ACI Worldwide, a payment processing company, and ACI Payments, one of its subsidiaries, are under investigation for their part in a $2.3 billion mortgage fraud. According to a Department of Justice report, the companies are suspected of aiding a $2.3 billion unauthorized transfer of payments from nearly 500,000 homeowners serviced by Mr. Cooper, one of the top mortgage servicers in the country.
The details of the investigation are still unclear and the companies are yet to respond to the accusations. Nevertheless, the Department of Justice has launched an investigation to find out who is responsible for the massive fraud. This incident is indicative of the issues that the mortgage industry still faces. It is essential that financial institutions improve their security protocols and ensure that all payment processing is done in accordance with state and federal laws. In addition, it is important that firms invest in the necessary software and infrastructure to prevent similar frauds in the future.
You can read this full article at: https://www.housingwire.com/articles/aci-worldwide-to-pay-25m-for-illegally-processing-mortgage-payments/(subscription required)
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