TMCnet News
GIACT™ Publishes Report Detailing Risks of Same Day ACH Debit Payments to Faster Payments EcosystemDALLAS, July 12, 2017 /PRNewswire/ -- GIACT Systems, the industry leader in payment fraud reduction, today announced the publication of a new Faster Payments industry report, "Securing Faster Payments: Protecting your Organization and Customers from the Risks of Same Day ACH Debits." The report explores the significant new challenges that organizations need to address prior to launching same day debits. It also provides recommendations on how organizations can adapt their internal risk management processes and technology to fully prepare for Faster Payments. Download the complete report, Securing Faster Payments
Source: Aite Group "GIACT's goal is to educate the industry on not only the benefits of Faster Payments, but also the risks and ways to combat those risks," said David Barnhardt, executive vice president of product for GIACT systems. "We believe that collaboration among all participants in the payments industry is the only way to protect both the industry and consumers from emerging threats and maintain the integrity and efficacy of Faster Payments." "With Same Day Debits, banks have to ensure their controls are sufficient to manage the additional risks inherent in this shorter turnaround time," said Aite Group senior analyst Linda Coven. "For business-to-business transfers, corporates should consider adding ACH positive pay, filters and blocks, if not already in place." Background Beginning September 15, 2017, NACHA rules mandate that Same Day ACH payments will be available for debit payments. This is the second phase of NACHA's deployment of same day ACH payments which began in September 2016 with same day credits. NACHA reported that, of the 25 billion ACH transactions that moved across the network in 2016, 26 million were same day. Additionally, between the fourth quarter of 2016 and the first quarter of 2017, same day payments increased 13% on the network. Debit transactions on the ACH network have historically been more susceptible to higher return rates than credit transactions, and the risks associated with debit transactions will be exacerbated by the transition from delayed payment to same day. The systems and processes that many payment providers currently have in place to identify potential fraudulent transactions are not adequate to protect themselves and their customers from the increased risk associated with the move to same day settlement. Key Takeaways
About GIACT
View original content with multimedia:http://www.prnewswire.com/news-releases/giact-publishes-report-detailing-risks-of-same-day-ach-debit-payments-to-faster-payments-ecosystem-300486670.html SOURCE GIACT |