Burlington, Mass. — December 7, 2009 — Memento, Inc., a leader in enterprise fraud management, today introduced Memento Security – Check Fraud, the banking industry’s most accurate and cost-effective check fraud prevention solution. The next generation solution enables banks to save significant financial and human resources by combining increased fraud detection efficiency with fast, accurate decision-making abilities. Memento Security – Check Fraud has been proven in real-world environments to significantly decrease analyst and investigator workload and increase fraud team efficiency by producing significantly fewer fraud alerts with no reduction in fraud detection rates. The solution also gives banks the ability to uncover the full scope of the check fraud problem, which can include interconnected accounts, cross-channel activity and collusive crime rings.

Check Fraud – A Real and Growing Problem
Check fraud is a long-standing problem responsible for billions of dollars in losses and countless hours in lost productivity. Historically, the industry’s approach to check fraud has relied on overly simplistic filters and cumbersome, manual processes prone to human error. Legacy approaches to combating check fraud yield a high number of alerts, the vast majority of them false positives. Banks and credit unions committed to combating check fraud have little choice but to review the alerts in a short time window, a time-consuming and manpower-intensive process. Despite the reduction in the use of checks as a primary payment method, check fraud is an increasingly costly problem. In fact, the latest American Bankers Association (ABA) study reported over twelve billion dollars a year in check fraud attempts at U.S. banks alone – a 122 percent increase from the previous study, conducted only three years earlier. For many banks and credit unions, check fraud continues to be an enormous problem, and one that is costly to detect and defend against.

“Check fraud attempts are growing every year,” said Richard De Lotto, Principal Research Analyst, Gartner, “and they further tax a system that is already an incredibly time-intensive and manual process. When ‘state of the art’ systems still leave investigators having to follow up on thousands and thousands of false positives, there is clearly a need for a new kind of system.”

A New Solution for an Age Old Problem
Memento Security – Check Fraud is designed from the ground up to meet the challenges of detecting and stopping all types of check fraud, including On-Us Fraud, Check Kiting and Deposit Fraud. It directly addresses the most critical check fraud prevention goals by providing enhanced:

• Accuracy: Next-generation analytics find fraud accurately while dramatically reducing the workload of check fraud analysts. All presented checks are risk scored based on full account context, and loss prevention teams are easily able to set normalized risk score thresholds (based on risk tolerance and size of fraud teams) above which check fraud alerts are queued for disposition.

• Cross-channel view of fraud: Instead of only looking at check transactions, Memento Security – Check Fraud spots fraud that current solutions miss, such as cross-channel and collusive schemes. It scans all channels and related data for the warning signs of fraud and alerts analysts so they can take action. Analysts can then quickly view related alerts for a more accurate assessment of risk and more complete resolution of an alerted item.

• Efficiency: All relevant information is brought together seamlessly in one easy-to-use, highly visual interface. It provides a simpler, better method of integrating diverse data and empowering better, faster, more informed decisions. Contextual information helps build a holistic understanding of a potential fraud situation. Also, the solution supports any forensic research the analyst may want to do—in a single integrated application.

• Business user control: An empowering user interface enables loss prevention professionals to easily adjust detection parameters or create fraud scenarios based on new and emerging patterns.

“Check fraud is a longstanding problem, costing all types of businesses – not just banks – an estimated $15 billion dollars per year (according to the Association of Finance Professionals). Yet, surprisingly, the problem remains unsolved,” BC Krishna, CEO of Memento said. “With Memento Security – Check Fraud, banks will be able to dramatically reduce the volume of check fraud alerts to review – saving significant time and resources – while improving their ability to identify and thwart real incidents of fraud.”

For more information about Memento Security – Check Fraud, view a brief product demo at http://www.mementosecurity.com/checkfraud-demo, and read a related white paper at http://www.mementosecurity.com/checkfraud-whitepaper.

About Memento
Memento, Inc. (www.mementosecurity.com) is a recognized leader in enterprise fraud management. Memento Security – the company’s award-winning solution – is an innovative platform for monitoring, detecting, and investigating fraud and inappropriate activities by a wide range of fraudsters, from trusted insiders to criminal outsiders. Used by the world’s largest and most influential financial institutions, Memento solutions are business-focused, easy to use, and quick to implement. By detecting inappropriate activities early and precisely, Memento gives enterprises the information they need to prevent loss, protect revenue and mitigate risk.