bank of america unveils account validation

Bank of America Unveils Account Validation for Public Sector & Corporate Clients

November 26, 2021

Bank of America –one of the leading financial institutions in the world, has launched the concept of Account Validation for assisting public sector and corporate clients in the United States of America with solutions related to fraud prevention.

The total number of attempts related to digital frauds in the United States of America has gone up by as much as 25.07 per cent during the first four months of 2021. This is in comparison to the previous four months of 2020. It is according to a report from TransUnion. In the study report, it was found that when specific industries were analysed, the number of attacks related to digital frauds against financial service organizations has increased as much as 109 per cent in the United States of America during the same time. Across the globe, fraud attempts in the given industry were high by as much as 149 per cent.

How can Account Validation Help with Fraud Prevention?

Before the initiation of debit or electronic credit payment, a client who makes use of Account Validation will be capable of verifying the status of the account while authenticating the account owner. 

With frauds on the rise, organizations will no longer be able to ensure assumptions about whether or not an entity or the person on the payment’s other end of the payment is who exactly they claim to be. David Kertz –head of Global Payments at Global Transaction Services, Bank of America, revealed that account validation along with other tools for fraud prevention is necessary for modern treasury teams. 

A major component of Account Validation is its capability of responding to inquiries of the clients in real time. Organizations across the globe can make use of the existing services before ensuring payments to the respective clients with the help of ACH, real-time payments, or wire transfers. Moreover, account validation can also be helpful to the organizations in complying with the rule of NACHA WEB Debit Account Validation

Account Validation can also be helpful in assisting the clients in the prevention of misdirected payments. These could take place when the payee will inadvertently offer access to incorrect account number. Stephanie Wolf –Head of Financial Institutions Sales & Head of Business Banking Sales at Global Transaction Services, Bank of America, further revealed that Account Validation can help organizations in preventing fraud-related payments without making any compromise on the overall speed of ensuring valid payments to contractors and vendors. Through the reduction of misdirected payments, organizations will also have a significant amount of money as well as time it will take for attempting the retrieval of misdirected payments.

Account Validation serves to be one of the latest payment innovations introduced into the market by the leading Bank of America. Some of the other payment innovations that have been introduced previously are Complete AP, VAM 2.0 or Virtual Account Management, the Executive Explorer travel card, and Intelligent Receivables. The given technology innovation is supported by EWS or Early Warning Services, LLC. It is a leading fintech company offering risk, identity, and payment solutions to the financial institutions. Early Warning Services, LLC is owned by as many as 7 financial institutions in the United States of America, along with the Bank of America. 

As the scenario of global e-commerce continues growing (upward at an estimated rate of 15 per cent than the previous year), fraudsters are, therefore, seeking newer and innovative ways of striking larger targets. However, they tend to strike less often. Still, they have become increasingly alert and sophisticated when it comes to targeting high-end digital channels. As per the reports of ACI, it is estimated that mobile-based frauds have increased by around 1.22 per cent. At the same time, pick-up in store and theft while buying online have increased by over 6 per cent during the first quarter of 2021. The average value of transaction-specific frauds has only increased by around 4.7 per cent. On the other hand, the overall occurrences have dropped by around 3.2 per cent. 

Bank of America

Bank of America is one of the leading financial institutions of the world that is committed to serving small, mid-sized businesses, individual consumers, and larger corporations with a comprehensive range of investing, banking, asset management, and other types of risk and financial management products as well as services. The company is known to deliver access to unparalleled convenience to its consumers and clients across the United States of America. Moreover, it is also known to serve more than 66 million small business clients and consumers. 

There are around 4200 retail financial centers of the Bank of America with as many as 17,000 ATMs all around the country. The bank also offers access to award-winning digital banking services to around 41 million active users. Moreover, there are over 32 million mobile users of the products and services of the bank. 

Bank of America serves to be a global leader in the fields of investment banking, corporate banking, wealth management, and trading through a wide range of asset classes. Moreover, it is also responsible for serving institutions, governments, individuals, and corporations all around the globe. With Bank of America, you can expect industry-leading support to around 3 million small businesses and households with its impressive suite of easy-to-use and innovative online products as well as services. 

The company is also responsible for serving clients through its high-end operations across the United States of America. Bank of America Corporation stock has also been listed on the New York Stock Exchange. Bank of America is also regarded as the leading market name that is utilized by specific Global Markets and Global Banking businesses of Bank of America Corporation. Trading, lending, and other commercial banking activities in specific financial instruments are performed across the globe by banking affiliates of the leading bank.

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