Have you ever lost a $20 bill? It’s frustrating. You work hard for that money! Now, imagine losing $26 billion – roughly 1.3 billion of those bills – in one year. That’s the total financial loss attributed to identity theft in 2014 – 35 percent of which stemmed not from credit card fraud, but from existing bank accounts.
Is this something that should worry credit unions? Yes. Is there a way to mitigate these losses? Also, yes. Financial institutions should always remain vigilant when it comes to fraud prevention, but there are ways to efficiently manage the process – most notably, with a real-time deposit fraud protection service.
Real-time fraud protection services, such as Early Warning Deposit Chek, issue instant alerts – at the time of deposit – on checks that carry return risk. Alerts rate the level of risk and identify the reason for flagging an item, such as recent NSF history, stop-payments, closed accounts and lost or stolen checks.
How can real-time protection services benefit credit unions?continue reading »