June 2023 Summaries

No summary generated yet.

A commentary on authorized-push-payment fraud argues that consumer confusion over whether a payment is authorized under Regulation E leaves victims exposed and increases pressure on receiving banks and payment providers to prevent scams. It highlights emerging liability-shift discussions led by the CFPB and industry initiatives such as Zelle’s plans to charge receiving banks for certain peer-to-peer fraud losses. The piece emphasizes that money mules, including synthetic identities, compromised accounts, and accounts opened with stolen personal information, can enter financial institutions during account origination or through account takeover. Citing proprietary estimates that 1–3% or more of U.S. deposit accounts may involve fraudulent synthetic identities, it calls for stronger controls such as email and phone risk assessment, automated scoring, document verification, geolocation, and monitoring of account changes. It also promotes Socure’s fraud-prevention products and portfolio-review services as tools for identifying mule accounts, while framing fraud trends, regulatory pressure, and criminal demand for money movement as driving major changes across banking and investment account ecosystems.