You know when you try to sleep but your mind won’t stop reminding you about that embarrassing thing you did in 5th grade? Well, for banks, it’s kind of like that—except instead of childhood awkwardness, they’re losing sleep over fraud. Fortunately, Galileo has just handed them a pair of digital nightlights.
To combat the growing threat of digital payment fraud, Galileo has introduced two anti-fraud tools: Galileo Instant Verification Engine (GIVE) and Transaction Risk GScore. These tools offer real-time fraud detection and risk management, helping businesses verify accounts and prevent unauthorized transactions before they happen.
How It Works:
Let’s break it down:
- GIVE (Galileo Instant Verification Engine): This tool verifies external bank accounts and ownership in real time. Whether a business is receiving payments or processing transactions, GIVE ensures that the account exists and belongs to the right person before any money changes hands.
- Transaction Risk GScore: A machine learning-based tool that evaluates the risk level of every card transaction in real time. It adds a “layer of fraud signals” that can detect if something’s fishy before the transaction goes through. Businesses can set their risk tolerance and let the system flag suspicious activity.
Together, these tools allow businesses to stop fraud in its tracks and customize their fraud-prevention rules to fit their needs.
Who’s Targeted:
Anyone processing payments—whether banks, FinTechs, or businesses—is vulnerable. The more digital payments flow, the more cybercriminals are eyeing your accounts. Fraudsters target businesses of all sizes, especially those with lax verification processes or outdated fraud detection systems.
Real-Life Example:
Max Spivakovsky, Senior Director at Galileo, recently spoke about how financial institutions used to rely on single, outdated fraud prevention tools. However, with more complex fraud schemes emerging, this just doesn’t work anymore. Institutions need multiple layers of protection, and Galileo’s tools are designed to provide exactly that.
With GIVE and GScore, businesses can verify accounts in real-time, reducing the chance of fraudulent transfers and unauthorized transactions. It’s like having a digital bouncer checking IDs at the door—except this bouncer doesn’t miss a thing.
Why You Should Care:
If you’re running a business or managing payments, fraud can strike at any moment, siphoning off hard-earned cash and ruining customer trust. Real-time fraud detection tools like GIVE and GScore don’t just protect your finances; they protect your reputation. It’s like adding a high-tech security system to your business—it’s worth it.
How to Protect Your Business:
Here’s what you can do to stay one step ahead of fraudsters:
- Integrate Real-Time Fraud Tools: Tools like GIVE and GScore help verify accounts and flag suspicious transactions in real-time.
- Customize Your Risk Tolerance: Tailor fraud prevention rules based on your business’s risk appetite. Not all transactions need the same level of scrutiny.
- Monitor and Adapt: Fraud tactics evolve, so should your fraud detection systems. Regularly update your security settings to keep pace with new scams.
- Educate Your Team: Make sure your team is up to date on the latest fraud trends and how to handle suspicious activity.
- Partner with FinTechs: Partnering with companies like Galileo offers a deeper layer of fraud detection, utilizing AI and machine learning.
Quick Tips:
- Did you know? Relying on just one fraud prevention tool is a thing of the past. Modern fraud requires multi-layered solutions that adapt in real-time.
- Pro Tip: When evaluating your business’s risk tolerance, consider your transaction volume and customer base. High-volume businesses often need stricter fraud checks.
Have you experienced fraud or seen suspicious activity in your business transactions? Share your story with us—your insights could help other businesses stay safe!
Stay safe, stay informed,
Key Terms Explained:
- Real-Time Verification: The process of checking the validity of an account or transaction as it happens, preventing fraud before it’s too late.
- Risk Appetite: The level of risk a business is willing to accept in its transactions. Higher risk tolerance may mean looser fraud detection settings.
- Machine Learning: A form of artificial intelligence that enables systems to learn from data, improving fraud detection over time.
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