ACH Alert Addresses Real-Time Payments Fraud For Account Holders

ACH security service provider ACH Alert is introducing new services aimed at helping banks and other financial service providers address the threat of payments fraud related to faster ACH transactions.

The company announced news on Monday (April 30) that its PRO-TECH RT and PRO-TECH CR solutions are now available for its financial institution customers and their account holders. The tools let banks allow account holders to accept or reject incoming faster ACH payments and credits, the company explained.

Its PRO-TECH RT tool enables account holders to establish restrictions on incoming real-time payments and customize when alerts are sent via text, email or both. Users can also set up approved or blocked lists based on payment amounts, sender, frequency and start/end dates.

The PRO-TECH CR solution offers similar services for incoming ACH credits. If end users receive an alert, they can return or accept the incoming ACH credit.

“Making sure that financial institutions are comfortable with the risk of receiving real-time payments is crucial to achieve widespread adoption,” said ACH Alert Chief Executive Officer Deborah Peace in a statement. “Beyond offering heightened visibility, PRO-TECH RT and PRO-TECH CR ensure that incoming payments are processed according to account holders’ preferences, which is vital for certain industry verticals like mortgage originators, insurance providers and property management companies. For instance, if cancellation, eviction or foreclosure proceedings have started, it is critical that these companies can reject incoming payments.”

In another statement, The Clearing House (TCH) Vice President of Business Development Tim Mills said TCH’s latest efforts on enhancing ACH payments is focused on faster and real-time transactions.

“We strive to deeply understand the challenges financial institutions face with real-time payments processing, fraud and security,” he stated. “By doing so, we can ensure that all institutions, including community banks and credit unions, can effectively leverage the latest payments infrastructure.”