Did you know Manual Checks are the #1 Payment Type Vulnerable to Fraud
- Manual checks are costly, vulnerable to manipulation, forgery and theft.
- Bank of America – $20 to generate, authorize, deliver and track just one paper check including fraud losses
- NACHA survey – $2.00 – $4.00 per paper check
- Aberdeen Group Study – $7.78 per paper check
- US Congress – USPS mailboxes targeted by thieves using master ‘arrow keys’
Payment Methods Subject to Fraud by Type (2022)
Source: AFP, 2023
(percent of organizations)
Checks
63%
Corporate/Commercial Credit Cards
36%
Wire Transfers
31%
ACH Debits
31%
ACH Credits
30%
Benefits of Digital Checks
Better Security
Bank-grade facilities – SOC-2 and PCI Compliance
No physical check to steal or forge
No sensitive information required of payee
Better Control – Less Risk
Push pay method is safer than pull payments
Automated check approval processes
Time-stamped audit trail at every touch-point
Lower Cost Payment Solution
No stamps, envelopes, or tracking payments
No costly blank check supplies
“FairwayPay has created a great new way to send checks. It couldn’t be easier to use and it saved us time and money from day one”
– James Jordan, President
NHC Financial
Banks: People Should Stop Writing Checks
A big banking industry group suggested that consumers stop writing paper checks to stamp out the proliteration of check wash scams.
EPSON – Checks are Not Dead Yet: How Reimaging Check Capture and Processing Can Drive Cost Savings
The obituary for the check has been prematurely written. Almost half (46%) of consumers have written a check in the last 30 days. Not quite dead, indeed.
U.S. Treasury – Financial Crimes Enforcement Network: FinCEN Alert on Nationwide Surge in Mail Theft-Related Check Fraud Schemes Target the U.S. Mail
The Financial Crimes Enforcement Network (FinCEN) is issuing an alert to financial institutions on the nationwide surge in check fraud schemes targeting the U.S. Mail. Fraud, including check fraud, is the largest source of illicit proceeds in the United States and is one of the anti-money laundering/countering the financing of terrorism (AML/CFT) National Priorities.