The bank aims to assist clients with fraud prevention
According to the official press release, Bank of America has launched the Account Validation service.
That’s a fraud prevention solution for the public sector and corporate clients. Prior to initiating an electronic credit or debit payment, a client using Account Validation, can verify the status of an account and authenticate the account owner.
Account Validation is supported by Early Warning Services, LLC (EWS). Owned by seven financial institutions in the United States including Bank of America, the company is a fintech company that provides identity, payments and risk solutions to financial providers.
A major feature of Account Validation is the capacity to respond to customers’ queries in real-time. The service can be used by companies before making payments to consumers via wire transfer, ACH, or real-time payment.
The service will also help companies to observe the NACHA WEB Debit Account Verification directive. Account Validation will also play a major role in preventing misdirected payments which occurs when users remit money to the wrong account number.
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