I’ve opened about 40 to 50 accounts online in the past decade and rarely has the experience been satisfactory (see note 1). The best experience yet was opening a PNC Virtual Wallet early last year. And I didn’t know until after I’d published the blog entry, that the app was powered by Andera (note 2).
So I pay attention when the Rhode Island-based tech company introduces a new feature. The company already had fraud algorithms that stopped most attempts. But there is no such thing as perfect security. So to make it even more robust, Andera is adding real-time monitoring of the application flow across its entire 500-client network to do an even better job of catching criminals.
Under the new Fortifi system, criminals simultaneously applying at multiple financial institutions (on the Andera platform) are indentified in real-time and stopped. Andrea believes the new system will reduce fraud to less than 5 out of every 1,000 applications approved compared to 20 to 30 frauds per 1,000 approved previously.
Even for a smaller institution doing 100 online apps a month, that’s one or two fewer frauds to chase down each month, a material cost savings and a reduction in the management burden fraud entails at smaller organizations. It also helps boost internal trust of the online channel, perhaps the biggest benefit of all.
Andera homepage features a pensive pig, apparently wary of new account fraud
1. See Online Banking Report: Improving Online Account Opening ROI (published June 2009; paywall).
2. The post was changed to include Andera a short time later.