Proactive fraud prevention. Enhance your internal controls and simplify your procedures
EFTsure's Know Your Payee Solutions.
Safeguarding accuracy of payee information and protecting it. Ensures your organisation complies with Best Practice payee management principles, limits capital and reputational losses, as well as delivering workflow effeciencies.
Serious risks of fraud and error exist at the point of payment, when your organisation instructs its bank to make payments to vendors and individuals. It is common for an ABA file to be created and uploaded to its online bank for payment. An editable ABA text file utilises bank account information from Vendor Master files and if this information is inaccurate, or has been tampered with, then losses, or errors, can occur.
As Banks Don’t Match Payee names to account names it may look like you are paying a correct supplier but the account number may have been altered, or is incorrect, so you could end up paying somebody else.
Best Practice dictates that individuals who authorise payments are generally not those who initially decide who is being paid and how much, creating a separation of duties and responsibilities. The challenge for the authorising person is to identify potential errors at the point of payment. Most authorisers rely on a visual check of payee information prior to authorsing a payment – “do I recognise the payee name? Does the amount look normal? and is the frequency normal?” It is relatively easy to identify an unfamiliar payee name but very difficult to identify if the associated bank account is correct. The larger number of payees the greater the risk.
The point of Payment Protection Solution identifies the above mentioned risks as an visual overlay on your existing online banking payment screens, providing easily readable alerts to identified risks just prior to authorising payments, ensuring those responsible have full visibility and control of the payment process.
Internal and external fraudsters are exploiting advances in technology and outdated internal controls, that often rely on trust, to attack organisations, resulting in irrecoverable losses. Fraudsters can manipulate internal bank account data to their benefit, taking advantage of the fact that Banks don’t match Payee names to account numbers.
Some types of attack we protect against:
Genuine Invoice - altered vendor bank account details- fraudulent or by error.
Phantom Vendor - fake suppliers
Fake invoice - legitimate supplier but fake invoice and account details.
Invalid ABN registration
Invalid GST registration
Manually altered payment data file (ABA)
For examples of the types of attacks we help prevent click HERE
No matter how diligent a team are, an organisation can incur losses as a result of simple errors in data entry. As more information is digitised, and as the number of records grow, the risk of data errors increases along with the consequences. Misdirected payments can occur and although in most cases the funds will be recovered the process will be time-consuming, costly and inconvenient to your organisation and the payee.
Risks as a result of errors
Out of date information – simple inability or failure to maintain up to date bank account information can result in misdirection of payments.
Accidental data entry - One incorrect digit entry can result in funds being misdirected to an unintended payee.
Duplicate payee records – Most organisations have duplicate payee records - excessive duplicates can result in misdirected payment
Our Software as a Service solution (SaaS) provides the ability to generate an on demand report that identifies anomalies and risks that exist in your Payee data files, such as your Vendor Master File. The report will identify 8 different categories of anomalies.
EFTsure performs a real-time cross-match of data in your files with our KYP Independant crowd-sourced database of verified payee information, ensuring that your information has not been tampered with and is accurate. The report is simple to run and can be generated at anytime.
Typically the report will initially be used to highlight anomalies and risks which will then be addressed. The report will then be run periodically, typically prior to a payment run, to ensure accuracy of payment file data, limiting the risk or fraud and error.
The EFTsure Payment Protection solution incorporates a comprehensive set of reporting capabilities delivering risk assessment information to operational staff and management ensuring best practice control and risk evaluation procedures.