The combined application is designed to help both companies improve their management of identity risk by detecting fraud at the point of application and deposit, and during changes to deposit accounts.
Deposit fraud in the commercial banking industry, according to a recent Deposit Account Survey by the American Bankers Association, amounted to $677m in 2003. Carreker and ID Analytics said their new offering will aim to address the two main threats identified by the survey’s respondents, identity theft (40%) and check fraud (21%).
In a joint alliance, both firms will integrate their products into a new system. Carreker is providing technology that it says will address the identity risk challenges related to demand deposit, check security and the electronic payments processing environment. ID Analytics, meanwhile, will offer its identity fraud prevention software, including its ID Network, a system developed to manage identity risk.
Our alliance with Carreker will allow the retail bank marketplace to leverage the ID Network and its hundreds of millions of identity patterns, both real and suspicious, said Bruce Hansen, CEO of ID Analytics. The combination of our core capabilities will yield significant advances in the ability to detect several types of identity fraud, while reducing costs associated with manual operations.
In addition, Carreker said it plans to integrate ID Analytics’ Identity Risk Management software into its fraud technology suites in an effort to enhance fraud detection and lower operating costs when detecting payment and deposit fraud.
