A standout feature of the Real-Time Rail is its emphasis on fraud mitigation. Unlike other jurisdictions that have launched real-time payment systems without centralized fraud capabilities, Canada's Real-Time Rail will be among the first to include centralized fraud services from day one.
Addressing fraud risks is a central focus for the payment ecosystem. It requires a multifaceted approach that leverages technology, system innovations, evolving regulations and education through continued industry collaboration.
Centralized fraud services are essential to delivering a safe and secure real-time payment system and our proactive approach is designed to significantly minimize the risk of fraud to ensure a safer ecosystem for all participants.
The Real-Time Rail: Fraud Management
An outline of the proposed fraud policies and centralized fraud capabilities on the Real-Time Rail.
Fraud and the Real-Time Rail
Building on this secure foundation, Canada’s RTR will be one of the first real-time payment systems globally to launch with centralized fraud services from day one. The following new national RTR fraud controls will complement participants' internal fraud controls:
- A confirmation of payee capability will allow users to verify the account identity of the recipient they are sending money to before hitting “send”.
- A fraud transaction “safety” score will assign a real-time risk score to every transaction to help detect, prevent and mitigate fraudulent activity before a payment is authorized.
- A risk list or repository of fraud risks and indicators will allow participants to proactively identify and flag accounts previously involved in confirmed fraudulent activity.
- A fraud reporting and intelligence platform will facilitate data-driven oversight by consolidating intelligence on fraud trends and performance metrics across the entire RTR ecosystem.