TMG Fraud Strategies saved financial institution clients $20 million in 2013
DES MOINES, IA (March 27, 2014) – Fraud detection and prevention strategies executed by The Members Group (TMG) saved its financial institution clients $20.3 million in potential fraud losses in 2013, the payments processor announced today. This represents a nearly 70 percent year-over-year increase from the $12 million TMG saved its clients in 2012.
Of the $20.3 million saved, an estimated $2.9 million was saved in December 2013 alone, due in large part to amped up fraud resulting from Target, Neiman Marcus, Michaels and other merchant data breaches.
“Credit unions and community banks trust TMG to help them stay ahead of the fraudsters,” said TMG’s Assistant Vice President of Operations Karen Postma. “We do this by putting to work the latest technologies that comprehensively monitor accounts, taking prompt, thorough action when fraud is detected and doing what is necessary to mitigate risk.”
According to Postma, it is important to note the calculations TMG used to arrive at the total savings were conservative, based only on the minimal amount saved. “It’s difficult to know precisely how much fraud may have occurred if TMG’s analysts had not caught the cases and stopped further losses,” said Postma.
TMG’s suite of fraud products and services includes several technologies used in concert with human analysis. Technologies include Fraud Text Alerts and Adaptive Control, a fraud detection solution that monitors cardholder behavior over time, assigning custom, real-time strategies on an individual cardholder level. Postma notes this type of strategy will become increasingly important as the country migrates to EMV and fraudsters shift away from counterfeiting in favor of account takeovers.
The Members Group (TMG) is dedicated to creating customized, technology-driven card processing and payment solutions for credit unions and community-based financial institutions across North America. Innovations in fraud management, loyalty programs, alternative payment systems and analytic reporting, and the competitive advantages they create, have helped TMG forge a new standard in offering cutting-edge credit, debit, ATM, prepaid card products and a P2P payment solution. For more information, visit www.themembersgroup.com.