This suite of four features prevents fraud loss before it reaches the FI and leverages AI, automating the check investigation process for banks and credit unions.
Unit21, a global risk and compliance leader that proactively mitigates risks tied to fraud, money laundering, and other financial crimes, announced the launch of its advanced Check Fraud Prevention and Investigation features during this week’s American Banking Association’s (ABA) Risk and Compliance conference. This new suite of tools addresses the rising threat of check fraud, which causes increased financial losses across the banking industry each year.
“After turning on Unit21’s check fraud rules and alerting, specifically dark web monitoring, we caught and prevented $50,000 in potential check fraud from just the initial seven alerts. I was shocked at its quick success”
In fact, according to a recent Thomson Reuters report, check fraud accounted for 20% of all SARs filing amounting to nearly 670,000 check fraud SARs filed by FIs in 2023.
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“Check fraud is a growing challenge for banks and credit unions, and the traditional detection methods are no longer sufficient,” said Ian Macallister, COO at Unit21. “Our new Check Fraud Prevention and Investigation features empower financial institutions to stay ahead of fraudsters by automating and centralizing the fraud detection process. This protects their bottom line and enhances the security and trust of their customers.”
Unit21’s innovative platform offers a complete view of check-related transactions and activities that lower fraud losses, enhance customer protection, and dramatically reduce investigation time. By integrating advanced AI techniques, image analysis, and dark web monitoring, the new features allow FIs to proactively find and stop fraud loss before it enters deposit channels while also automating the verification process of checks within the institution.
The new features include:
- Dark Web Monitoring: By monitoring dark web activity and suspicious communications on platforms known for criminal activity, Unit21 can proactively alert financial institutions of stolen checks before they reach the bank or credit union.
- Check Fraud Rule Templates: FIs can implement flexible rules with no code within minutes at go-live, allowing for immediate protection against check fraud and a reduction in false positives.
- Check Investigation Toolkit: Unit21 helps automate the investigation of suspicious checks by matching signature files and verifying digitally altered or washed checks resulting in a reduction of manual effort and human error, leading to quicker, more accurate identification of fraudulent activities.
- AI Agent for Check Fraud Investigations: Fraud teams can work alerts and reduce false positives with clearer insight and action through AI-driven investigations, saving them time and resources.
“After turning on Unit21’s check fraud rules and alerting, specifically dark web monitoring, we caught and prevented $50,000 in potential check fraud from just the initial seven alerts. I was shocked at its quick success,” shares Jo Davenport, SVP Fraud Director, CFCI at Third Coast Bank. “Additionally, our customers greatly appreciate our proactive efforts; notifying them has not only enhanced their sense of security but also reinforced their trust in us to have their best interests at heart.”
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