11 Questions You Should Be Asking Customers Who Are Victims of Fraud

If you attended the Money 2020 conference in Las Vegas this past October, you couldn’t take 10 steps in any direction without running into a vendor pushing their fraud solution…and for good reason: The numbers are staggering:

Fintechs Have a Role in Reducing Fraud

The good news is that fintechs – which represent a growing portion of Katabat’s client base – are helping to fight the growth in fraud as they enter into an increasing number of partnerships with banks and other financial institutions. Fintechs can offer greater levels of agility and scalability to adapt and respond to challenges such as this and help drive a more innovative and secure environment.

As Zia Hayat, CEO of Callsign, put it in a November 2018 Payment Week article, “when banks partner with fintechs, they are often able to benefit from the seamless UI and UX, useful APIs with other trendy and innovative services, and sometimes new methods for authenticating their customers.”

In many cases, non-traditional lenders have focused so much of their time on acquiring new customers and developing great acquisition models, they haven’t focused as much on some of their need to deal with fraud and collections of delinquent accounts.

What’s Your Process for Opening a Fraud Case?

Do you have a process for consistently collecting the information you need to efficiently process a fraud case?  If you don’t have enough volume to have a dedicated fraud unit, here are the questions to ask to start a fraud case:

  1. What type of product is the customer calling about?
  2. What portion of the balance are you claiming as fraud?
  3. Was the customer present in the location where the transaction(s) occurred on the date they occurred?
  4. What type of fraud (Familiar (family/friend), No Idea (identity theft, skimming, counterfeit), or Lost/Stolen)?
  5. What specific transactions (or what specific portion of the balance) are you claiming as fraud?
  6. Was someone else using your account with your permission?
  7. Do you recognize the amount, the merchant, or both?
  8. If applicable (i.e., not an auto/mortgage loan), have you disputed the transactions claimed as fraud directly with the merchant?
  9. If applicable (i.e., not an auto/mortgage loan), do you still possess the checks and/or credit cards associated with the account.
  10. Are you aware of who committed the fraud? If yes, tell us about the alleged perpetrator.
  11. Have you filed a police report with local law enforcement authorities? (Note: Some banks waive this for small amounts).

 Don’t Forget the Disclosures

You can provide your disclosures either verbally or in written form, and receive acknowledgment the same way:

How We Can Help

Katabat’s enterprise workflow solution can help you with workflow solutions for managing fraud cases – and many other processes.  Liberate offers audit capability, business process automation, role-based task management, the ability to send customer communications at different steps within a workflow, case creation, and account-status assignment.

Request a Demo

Are you interested in learning more about the Katabat platform? Schedule a demo today.