Monitoring Incoming Payment Details

Monitor non-originated payments for signs of fraud or money laundering

If you have non-originated payments (e.g. if your user sends an ACH credit or Wire payments), you can monitor them with Modern Treasury. This is important to ensure that all your payments are scored for risk, and can help reduce fraud and money laundering. We monitor Incoming Payment Details, which are pre-notifications for an incoming payment that you will be receiving.

1. Enable Feature

If this is feature is enabled, when Modern Treasury receives an Incoming Payment Detail (IPD) associated with a Virtual Account and Counterparty, it will be scored. You can set up rules to flag high velocity of money movement for a given user. IPDs not associated with a Virtual Account and Counterparty will not be scored. Reach out to Support if you would like to change your settings.

Depending on your banking partner, the Incoming Payment Details data field may contain additional information like the name or address of the owner of the bank account, or the bank account details (e.g. routing number and account number). This information can be helpful to check if the bank account is owned by the user. Currently, Modern Treasury is only parsing IPDs from Goldman Sachs and Wells Fargo for this data. If you are interested in verifying bank account ownership and work with other banking partners, please reach out to Support.

2. Monitor Decisions

If an IPD is scored, a Decision will be created with a decision_type of incoming_payment_details. Based on the score, it will be automatically approved, automatically denied, or have a Case opened for manual review.

Webhooks are used to provide status updates on Decisions. The following are relevant states:

decision.needs_approvalAn Incoming Payment Detail needs approval when a transaction monitoring Case has been opened.
decision.approvedAn Incoming Payment Detail has been approved, either automatically or manually.
decision.deniedAn Incoming Payment Detail has been denied, either automatically or manually.

Unlike monitoring Payment Orders, decisions related to IPDs do not affect money movement. If there is a risky payment, you may want to originate a return. We are exploring building this workflow into the Dashboard so streamline this process.