Bank Verification Software

The Vendor is required to provide to implement a robust system that can accurately validate banking information and verify account ownership for vendors, particularly those receiving electronic payments, to enhance payment security, reduce fraud, and improve operational efficiency for our vendor setup team.
- This project was undertaken to modernize our vendor onboarding process, ensuring higher accuracy in bank detail validation and stronger verification of account ownership, thereby mitigating financial risks and streamlining operations.
- The current process for validating banking information relies on manual checks and existing systems, which are prone to errors and expose the organization to potential fraud risks.
- Overall Goals and Objectives:
•    Improve Payment Speed: Drastically reduce time to pay vendors who are waiting for a physical check.
•    Fraud Prevention: Implement advanced fraud detection mechanisms to identify and prevent fraudulent payment attempts.
•    Operational Efficiency: Automate the bank verification process to reduce manual effort and accelerate vendor onboarding.
•    Enhanced Security & Compliance: Ensure all bank verification processes comply with data security standards and relevant financial regulations.
•    Comprehensive Credit Union Coverage: Specifically achieve a high success rate in validating and verifying accounts at small to medium-sized credit unions located or doing business in state.
•    Decreased Postage and Costs Associated with Checks: As a result of easier, more efficient, and more secure onboarding, we expect to increase EFT/ACH adoption and lower the number of checks printed. This will have direct savings in postage, printing, and labor associated with checks.
- Bank Account Validation Accuracy:
•    Task: implement a solution capable of accurately validating bank account numbers and routing numbers (aba/swift/iban).
•    Deliverable: system demonstration proving a validation accuracy rate of >98% for all major us banks and >95% for small to medium-sized state credit unions.
- Account Ownership Verification:
•    Task: integrate functionality to verify account ownership by matching vendor legal names with account holder names.
•    Deliverable: automated ownership verification process that flags discrepancies and provides clear reasons for failure.
•    Task: ensure specific verification methods are effective for credit unions.
•    Deliverable: documentation detailing the specific methodologies and data sources utilized for credit union account ownership verification, with a focus on state institutions.
- Real-Time Verification Capability:
•    Task: provide real-time or near real-time verification of banking information.
•    Deliverable: fraud detection and prevention:
•    Task: incorporate robust fraud detection mechanisms.
•    Deliverable: a system with customizable rules and alerts for suspicious activity, including known fraud patterns (e.g., mismatched names, unusual account types, accounts associated with high-risk entities).
- Data Security and Privacy:
•    Task: ensure the solution adheres to industry standards for data security and privacy (e.g., encryption, access controls, compliance with GDPR/CCPA If applicable).
•    Deliverable: SOC 2 type 2 or equivalent certification report provided by the vendor.
•    Task: secure handling of PII and financial data.
•    Deliverable: documentation outlining data encryption protocols (in transit and at rest) and data retention/purging policies.
- Audit Trail and Reporting:
•    Task: provide a comprehensive audit trail of all verification activities.
•    Deliverable: accessible audit logs detailing timestamps, results, and user actions for every verification attempt.
•    Task: implement robust reporting capabilities.
•    Deliverable: customizable reports showing verification rates, failure reasons, fraud flags, and historical data for analysis.
•    Task: provide exportable confirmation of pass/fail status
•    Deliverable: files that can be attached to VCC/VCM transactions in Vantage, PDF, CSV, XLS.
- Scalability:
•    Task: ensure the solution can handle current and projected vendor onboarding volumes.
•    Deliverable: performance testing results demonstrating the system's ability to scale with increasing transaction loads.
- Vendor Support and Maintenance:
•    Task: provide clear documentation, technical support, and ongoing maintenance.
•    Deliverable: service level agreement (SLA) outlining support hours, response times, and commitment to regular updates and bug fixes.
- User Interface (UI) / User Experience (UX):
•    Task: provide an intuitive and user-friendly interface for the vendor setup team.
•    Deliverable: user training materials and successful completion of user training sessions demonstrating ease of use.

- Contract Period/Term: 3 years
- Questions/Inquires Deadline: October 22, 2025