Despite our increasingly digital world, check fraud remains a persistent and growing threat to financial security. In fact, according to the American Bankers Association, check fraud attempts have been rising steadily over the past few years, impacting banks of all sizes and their customers. At United Roosevelt Savings Bank, keeping your money safe is our top priority, which is why we stay informed about the latest security developments and implement robust protection measures.

A recent episode of the ABA Banking Journal Podcast sheds light on this critical issue and introduces new tools banks are using to combat fraud. Let’s explore what you need to know about check fraud in 2025 and how URSB is working to protect your accounts.

The Rising Tide of Check Fraud

Check fraud might seem like an outdated crime in our digital age, but criminals continue to target this payment method precisely because many people assume it’s no longer a significant threat. This false sense of security can make us vulnerable.

Why Check Fraud Persists

Despite declining check usage overall, checks still move significant amounts of money through our financial system. Criminals target checks because they can be physically stolen, altered, or counterfeited, and the fraud may not be discovered until days later when the check clears.

The Evolving Threat Landscape

According to security experts Paul Benda and James Hitchcock featured in the ABA podcast, today’s check fraud has evolved. Criminals are now combining traditional check fraud techniques with sophisticated cyber attacks, creating a more dangerous hybrid threat. They might use information obtained through phishing schemes to create more convincing forgeries or target specific high-value accounts.

How Banks are Fighting Check Fraud

The banking industry isn’t standing still as these threats evolve. New technologies and collaborative approaches are strengthening our defenses.

Advanced Detection Technologies

Modern fraud detection systems now use artificial intelligence and machine learning to identify suspicious check transactions. These systems can spot anomalies that might indicate fraud, such as unusual check amounts, unfamiliar check stock, or signatures that don’t quite match your records. 

Intelligence Sharing Networks

One of the most powerful tools in fighting fraud is information sharing between financial institutions. The ABA podcast highlights how banks are now collaborating more effectively to track fraud attempts and share intelligence about criminal techniques. This collective approach helps all financial institutions stay ahead of emerging threats.

The Check Fraud Claim Directory

A noteworthy development mentioned in the podcast is the ABA’s new Check Fraud Claim Directory, a free resource that helps banks process fraud claims more efficiently.

Streamlining the Recovery Process

When check fraud does occur, the recovery process has traditionally been complicated by the need to file claims with various financial institutions, each with their own processes and requirements. The new directory centralizes contact information and formatting requirements for warranty breach claims, making it easier for banks to resolve issues quickly.

Benefits for Banking Customers

While this directory is designed for banks, the benefits flow directly to customers. More efficient claim processes mean potentially faster resolution when fraud occurs. This is just one example of how the banking industry is working behind the scenes to protect customers.

What You Can do to Protect Yourself

While banks are enhancing their security measures, customers also play a vital role in fraud prevention.

Best Practices for Check Security

• Store checkbooks in secure locations, not in your car or unattended purses
• Reconcile your accounts regularly to spot unauthorized transactions quickly
• Consider alternatives to mailing checks when possible
• Use secure mailboxes for any checks you must mail
• Shred old checks and financial documents before disposal

Embrace Digital Alternatives

For many transactions, digital payment methods offer enhanced security features compared to paper checks. URSB offers secure online bill pay, person-to-person payments, and mobile banking options that can reduce your exposure to check fraud while maintaining convenience.

How URSB Protects Your Money

At United Roosevelt Savings Bank, we use a multi-layered approach to security that combines technology, training, and personal service.

As your community bank, we offer a level of personalized fraud protection that’s difficult for larger institutions to match. Our team is readily available to address security concerns, and we can often resolve issues more quickly than banks with centralized fraud departments located far from our community.

Check fraud remains a significant challenge in banking, but the industry is responding with innovative solutions and collaborative approaches to protect customers. By staying informed about these threats and taking appropriate precautions, you can significantly reduce your risk of becoming a victim.

At URSB, we’re committed to maintaining the perfect balance of security and convenience. We implement the latest fraud prevention technologies while preserving the personal service that has defined our bank since 1914. If you have questions about check security or want to learn more about our secure banking alternatives, please visit one of our branches or contact us today.

Remember, when it comes to financial security, we’re all in this together. By combining our banking expertise with your vigilance, we can keep your money safe from fraudsters.