Nacha's Vision for the Future of Risk Management

Nacha updated the Risk Management Framework in 2022 to reflect evolving threats posed to the Network. Previous frameworks were largely focused on debit origination and mitigating the impact on receivers and RDFIs for erroneous or unauthorized debits. Fraudsters have pivoted to new strategies focused on credit push fraud schemes including Business Email Compromise (BEC), benefits fraud, vendor and payroll impersonation frauds, and Account Take Over (ATO). Participants on ACH Network must also adjust our strategies to mitigate credit push scenarios. The 2022 Risk Management Framework focuses on three areas Nacha believes will have the greatest impact on reducing credit push fraud: enhanced guidelines and Rules to support RDFI Know Your Customer (KYC) due diligence and risk management responsibilities; information and data sharing between financial institutions; and end-user education. The presenters will discuss how the framework is guiding and affecting the Rule making process and directing risk management strategy and guidance on the ACH network. Audience members will learn how they can detect and disrupt credit push frauds and assist in recovery to victims.