As the financial industry grapples with increasing fraud attempts and ongoing threats to their customer's valuable financial and personal data, community financial institutions (CFIs) are turning to modern technologies such as Video Banking and real-time photo ID verification, in addition to adopting multi-factor authentication (MFA). These measures aim to enhance security, safeguard member data, and fortify the defenses of CFIs against fraudsters.
According to industry reports, the rise in financial institution fraud has reached alarming levels, with CFIs increasingly in the crosshairs due to the sensitive data they hold, including Social Security numbers and addresses. Increased sophistication from both fraud fighters and fraudsters, as well as heightened transaction activity, have further intensified the need for community banks and credit unions to strengthen their fraud prevention strategies.
Launched March 1, 2023, Eltropy's latest product, Video Verify, offers CFI's, a new tool in the fight against fraud, offering a comprehensive solution that combines Remote Video, real-time government ID verification, and knowledge-based authentication, says the company.
The company says Video Verify ensures members' identities are fully authenticated and kept secure. Using Video Verify, CFIs can verify their members' and customers' identity, eliminating the need for in-person branch visits. This streamlined approach enhances convenience while maintaining the highest levels of security and protection against fraudulent activities.
Further, by incorporating secure authentication tools that are part of the Eltropy Digital Conversations Platform, including text messaging, secure chat and co-browsing, CFIs can not only grant members access to their accounts but also ensure they can confidently identify legitimate contacts, says the company.
"For credit unions and community banks, in particular, we’ve learned that it’s crucial to integrate commonly used technologies to power multi-factor authentication tools," emphasized Jed Taylor, Chief Product Officer at Eltropy. "By utilizing the right combination of Text, Video Banking, and Real-time photo ID identification, CFIs can establish a comprehensive digital and in-branch communications strategy that enhances security without disrupting their current operations."
"In one year on the Eltropy platform, Video Banking became our top channel for account and loan originations," said Ron Winter, CTO of InRoads Credit Union, based in St. Helens, Ore. "Since we require non-branch wires to be verified over Video Banking, our number of incidents of fraudsters impersonating our members has decreased to zero."
Eltropy included live demos to shed light on effective fraud-fighting techniques in its June 28, 2023 webinar, “A Window Into the Future: See the Power of Video Banking's Current-day Capabilities.” The webinar reviewed:
- How Video Banking can impact CFIs of all sizes anywhere in the country
- Why proactive consumer engagement plays such an integral part in improving the consumer experience
- Real-life examples of call center agents thwarting fraud through Video Banking and secure Texting
The June 28 webinar recording can be accessed here.
Eltropy is also offering another webinar later this month, “Get Smart: The Smart Tools Your CFI Needs to Fight Fraudsters,” on July 18 at 10 AM MDT. It will show real-world case studies and success stories employed by leading CFIs to strengthen their fraud prevention measures.
Eltropy, based in Lehi, UT and Milpitas, CA, offers a conversations platform for community financial institutions (CFIs). Its AI-driven communications tools empower CFIs to communicate, automate, improve operations and engagement, and increase productivity across the institution while maintaining high standards of security and compliance.
TechBuzz profiled the Eltropy last December.