Foil Phony Accounts with Anti-fraud Features. April 24, 2017May 1, 2017 Cristi Kirisits Foil Phony Accounts with Anti-fraud Features. This account opening solution can actually help keep you in good standing with federal regulators. The Wells Fargo scandal was an eye opener for all of us. The pressure for bank representatives to open new accounts is so great that it became common practice to open phony accounts in customer’s name and charge maintenance and overage fees. This is wrong on so many levels, I’m not sure where to start. 1. Really bad customer service. 2. Opens your institution up to federal scrutiny and lawsuits. 3. Puts all FIs at risk of further federal regulation and compliance. As a responsible banker, there are simple steps you can take today to make sure this does not happen to you. As part of our Digital Sales Platform, Gro offers Consumer Protection Plus, a patent-pending feature that uses SMS text and email validation to ensure that consumers are involved in the account opening process. It provides an extra layer of security for your customers, and documentary evidence during regulatory examinations for you. What does Consumer Protection Plus do? – Proves customer involvement in the account application – Provides a superior user experience and a familiar verification process – Ensures a working communication channel to the client for future cross selling, collections, digital banking, etc. – Delivers disclosures electronically How does Consumer Protection Plus work? During the account opening application process, the applicant is prompted to enter an email or a mobile phone number where they can receive a verification code. The code is sent instantly and the applicant enters it back into the application. The transaction of the verification is recorded and proof can be viewed and reported from the Gro Admin Portal. This verifies that the applicant is actively involved in the process, protecting them from unwanted account fees, and protecting the FI from fraudulent employee practices.