless payments era, customers are getting even more comfortable with Digital banking, Wallet, and Peer-to-Peer (P2P) services. However, this doesn’t mean checks are going away anytime soon.

Fraudsters create schemes by blending traditional tactics with new technologies or new banking services, evolving their tactics as technology advances. To commit check fraud, a recent technique involves an old form of payment, checks, with a newer, but rapidly growing digital banking service: remote deposit capture (RDC).  Some of the common check fraud schemes involve the sweetheart scam, holiday scams, and unsolicited check schemes. Missing mail and stolen checks are frequent discussion topics on Nextdoor App, especially during tax season this year.

 

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