Assess whether a payment hold survives a customer complaint (f309bb)

Situation

In an ACH originating credit union, check-kiting multi-bank float map is the evidence after a check deposited in two banks the same afternoon. Payments-risk officer has to pick Remove access or reverse the item or Temporary compensating control for this Fraud Detection Payments Fraud close using check-kiting multi-bank float map.

Decision

Payments-risk officer in an ACH originating credit union must choose Remove access or reverse the item / Temporary compensating control / Approve a documented exception / Hold using check-kiting multi-bank float map after a check deposited in two banks the same afternoon.

Hypotheses to test

• A check deposited in two banks the same afternoon is noise around an already-controlled Payments Fraud process in an ACH originating credit union, given check-kiting multi-bank float map.
• A check deposited in two banks the same afternoon is the event in check-kiting multi-bank float map that forces Remove access or reverse the item for payments-risk officer under Fraud Detection.
• Check-kiting multi-bank float map shows a one-file miss after a check deposited in two banks the same afternoon, not a Payments Fraud program failure.
• Check-kiting multi-bank float map cannot decide a payment hold survives yet after a check deposited in two banks the same afternoon; hold is the only Fraud Detection close an ACH originating credit union can defend.

Analysis required

• Map typology and hold authority payments-risk officer actually has in an ACH originating credit union.
• Trace funds, counterparties, and reversals in check-kiting multi-bank float map through the window opened by a check deposited in two banks the same afternoon.
• Quantify loss if the hold is released before check-kiting multi-bank float map is complete.
• For this Fraud Detection Payments Fraud file, read check-kiting multi-bank float map against a check deposited in two banks the same afternoon and write the one fact that would move a payment hold survives for payments-risk officer.

Recommendation

Choose Remove access or reverse the item / Temporary compensating control / Approve a documented exception / Hold on this Fraud Detection / Payments Fraud packet (check-kiting multi-bank float map after a check deposited in two banks the same afternoon). Lead with the Fraud Detection option check-kiting multi-bank float map can support after a check deposited in two banks the same afternoon, then the two facts that force it, then the Monday action for payments-risk officer in an ACH originating credit union.