Micro-deposit fraud is an attack strategy that is increasingly affecting financial services and fintech companies. Fraudsters take advantage of micro-deposits issued by online banks, fintechs, and payment companies in the process of account verification. Attackers will create fake accounts at scale to steal the mini deposits (under $1 and as low as $0.02).

While each transfer only costs a few cents, micro-deposit fraud adds up over time causing a plethora of downstream problems such as operational costs dealing with these attacks, increased ACH fees and KYC costs, as well as potential reputational damage. If a customer is a victim of a micro-deposit scam, financial services companies may appear untrustworthy and risk damaging customer relationships.

Arkose Labs for Micro-Deposit Fraud

Arkose Labs is protecting banks and fintechs by eliminating the persistent fake accounts that fuel this fraud, by detecting and challenging activity coming from bots and organized human fraud operations. Its flexible solution can also add protections within the web or mobile application, for example at the “add an account” point, in order to stop malicious activity within these accounts.

New Account Registration

New Account Registration

Arkose Labs is highly effective at preventing bad actors and bots from setting up fake new accounts at scale, which is the root of micro-deposit fraud.

Financial Account Management

Financial Account Management

Arkose Labs provides dynamic protection within websites and apps, through the process of adding and verifying financial account details.

Real-Time Decisioning

Real-Time Decisioning

Arkose Labs provides early protection against downstream micro-deposit losses.

Guaranteed Bot Defense

Guaranteed Bot Defense

Stop fraudsters from scaling up attacks using innovative anti-automation, backed by a commercial guarantee.

Human-Attack Challenges

Human-Attack Challenges

Specialized detection and challenges for organized human fraud rings that are helping fuel these attacks.

Arkose Labs Global Network

Arkose Labs Global Network

Fraud signals are anonymously shared across financial services companies in the network for robust fraud detection.

Other Use Cases

Account Takeover

Account Takeover

Eliminate ATO fraud by making it too costly for bad actors to launch attacks.

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New Account Fraud

New Account Fraud

Stop fraud and abuse through fake account registrations.

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Credential Stuffing

Credential Stuffing

Enhance your security and protect your customers from credential stuffing attacks.

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API Protection

API Protection

Get powerful protection for your web and mobile-facing APIs.

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Website Scraping

Website Scraping

Identify and stop automated scraping attempts with unprecedented certainty.

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Bots and Abuse

Bots and Abuse

Defend against mass-scale spam and phishing attempts on your websites and apps.

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SMS Toll Fraud (IRSF)

SMS Toll Fraud (IRSF)

Protect your business from massively inflated telecommunications bills.

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Inventory Hoarding

Inventory Hoarding

Keep bots out of your shopping carts for happier customers and higher revenues.

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Card Testing

Card Testing

Stops card testing attacks in their tracks, protecting business revenue and ensuring consumer trust.

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Payment Fraud

Payment Fraud

Defend against payment fraud and protect payment systems against bot attacks.

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Our Resource Center

Micro-Deposit Fraud: How Arkose Labs Stands Behind Financial Services

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Arkose Labs Stops Human-Driven Fraud

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The User-Friendly Art of Fighting Fintech Fraud

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Stop Bots, Not Customers with Arkose Labs