We Have Robust Systems to Detect Fraudulent Transactions—Moniepoint
By Aduragbemi Omiyale
The chief executive of a digital financial services provider, Moniepoint Incorporated, Mr Tosin Eniolorunda, has disclosed that the firm has put in place mechanisms to detect fraudulent transactions on its platform.
Mr Eniolorunda made this disclosure when he paid a courtesy visit to the chief executive of Fidelity Bank Plc, Mrs Nneka Onyeali-Ikpe, at the bank’s headquarters in Lagos.
The visit came after Fidelity Bank prevented the flow of transactions from Moniepoint over issues relating to the identity of the neo bank’s customers.
Fidelity Bank later removed the restrictions, allowing customers of the two banks and digital banks to successfully carry out interbank transfers.
During the visit, Mr Eniolorunda noted that Moniepoint, as a responsible and compliant organisation, takes customer know-your-customer (KYC) very seriously.
“KYC is not merely an acronym but indeed a cornerstone in establishing trust, ensuring security, and complying with regulatory standards.
“All accounts created on our platform have BVN verification and in addition to this, we perform a liveliness check at the point of onboarding. This is a comparison of the account holder’s life picture and the BVN image as a way to reduce impersonation,” he added.
Mr Eniolorunda further said, “We have zero tolerance for fraud and typically go all out to ensure that we track fraudsters and fraudulent transactions on our platforms.
“We have deployed and utilised robust fraud detection systems and technologies that can analyze patterns, identify anomalies, and detect suspicious activities in the system. As such we are better empowered to identify potential fraud incidents and trigger alerts for further investigations and remedial actions.”
In her remarks, Mrs Onyeali-Ikpe thanked her guest for the visit, reaffirming the bank’s appreciation for the patience and understanding demonstrated during its banking channel integration optimisation which resulted in service disruptions and the inability of Moniepoint customers to receive financial inflow.
As partners in deepening the mandate of the Central Bank of Nigeria (CBN) of ensuring the provision of adequate and convenient financial services to consumers and guaranteeing their protection as well as the various undercurrents in the financial services industry, Moniepoint and Fidelity Bank agreed to work closely together to develop a tightly knit mechanism to stem the menace of fraudulent transactions and collaboratively push through in addressing payment challenges in the country.
Nigeria’s financial system has come under renewed scrutiny against the backdrop of the increase in the value of electronic payment transactions in Q1 2023 and the challenges posed by bad faith actors who exploit gaps in the payment systems even as Nigerian financial institutions have reported N159 billion ($201.5 million) lost to fraud since 2020. There is a need for all players in the financial services sector to come together to tackle these challenges.