Thread regarding Wells Fargo & Co. layoffs

https://www.paymentsdive.com/news/bank-of-america-zelle-probe-cfpb-litigation-aml-sanctions-compliance-jpmorgan-wells-fargo/731517/

Wells Fargo involved in this massive probe along with others. Seems to me that the brain surgeons at the big banks should have the technology to prevent this from happening on the platform they themselves created and then turned loose on their customers.

Off the top of my head:

  • Money going to Nigeria? Stop.
  • Account being cleaned out? Slow it down and confirm with Sender.
  • Transaction different from a customer’s transactional history? Slow it down and confirm with Sender.
  • Large transaction being sent to a newly established account? Slow it down and confirm with Sender.
  • Identify and monitor accounts with questionable activities (money mule accounts)
  • Business accounts should be confirmed as a real business before allowing access to Zelle to prevent scam/fake business accounts. (fake Ticketmaster accounts etc)
  • Slow it all down. People will have to adjust. New money received to an account should not be allowed to be immediately moved out for 24 hours and the account should also not be allowed to close or disappear for 24 hours after receiving money.
  • Any combination of above? Stop.

If the banks have to start eating the fraud their platforms currently allow, instead of their customers, they’ll figure out how to build the appropriate guardrails quickly.

If the criminals are smarter and faster than Brian, Charlie, Jamie and the rest, then these CEOs are fling down on the job.

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| 813 views | | 7 replies (last November 13, 2024) | Reply
Post ID: @OP+1vsvZWim

7 replies (most recent on top)

Zelle happens to be owned by the 4 or 5 major banks in tandem. They also don't report those transfers to the IRS, unlike other cash apps. Coincidence? I think not.

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Post ID: @1lse+1vsvZWim

Honestly, Zelle is already obnoxious to use and this will probably make it worse. Being asked 15 times during a payment process 'are you sure this recipient is legit and that you're not being ripped off?' isn't a great experience. Once it's enough. More doesn't reduce the risk of fraud, at all.

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Post ID: @1rim+1vsvZWim

I would not trust this bank to implement any sort of technology properly

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Post ID: @1ybg+1vsvZWim

@yxs+1vsvZWim Bad comparison dude!

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Post ID: @odl+1vsvZWim

Sounds like someone got scammed 😜

And you cannot do a large transaction as a new account, not even 1k so do a little research

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Post ID: @cpb+1vsvZWim

Should the banks be required to cover losses when someone is mugged by an ATM or on the street? Consumers need to be more aware.

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Post ID: @yxs+1vsvZWim

Criminals will always be ahead. That's just the way it is.

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Post ID: @lki+1vsvZWim

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