ST. JOHN’s, Newfoundland–Over the past four months, membership in FRAMLxchange, Verafin’s Secure 314(b) Collaboration Network, has experienced 51% growth.
“FIs from coast-to-coast are facing an age-old problem with a new twist - the modern criminal - whose attacks are more organized and larger in scale than ever before,” the company said. “Their ability to commit profit-generating crime and then illegally launder the proceeds is directly related to the inability of the US financial system to keep pace with the changing nature of these crimes. Today’s more sophisticated criminal schemes include the spread of illegal activity across multiple institutions. Each individual FI, restricted to seeing only what happens within its own four walls, is incapable of seeing the bigger picture.”
According to Verafin, its innovative FRAMLx technology gives banks and credit unions the power to protect themselves and their customers from even the most sophisticated criminal attacks. FRAMLx empowers investigators at FIs through:
- Cross-institutional data analysis: Verafin’s FRAMLx alerts notify FIs about unusual customer activity spread across multiple institutions.
- Peer collaboration: Collaboration is made possible by FRAMLxchange, which is registered as an association of financial institutions (FIs) with FinCEN for 314(b) information sharing. Member FIs are able to securely collaborate one-to-one with other institutions to voluntarily share information about potentially suspicious activity – all within Verafin.
FRAMLxchange membership and in-app collaboration is open to all FinCEN 314(b)-registered FIs, regardless of their current transaction monitoring system, leading a wide range of institutions to take advantage of an incredible opportunity to improve their investigations into unusual consumer activity, the company said.
“The overwhelming success we are seeing with the FRAMLxchange network shows how powerful information sharing is in helping institutions stop financial crime. A siloed view of customer activity inhibits an investigator’s ability to see the bigger picture of what criminals are doing. Verafin’s FRAMLx data analysis and cross-institutional collaboration functionality turns the tables on criminals, making it incredibly difficult for them to hide activity,” said Brendan Brothers, Verafin co-founder. “Investigators also make significant efficiency gains as FRAMLx helps them quickly understand what customer activity requires more detailed investigation.”