Payfone Inc. which provides mobile phone security, has raised $10 million from Early Warning Services LLC, according to Bloomberg News. Early Warning provides fraud-detection tools for banks and financial-services companies.

The deal is part of a commercial agreement between the companies, Payfone CEO Rodger Desai told Bloomberg, and brings Payfone's total funding to about $40 million. The New York-based companies other investors include American Express Co., Opus Capital, RRE Ventures and Relay Ventures.

After the announcement, an analyst told the site that Payfone is worth $500 million.

Early Warning is owned by Bank of America Corp., BB&T Corp., Capital One Financial Corp., JPMorgan Chase & Co. and Wells Fargo & Co., Bloomberg said.

Payfone's system communicates with mobile carriers' networks, Bloomberg said, helping to detect suspicious behavior, such as opening accounts in multiple banks in a row, alerting banks.

Learn more about mobile banking and security.