Suspicious persons database
View Patent ↗Most financial transactions involving check deposits and cashing at automatic teller machines are often associated with high risk. Although conventional security measures for many automatic teller machines record financial transactions, the recorded events are typically viewed after suspicious or criminal activity has already occurred. Therefore, a financial institution may not know in advance whether requested financial transactions are of suspicious or fraudulent intent. The present teachings relate to a method of scoring customers prior to authorization in a manner so as to identify suspicious behavior or suspicious activity. The method also relates to marking suspicious individuals by storing related transaction information, such as biometric data, in a database for purposes of verifying identification information and scoring the validity of future financial transactions.
1. A method of processing financial transactions, the method comprising:
acquiring transaction information associated with one or more financial transactions associated with an entity;
identifying one or more validation errors in the transaction information wherein the validation errors comprise at least one of the group consisting of amount mismatch, fraudulent endorsement, magnetic ink not detected, altered magnetic ink recognition number, altered payee, negotiable instrument identified as stolen, negotiable instrument identified as stop pay, negotiable instrument identified as already cashed, Mod 10 validation failure credit header validation failure, negotiable instrument type mismatch, postdated negotiable instrument, negotiable instrument date mismatch, and negotiable instrument does not exist in positive pay file;
calculating a suspicious activity score based at least in part on the validation errors such that the suspicious activity score is indicative of a level of suspicion associated with the one or more financial transactions performed by the entity; and
authorizing the current financial transaction based at least in part on whether the one or more validation errors are acceptable.
2. The method of claim 1 , further comprising storing the suspicious activity score in a database wherein the database associates the suspicious activity score with the entity.
3. The method of claim 1 , further comprising modifying the suspicious activity score based at least in part on the one or more validation errors in the transaction information associated with a current financial transaction.
4. The method of claim 1 , wherein processing financial transactions comprises cashing a paper drafted check.
5. The method of claim 1 , further comprising acquiring identification information about the entity.
6. The method of claim 5 , wherein the identification information about the entity comprises at least one of the group consisting of a name, social security number, a driver's license number, and biometric information.
7. An apparatus for processing financial transactions, the apparatus comprising:
a processing component that is configured to receive transaction information relating to one or more financial transactions associated with an entity, the processing component further configured to identify one or more validation errors in the transaction information, wherein the validation errors comprise at least one of the group consisting of amount mismatch, fraudulent endorsement, magnetic ink not detected, altered magnetic ink recognition number, altered payee, negotiable instrument identified as stolen, negotiable instrument identified as stop pay, negotiable instrument identified as already cashed, Mod 10 validation failure, credit header validation failure, negotiable instrument type mismatch, postdated negotiable instrument, negotiable instrument date mismatch, and negotiable instrument does not exist in positive pay file,
wherein the processing component is further configured to calculate a suspicious activity score based at least in part on the validation errors such that the suspicious activity score is indicative of a level of suspicion associated with the one or more financial transactions performed by the entity, and
wherein the processing component authorizes the financial transaction based at least in part on whether the one or more validation errors are acceptable.
8. The apparatus of claim 7 , further comprising a database wherein the database associates the suspicious activity score with the entity.
9. The apparatus of claim 7 , wherein the processing component is further configured to modify the suspicious activity score based at least in part on the one or more validation errors in the transaction information associated with a current financial transaction.
10. The apparatus of claim 7 , wherein the one or more financial transactions involve cashing a check.
11. The apparatus of claim 7 , wherein the transaction information comprises information on the check.
12. The apparatus of claim 7 , wherein the processing component acquires identification information about the entity.
13. The apparatus of claim 12 , wherein the identification information about the entity comprises acquiring at least one of the group consisting of a name social security number, a driver's license number, and biometric information.