In this episode, host Timothy Li (CEO, LendAPI) talks with John Gordon, CEO of ValidiFI, about how lenders and fintechs validate bank accounts, stop ACH fraud, and make better credit decisions using bank behavior data most lenders never see.
John breaks down NACHA's Web Debit Rule (why every ACH payment now requires account validation and ongoing fraud checks), the real-world fraud patterns ValidiFI's data uncovers, and why "managed friction" — not maximum friction — is the smarter way to protect both lenders and good customers.
What You'll Learn:
What NACHA's Web Debit Rule actually requires, and how its 2026 update expanded fraud-check obligations
Real fraud signals ValidiFI tracks: landlines/VOIP as the riskiest phone types, 4+ accounts linked to one consumer raising risk 70%, and one account tied to 200+ Social Security numbers
Why "managed friction" beats blanket friction — fast-tracking clean accounts and reserving step-up authentication (bank login, micro deposits) for risky ones
How FedNow/RTP-enabled micro deposits now validate an account same-day using an alphanumeric code instead of a 3-day penny-drop
Why open banking (logging into your bank account) and account/routing validation should coexist, not compete
How ValidiFI processes 1.75 billion account inquiries, plus data partnerships with Early Warning Services and JPMorgan Payments
Why traditional credit scores miss Buy Now Pay Later, medical debt, and gaming spend — and how bank behavior data fills the gap
How free retroactive testing lets lenders see what ValidiFI's fraud and risk scoring would have caught, before signing anything
About ValidiFI
ValidiFI helps lenders, fintechs, and financial institutions validate bank accounts, detect fraud, and assess credit risk using bank and payment intelligence — including a 1.75-billion-inquiry data network and data-sharing partnerships with Early Warning Services and JPMorgan Payments. Led by CEO John Gordon, ValidiFI serves clients across credit and risk, fraud prevention, and account validation, including non-prime lenders, auto finance, insurance, and loyalty/payments programs. ValidiFi is a partner on the LendAPI Marketplace. Learn more: https://www.validifi.com
Explore the LendAPI Marketplace: https://www.lendapi.com/marketplace
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