Florida Banking July 2024

on stealing business checks from postal mailboxes because business checks likely come from well-funded accounts, and it would likely take longer for business owners to recognize the fraud. And even when a trust company quickly spots the fraudulent behavior, it could be months or years before the extent of the fraudulent behavior has been recognized and fully remedied by law enforcement authorities. Perhaps even more important is the fact that the trust company’s reputation in the community could be permanently damaged and may never be fully repaired after this kind of a financial breach. Fortunately, there are also many vendors and agencies who are looking to thwart these criminal schemes in various ways. Today, many banks subscribe to payment systems that are specifically designed with technological advances to help detect check fraud. The Postal Service has also increased efforts to secure mailboxes and has tested more advanced ways to prevent check stealing. FinCEN advises that in addition

to filing a SARS in such cases, financial institutions should also report fraud to the United States Postal Inspection Service at uspis.gov/report. This issue has even drawn legislative attention in Florida’s Capitol in previous years. FBA’s Government Relations team is currently looking to work with member banks and trust companies to find additional policy solutions to help curb this dangerous trend. With the legislative session still several months away, now is the time to consider working with regulatory agencies to find more solutions to check fraud. As we go about developing legislative policy measures, we will need YOU, the experts, to help guide us in drafting legislation. Always feel free to reach out to me with ideas and more information on this topic at kpratt@ floridabankers.com. We look forward to hearing from you and learning more about the challenges presented to trust companies and financial institutions, so we can lessen the number of these nightmare scenarios… and all sleep just a little bit better. ̮̭

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SEPTEMBER 19-20 RITZ CARLTON, FORT LAUDERDALE

This event serves as the annual meeting for the FBA Wealth Management Division, and the timely curriculum will cover topics currently challenging the trust and wealth management industry.

Early Bird Deadline: August 19, 2024

To Register:

www.FloridaBankers.com FBA Director of Education Marilyn Matherne, mmatherne@floridabankers.com

WWW.FLORIDABANKERS.COM JULY 2024 — 13