Eltropy has formed authentication partnerships with Illuma, IDgo and Pindrop, expanding identity verification options for credit unions and community banks.
The move adds voice biometrics, device-based authentication and other layered checks to Eltropy's existing support for one-time passcodes and document verification. Institutions can use a single method or combine several, depending on the transaction, communication channel and risk profile.
Authentication is becoming a bigger issue for lenders and deposit-taking institutions as fraudsters use artificial intelligence tools to imitate voices and bypass older checks. Knowledge-based security questions and texted passcodes remain common across the sector, but banks and credit unions are under pressure to reduce customer friction while strengthening fraud controls.
Eltropy sells communications software to community financial institutions, including credit unions and community banks. It said the new partnerships embed verification options within its conversational workflows. The company serves more than 750 community financial institutions in the United States.
Under the arrangements, Illuma will provide passive voice security that combines voice biometrics, fraud risk scoring, adaptive multi-factor authentication, and collaborative intelligence during member conversations. Pindrop will add voice security, fraud detection, spoofing protection and authentication intelligence across voice interactions. IDgo will provide device-based authentication using native device verification methods.
The setup allows institutions to match authentication methods to their preferences and operational needs. It also reflects a broader shift in retail financial services toward layered verification rather than reliance on a single control.
Some credit unions are already backing that approach. Kent Lugrand, Chief Executive Officer of InTouch Credit Union, said the expansion addressed a broader industry need for stronger identity checks.
"Relying on a single layer of defense is no longer a viable strategy. Multi-authentication is a business imperative that protects our bottom line, secures our digital expansion, and ensures that a single compromised credential will neither jeopardize our members' financial assets and peace of mind nor the institutional stability we've built over decades," said Kent Lugrand, Chief Executive Officer of InTouch Credit Union.
"The expansion of Eltropy's authentication ecosystem will help everyone affiliated with InTouch Credit Union sleep well at night," Lugrand added.
Fraud pressure
Financial institutions have faced a sharp rise in synthetic identity fraud, account takeover attempts, and social engineering-based scams. The spread of inexpensive generative AI tools has added a new threat by making it easier to clone speech patterns or create convincing audio impersonations, particularly in call centre interactions.
Voice channels are drawing renewed attention. For banks and credit unions, they remain central to customer service and transaction support, but they also expose staff to impersonation attempts that can be difficult to detect through traditional questions alone.
Abhishek Tiwari, Chief Product Officer at Eltropy, said the goal was to embed modern authentication into routine customer interactions rather than treat it as a separate step.
"Financial interactions are ultimately about trust," said Abhishek Tiwari, Chief Product Officer of Eltropy. "Members increasingly expect interactions that are fast, intuitive and secure - without being forced through outdated verification experiences. By embedding flexible authentication options directly into the Eltropy platform, we're helping credit unions and community banks strengthen fraud prevention, reduce friction and build the trusted foundation needed for both human and generative and agentic AI-powered experiences."
Illuma described the partnership as a response to rapid changes in the fraud landscape. Its system is designed to verify users passively during a conversation while also screening for risks such as deepfake audio.
"Voice fraud has evolved far beyond traditional authentication challenges, forcing financial institutions to rethink how they secure every conversation," said Dr Milind Borkar, Founder and Chief Executive Officer of Illuma. "IllumaSHIELD delivers a modern voice security approach that combines passive voice authentication, deepfake detection, adaptive MFA, and real-time fraud intelligence into a single platform. With the simplicity of passive end user enrollment regardless of calling device, paired with the 'fastest to deploy' voice security solution in the industry, financial institutions routinely report deployment in days and record-breaking adoption metrics. Financial institutions reduce verification time by up to 95%, lower average handle time by over 80 seconds per call and strengthen protection against increasingly sophisticated AI-driven attacks-all while delivering a faster, more seamless customer experience."
IDgo's role centres on establishing trust through a member's device. That offers an alternative for institutions seeking less reliance on codes and challenge questions, especially in mobile-led interactions.
"Financial institutions are looking for stronger authentication that does not burden members or frontline teams," said Rocky Scales, Chief Executive Officer of IDgo. "Device-based authentication helps establish persistent trust while improving both security and member experience across communication channels."
Pindrop said authentication is becoming a core part of digital customer engagement as institutions add more automated and AI-assisted service tools.
"Trusted authentication is becoming foundational infrastructure for AI-powered customer engagement," said Bucky Wallace, Chief Revenue Officer of Pindrop. "Through our work with Eltropy, financial institutions can layer advanced voice authentication, fraud detection, and spoofing protection into member interactions to help build confidence, security and trust in real-time digital interactions."