PSCU, which is billed as the nation’s premier credit union service organization (CUSO), has announced its new Enhanced Fraud Services system, which the company said “has helped 10 early adopter credit unions combat fraud of all types, ranging from first-party chargeback fraud to identifying card information being sold on the dark web.”
According to an emailed press release, “this advanced service focuses on providing credit union users with concierge-like fraud consulting.” The service is tailored to credit unions with member characteristics “that require a customized approach.”
The St. Petersburg, Florida-based PSCU said that participating “credit unions receive an assigned risk program consultant who, on a daily basis … analyzes the credit union’s fraud and risk mitigation initiatives.”
PSCU said the service “helps strengthen a credit union’s existing anti-fraud efforts in order to more quickly and accurately prevent fraud and reduce losses.” Credit unions can pick and choose what kinds of fraud they would like to focus on.
“The startup process for Enhanced Fraud Services was completely seamless, and we began to see the benefits of the service quickly,” said Tim Comeau, manager of payment strategy at the State Department Federal Credit Union in Alexandria, Virginia. “Through assisting with monitoring the dark web, maximizing reporting, and setting up and tracking detailed information, we are pleased with the fraud prevention measures provided” by PSCU’s new service, he added.
PSCU works with 1,500 credit unions to provide such services as payment processing, risk management, loyalty programs, digital banking and marketing.
“Credit unions across the country are on high alert for scammers looking to take advantage of members during the pandemic and are stepping up fraud prevention efforts as a result,” according to PYMNTS’ recent Credit Union Tracker done in collaboration with PSCU. The pandemic has put credit unions on the hot seat in terms of fraud risk.
PSCU said it prevented over $277 million in would-be fraud last year, 30 percent more than in 2018. The service organization said it blocked cybercriminals at the point of sale, for example, and regularly invests in cyberattack prevention tools.