Australia-based Adatree has launched a fraud prevention product that provides real-time account verification and balance checks and revealed that a state government entity will be the first to adopt it.
Last year, Australians lost more than $2.7 billion to financial scams, with many of those targeting superannuation funds and insurers.
The new ‘CDR Insights’ feature has been designed to give businesses the tools to verify bank account ownership before transferring funds, reducing the likelihood of falling victim to fraud and also improving operations, by minimising the need for manual checks.
‘Insights’, which complies with the Consumer Data Right (CDR), covers individual, joint, and business accounts, with direct access to 99.7% of the household banking market in Australia, equivalent to 114 banking sources and 22 energy sources.
“Adatree’s Insights product represents a new era in fraud prevention and operational efficiency,” said Jill Berry, chief executive officer of Adatree.
“Leveraging Open Banking and Open Energy, we’re empowering businesses to protect their customers against mistaken payments or financial scams.”
Adatree is due to officially announce the state government entity that is the first to adopt CDR Insights, but said that the partnership “showcases the broad appeal of our solutions, benefiting both public and private sectors by making financial processes safer and more efficient”.
In February, Adatree was acquired by Australian payments infrastructure provider Fat Zebra to integrate CDR-powered services alongside its existing payment solutions.
Last week, the Australian Government announced a “reset” of CDR, citing the cost of implementation as an impediment to adoption, and opening a consultation on changes to consent and operational rules.
Adatree’s Berry posted on LinkedIn that CDR has “momentum” and called the updates positive.
