Positive Pay Fraud Prevention
Tech CU offers a combination of services that helps businesses prevent fraud on their accounts, namely Check Positive Pay, and ACH Blocks and Filters. The combination of these two services helps companies arm themselves against various types of fraud that exist in the business world today. This new service is available to business members that issue a moderate to high number of checks and have allowed other entities to debit their accounts via electronic debit. To have the service, businesses need to have their account relationship analyzed monthly via Tech CU’s account analysis system.
HOW CHECK POSITIVE PAY WORKS
Check Positive Pay requires the business member to upload a file of checks they issued via the online banking portal, namely Business Online Banking.
- Each business day an authorized business representative logs into view exception items that are posting to the account.
- Any check that is not issued, or checks that are paying for a different amount than issued, will show up on this Exception Item List.
- The business member then decides if these checks are truly fraud (counterfeit or altered) and requests them to be returned or paid.
- Tech CU then returns any fraudulent checks to the depositing financial institution through the normal check return process.
HOW ACH BLOCKS AND FILTERS WORK
In the current financial world, electronic funds transfers are commonplace and businesses originate and receive ACH transactions frequently between their vendors and customers. Controlling authorized transactions is very important and tools to prevent unauthorized transactions are becoming essential. Tech CU offers the ability to allow only certain pre-authorized ACH transactions to post to business member accounts.
HERE IS HOW IT WORKS:
- Members can elect to block all ACH debits, or allow only certain transactions.
- Each day the business member logs into Business Online Banking, navigates to the Positive Pay system, and reviews Exception Items (ACH) that are posting to the account, and makes decisions on whether or not that ACH debit is authorized or not authorized.
- Tech CU then returns any ACH unauthorized debits back to the originating party at the originating financial institution.