New Account Verification, this has become a little more complicated with the present regulations and with regulations changing all the time. This week, a Credit Union showed me some papers mailed to the CU requesting a new account. The application was printed from their website. The President asked me to run some reports to confirm their thoughts. The papers were for a Phillip M. The social security number passed OFAC and so did the name. The address failed and so did the birth date.

Verification tools are offered on our website www.skip-trace-solutions.com. I used a simple “People Search” and verified the social belongs to a man in TN. “Drivers License Verifier” shows the name and address do not match. Finally a “Reverse Address” verification showed the address is a business address in Brooklyn, NY with three businesses and three different names and telephone numbers. Okay, this was too easy. The US Postal Money Order included in the envelope appears legitimate. The big give away, the applicant claimed to be related to the Operations Manager!

The verification process is so vital. Fraud through bogus accounts constantly plagues our industry. Examine your new account opening procedures. Make sure you have the tools you need. What could have happened here? He may have attempted a bogus check deposit at a shared branch and a quick withdrawal. Glad this CU will never know a loss on this bogus applicant.

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