Fraud Override Reason Requirement

The Fraud Override Reason Requirement is an optional configuration designed to require staff to confirm they are overriding fraud check failures and state a reason when approving a membership or role.

When It Appears

The pop-up will display if an applicant’s fraud status is not “Cleared” or “Pass” for any of the following checks:

• ChexSystems

• Data Source Verification

• Documentary Verification

• Risk Check

• Selfie Check

• Watchlist Screening

This applies to:

• All applicants on an application (Primary Owner, any Joints, any Beneficiaries)

• All membership types

• Existing approved memberships when attempting to add new roles

Required Staff Action

When the pop-up appears:

1. Staff will see the failed check(s) listed.

2. A reason description must be entered before proceeding.

   • This field cannot be left blank.

   • The reason should provide context on why the override is justified.

3. Once submitted, the application or role will be approved, and the override will be recorded in the activity trail

Configuration Options

The Fraud Override Pop-Up can be configured to trigger in two ways:

1. All Fraud Check Failures – Displays the pop-up if any fraud check fails.

2. Watchlist Screening Only – Displays the pop-up only if the Watchlist Screening check fails.

Audit Trail & Reporting

Every override is automatically logged in the activity trail, showing:

• Staff name and timestamp

• Failed check(s)

• Override description

Overrides are also included in the Fraud Override Report, which contains:

• Employee Name

• Employee Email

• Fraud Check Failures

• Fraud Override Description

• Override Date

Why It Matters

This feature ensures that:

• Fraud checks are not bypassed without review

• Staff can handle legitimate cases where applicants fail checks in error

• All override actions are fully documented for compliance and oversight