Prepaid Resources Partners with IDology to Combat Benefit Enrollment Fraud (March 5, 2013)
March 5, 2013
Prepaid Resources, a New York City-based technology specialist for the prepaid and banking industry, has announced a partnership with Atlanta-based technology provider IDology to incorporate advanced identity verification and prescreening solutions within Prepaid Resources’ FraudGuard security services. Fraud Guard protects against unauthorized direct-deposit enrollments using Prepaid Resources’ BenefitsDirect Direct Deposit Management application.
“IDology’s platform offers a complete and flexible solution to confirm an identity in real-time, including [underbanked] and unbanked customers, with a friendly, non-intrusive approach that protects customer privacy,” said Prepaid Resources President Barry Kessler. “Integrated identity verification is a valuable weapon in our fight to secure direct deposit enrollment.”
By partnering with IDology, Prepaid Resources is able to go beyond identity verification to quickly pinpoint suspicious behavior and immediately make the necessary changes to prevent fraudulent transactions and enrollments, according to John Dancu, IDology president and CEO.
In a recent interview, Walt Henderson, director of the Treasury’s EFT Strategy Division, told Paybefore that the problem of fraud associated with federal benefit payments being loaded onto prepaid cards is hard to quantify. He pointed to an Office of the Inspector General, Social Security Administration report last year that cited 19,000 cases of benefits being redirected to prepaid cards or bank accounts. Henderson said some prepaid providers have implemented secondary authentication methods he believes have helped curb the problem.
