Fraud has become one of the fastest-growing threats facing financial institutions today. From synthetic identity fraud and phishing to card-not-present schemes, criminals are growing more sophisticated, and so must the systems designed to stop them. Yet as banks and credit unions adopt new tools to mitigate fraud risk, they face a delicate balancing act: how to introduce security without undermining the trusted, human relationships they’ve worked so hard to build.
At Agent IQ, we believe fraud prevention and relationship banking don’t need to be at odds. In fact, we’ve built our AI-powered digital engagement platform, Lynq®, to support both. By combining advanced verification tools with flexible engagement options, we help institutions tailor their security to each account holder interaction. This creates safer, smarter, and more personal experiences across every channel.
Here’s how our latest capabilities are making a difference.
Seamless ID verification powered by IDScan.net
We recently partnered with IDScan.net, a leader in ID scanning and ID fraud prevention software, to bring their digital identity verification (DIVE) technology directly into the Lynq platform. The result is a seamless and staff-friendly way to verify account holders during unauthenticated messaging sessions without needing to shift to another tool or channel.
When fraud risk is suspected or identity needs to be confirmed, institution staff can now request a secure ID verification directly within the Lynq interface. The account holder simply snaps a photo of their driver’s license or government-issued ID using their device. IDScan.net’s technology instantly verifies the document, checking for signs of tampering, forgery, or expired credentials, and queries the identity against third party sources to determine fraud risk. Staff receive a real-time verification response, empowering them to proceed confidently or escalate as needed.
This integration brings powerful fraud prevention capabilities directly into the conversational experience. It eliminates silos and streamlines staff workflows. It’s one more way we’re helping institutions adapt to fraud threats without disrupting account holder engagement.
“We’re thrilled to enhance Lynq’s toolkit by providing users the ability to rapidly request an ID check,” said IDScan.net CEO, Jimmy Roussel. “DIVE is a powerful tool to ensure and confirm identity during high risk transactions, but is as easy for the end-user as taking a selfie.”
Putting it into practice: First Arkansas Bank & Trust
First Arkansas Bank & Trust (FAB&T), a long-standing client of Agent IQ, was one of the first institutions to adopt this new ID verification capability. Like many banks, FAB&T has seen a sharp rise in fraudulent activity over the past year, particularly around credit card fraud, where bad actors attempt to impersonate account holders to request replacements or gain access to sensitive information.
By integrating IDScan.net’s technology within Lynq, FAB&T’s staff can now trigger a quick and seamless verification check during messaging interactions. This allows them to confirm the identity of the person on the other end before proceeding with high-risk service requests.
“As fraud threats continue to evolve, it’s critical that we adopt risk-based, multi-factor authentication methods that are both robust and responsive.” says Mark Wilson, President & COO of FAB&T. “But just as important is preserving the personal, customer-friendly experience our account holders expect. By integrating intelligent verification tools directly into our digital conversations, we’re able to protect our customers without compromising the trust and convenience they value.”
According to the bank, the ability to verify ID in real time within an unauthenticated chat experience has been a game changer. It enables their team to move quickly without sacrificing security, and it reduces reliance on cumbersome third-party tools or callbacks. In a world where speed matters, but so does trust, this balance is critical.
Visual verification via video chat at Stanford Federal Credit Union
Not all fraud risks are the same, and not all verification methods should be either. That’s why Lynq offers flexible options for institutions to meet different service needs. One example is the growing use of our video chat feature as a form of visual identity confirmation.
At Stanford Federal Credit Union, staff routinely use video calls to verify account holders in real time. When a member requests a sensitive action, like changing a contact number or resetting an account password, staff may ask them to join a quick video call and display their face alongside their photo ID. This process mimics the in-branch experience of confirming identity while maintaining the convenience and immediacy of digital service.
“For us, video verification through Agent IQ’s Lynq platform has become a powerful tool for high-trust engagements. It combines the immediacy of digital access with the visual confidence of face-to-face interaction. It helps staff detect inconsistencies or suspicious behavior that a static document alone might miss” says Deena Otto, SVP/COO, Stanford Federal Credit Union.
Proactive risk signals through IP monitoring
Fraudsters don’t always look suspicious on the surface, but the context of an interaction can tell a different story. That’s why Agent IQ also includes behind-the-scenes tools to help staff assess risk in real time, including visibility into the account holder’s IP address during active chat sessions.
If a staff member notices that a customer who typically logs in from Arkansas is suddenly chatting from an overseas IP address, it may be a red flag. With that signal in hand, staff can choose to verify the identity using one of the built-in methods, such as triggering IDScan or initiating a video call, or escalate the interaction to a supervisor for review.
This capability does more than enhance security. It empowers frontline teams with the context they need to act decisively and appropriately, without treating every interaction like a threat.
SMS alerts as a proactive fraud deterrent
FAB&T has also implemented another powerful layer of defense: SMS alerts for wire transfers. Whenever a wire is initiated on an account, the account holder receives a text message informing them of the action. If they did not authorize the wire, the message prompts them to contact their branch immediately.
This proactive measure provides a last line of defense against account takeover fraud. By alerting account holders directly on their mobile device, the bank can catch unauthorized activity early and involve the account holder in real-time resolution. It’s fast, simple, and gives account holders peace of mind.
Why OTP alone is not enough
Many institutions still rely heavily on one-time passcodes (OTP) as their primary fraud prevention method. While OTPs offer some level of security, they are increasingly vulnerable to interception, phishing, and SIM swap attacks. More importantly, OTPs are one-size-fits-all solutions that often add friction to the account holder experience without providing meaningful protection against more complex or targeted threats.
At Agent IQ, we believe fraud prevention should be contextual, adaptive, and layered. Our platform empowers institutions to choose the right method for each interaction. A simple balance inquiry may not require additional verification, while a wire transfer or contact change may trigger identity confirmation through document scan, video call, or SMS confirmation.
This flexible approach reduces unnecessary friction while delivering stronger fraud protection. It also ensures staff can respond appropriately based on the risk level, the request type, and the account holder’s communication preferences.
One platform, four layers of fraud defense
Each of these fraud prevention methods—ID verification via document scan, video-based visual confirmation, contextual IP monitoring, and SMS alerts—can be deployed independently or together, based on the institution’s risk profile and the nature of the request.
Together, they form a layered defense model:
- IDScan.net integration for real-time document authentication during chat
- Video verification for high-trust or complex service interactions
- IP monitoring for behind-the-scenes risk detection and escalation
- SMS alerts for real-time fraud notification and account holder confirmation
Because these tools are embedded within Lynq, institutions can use them without disrupting the digital experience. Conversations remain seamless, context is preserved, and the fraud defenses are responsive rather than rigid.
This supports what we believe to be a guiding principle: the right verification for the right journey.
Reinforcing relationships while reducing risk
Fraud prevention is often seen as a tradeoff with customer experience. At Agent IQ, we reject that notion. With the right tools and thoughtful design, security can enhance the relationship, not hinder it.
By embedding fraud prevention capabilities directly into digital conversations, we help financial institutions protect account holders without creating friction. We don’t just stop fraud. We support the people who stop it. And we do it in a way that feels aligned with how account holders want to interact: simple, secure, and human.
As threats continue to evolve, our commitment remains clear: empower our clients with smarter tools, safer conversations, and stronger relationships.
Interested in learning how Agent IQ can help your institution combat fraud while improving the account holder experience?
