Compliance Solutions

Veratad’s compliance solutions are designed to protect your company, organization or financial institution’s valuable reputation and assist you in avoiding costly government-imposed penalties while helping to prevent crimes such as terrorism, money laundering and ID theft.

Compliance Solutions Summary

In addition to our offerings of Age, Identity and KBA Verification Solutions that address the identity requirements of COPPA, Know Your Customer (KYC), USA PATRIOT Act, AML, OFAC and FFIEC Guidance for Internet Banking, Veratad offers a comprehensive suite of online compliance tools designed to address FTC and Bank Regulatory requirements regarding Red Flags Rule (Identity Theft Prevention Program) as well as online software for financial institutions that addresses IT GLB Compliance.

Here is a brief overview of compliance requirements for each and a summary of Veratad solutions:

What is the Children’s Online Privacy Protection Act (COPPA)?

Congress enacted the Children’s Online Privacy Protection Act (COPPA) in 1998. COPPA required the Federal Trade Commission to issue and enforce regulations concerning children’s online privacy. The primary goal of COPPA is to place parents in control over what information is collected from their young children online. The Rule was designed to protect children under age 13 while accounting for the dynamic nature of the Internet.

Veratad's COPPA FTC Safe Harbor Solution
Through our exclusive partnership with ESRB, Veratad’s ID Verification Solutions are offered to ESRB Privacy Certified program members as part of a comprehensive approach to ensuring compliance with COPPA. ESRB’s COPPA Safe Harbor- ESRB Privacy Certified is among the first privacy seal programs sanctioned by the Federal Trade Commission (FTC) as an authorized “Safe Harbor” under the Children’s Online Privacy Protection Act (COPPA), an endorsement that helps shield members from potential sanctions and fines.

Veratad’s IDresponse Platform delivers an entire suite of online verification tools to assure verification of parental consent and reduce fraud

    • Real-time ID verification methods for Verifiable Parental Consent
    • Simplified API with pre-established FTC Safe Harbor VPC verification rules

    • Expertise in maximizing VPC transaction processes
    • Automated solution options designed to reduce administrative costs
    • Software Developers Kit (SDK) for application developers

What is the Red Flags Rule?

The Red Flags Rule requires many businesses and organizations to implement a written Identity Theft Prevention Program designed to detect the warning signs — or “red flags” — of identity theft in their day-to-day operations. By identifying red flags in advance, businesses will be better equipped to spot suspicious patterns that may arise — and take steps to prevent a red flag from escalating into a costly episode of identity theft.

Veratad's Red Flags Rule Solutions
Veratad’s comprehensive FACTA RFR Solution includes an online tool that helps you create your Identity Theft Prevention Program Document and facilitates online Identity Theft Red Flags Rule Employee Training customized with your Red Flags. In addition, Veratad provides an easily deploy-able Identity Verification  Solution with knowledge based challenge questions (KBA) and optional OFAC Search.

  • Fully hosted Web-based with multi-user access and multi-level security
  • Easy 4 step process for ITPP document creation

  • Documents include Annual Report and Red Flags Checklist and are fully editable in MS Word and PDF.
  • Online Learning Management System (LMS) with optional MS PowerPoint for group training
  • Email notifications of FACTA Regulatory changes.
  • Real-time ID Verification and Knowledge Based Authentication

What is the USA PARTIOT Act?

The official title of the USA PATRIOT Act is “Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism” (USA PATRIOT) Act of 2001.


Section 326: Verification of Identification
– Prescribes regulations establishing minimum standards for financial institutions and their customers regarding the identity of a customer that shall apply with the opening of an account at the financial institution.

Veratad's USA PATRIOT Act Solution
Veratad’s IDMatch and IDMatch+PLUS, identity verification solutions help business and financial institutions comply with the KYC, CIP and OFAC requirements of the USA PATRIOT Act.

Know Your Customer (KYC) policies are important in preventing identity theft, fraud, money laundering and terrorist financing. Customer Identification Program (CIP) provisions require financial institutions to verify their customer’s name, address and personal identifiers such as date of birth and Social Security Number. The Office of Foreign Asset Control (OFAC) maintains a list of known terrorists and money launders. Those subject to compliance must check to assure that their customers do not appear on this list.

  • Enhance your compliance strategies for USA PATRIOT Act, CIP and OFAC
  • Instantly verify name, address and SSN

  • Optional OFAC-check can be used stand-alone or included with ID results
  • Knowledge Based Authentication Challenge Questions
  • Flexible Integration

  • Online, face-to-face or in a call center

FFIEC “Authentication in an Internet Banking Environment”  Guidance and Supplement.

In June of 2012, the Federal Financial Institutions Examination Council (FFIEC) released the supplement to its “Authentication in an Internet Banking Environment” guidance, which was first issued by the FFIEC in October 2005. Formal assessments for compliance with the new guidance began in January 2012.

The purpose of the supplement is to reinforce the risk-management framework described in the original guidance and update the FFIEC member agencies’ supervisory expectations regarding customer authentication, layered security, and other controls in the increasingly hostile online environment.

Veratad's FFIEC Solutions
Veratad offers a comprehensive approach to IT/GLB and FFIEC Compliance with “out of wallet” challenge questions, “out of band” multi-factor authentication and online compliance tools. 

  • Out of Wallet Challenge Questions – Presents both historical and biographical question sets in combination with synthetic or red herring questions.
  • Out-of-Band multi-factor authentication – This platform, powered by StrikeForce Technologies, is designed to authenticate individuals and employees, “and/or” authorize transactions in real-time.
  • Internet Banking Risk Assessment- Features an easy step-by-step process with a questionnaire to identify risk levels and help you assign layered controls to mitigate risk. Your risk assessment is customizable based on your financial institution’s unique situation.
  • Customer Education/Awareness Program- This online service provides your financial institution with the tools to deliver education and security awareness to your customers.

Here’s an online solution helps ease the burden of bank regulatory compliance requirements.

Veratad offers “tandem” software (powered by CoNetrix) as an online solution that helps ease the burden of regulatory compliance. The software was built specifically for financial institutions (banks, savings associations, credit unions, and trust companies) to help increase security, stay in compliance, and lower overhead costs. Here’s a summary of the online compliance modules:

  • Risk Assessment
  • Business Continuity Planning
  • Information Security Policies
  • Vendor Management
  • Internet Banking Security Program
  • Identity Theft Prevention Program

Are you ready to learn more?

We are looking forward to hearing from you and eager to share our expertise and solutions.

You can call us toll free at 888-510-7343, or just click and give us your contact information. A member of our experienced team will contact you at your convenience.