Why CoP alone isn’t enough: The case for multi-layered fraud protection

Lessons from the UK’s CoP experience

For a glimpse of CoP’s potential, look to the UK. Introduced in 2020, CoP processes over 1.9 million checks daily and is a solid barrier against authorised push payment (APP) fraud. That said, it’s no silver bullet there either. Fraudsters have already begun registering accounts with names close enough to the real deal to slip through CoP checks.

So, what’s the takeaway? CoP is effective but far from foolproof. It’s a key component in a multi-layered strategy designed to protect transactions throughout their lifecycle, not a standalone solution. Fraud is a moving target, and even the UK’s early adoption of CoP proves that.

How the US tackles fraud differently

The US has taken a different path—mainly because its decentralised banking system makes widespread CoP adoption tricky. Regulatory hurdles and fragmented financial institutions have put the brakes on CoP adoption. Instead, American banks lean more on multi-factor authentication (MFA), real-time transaction monitoring, and AI-powered fraud detection.

And yet, Business Email Compromise is still a massive problem in the States, contributing to that same $2.94 billion in global losses. Clearly, even with advanced tech, the US approach isn’t foolproof either. For Australia, this is a reminder: no one system, whether it’s CoP or cutting-edge AI, can handle financial fraud solo. What’s needed is a layered, adaptable approach—one that works across different stages of the payment process.

The role of CFOs in building a multi-layered defence

Enter the CFO. As fraud becomes more sophisticated, CFOs are at the forefront of designing a strategic, tech-driven defence. CoP is important, but it’s only one part of a much bigger picture. Finance leaders need to ensure their organisations adopt a multi-layered approach, collaborating with IT and cybersecurity teams to craft a robust fraud prevention strategy.

This could mean using CoP alongside more advanced fraud detection technologies and ensuring the payment process—from vendor onboarding to final payment—has built-in safeguards. Platforms like Eftsure take this even further, extending fraud protection to the vendor onboarding process and account verification, offering an extra layer of security that CoP alone can’t provide.

How Eftsure strengthens CoP

While CoP steps in at the final stage of payment verification, Eftsure adds a protective layer much earlier in the process. By verifying vendor details during onboarding and when account information changes, Eftsure helps stop fraud before it even reaches the payment stage. Its cross-referencing system, which taps into an extensive database, offers a more precise verification than CoP’s “likelihood” based approach.

With major bank integrations—Westpac, NAB, CBA, HSBC—Eftsure streamlines the verification process across platforms, reducing manual checks for finance teams and strengthening overall security. By pairing CoP with Eftsure’s proactive fraud detection, organisations can secure every step of the payment process, from onboarding to final confirmation.