1. 1
Best Practices in Reducing
Check Losses
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2. Change in Check and Debit Card Usage
*number of payments (billions)
2
Source: 2010 Federal Reserve Payments Study © Bluepoint Solutions

3. Annual Check Fraud Losses
*estimated industry losses (millions)
3
Source: ABA Deposit Account Fraud Report © Bluepoint Solutions

4. Industry Estimates for Check and Debit Fraud Losses
*actual losses (millions)
4
Source: ABA 2011 Deposit Account Fraud Report © Bluepoint Solutions

5. Change in Check and Debit Card Usage
*number of payments (billions)
5
Source: 2010 Federal Reserve Payments Study © Bluepoint Solutions

6. Check Fraud Losses by Type of Fraud
*based on actual $ amount of losses
6
Source: ABA 2011 Deposit Account Fraud Report © Bluepoint Solutions

7. Check Fraud Losses by Type of Fraud
*based on actual $ amount of losses
7
60% of
losses could
be reduced by
real-time
screening.
Source: ABA 2011 Deposit Account Fraud Report © Bluepoint Solutions

8. RDI Timelines for BOFD
*Day 1 is the first day after deposit is made
8
Source: ABA 2009 Deposit Account Fraud Report © Bluepoint Solutions

9. RDI Timelines for BOFD
*Day 1 is the first day after deposit is made
9
43% of deposited
checks at Mid-Sized
FIs are protected by a
statutory Reg CC hold.
41% of checks at
Community FIs are
protected.
Source: ABA 2009 Deposit Account Fraud Report © Bluepoint Solutions

10. RDI Timelines for BOFD
*Day 1 is the first day after deposit is made
10
57% of deposited
checks at Mid-Sized
FIs would be protected
by an extended hold.
59% of checks would
be covered at
Community FIs.
Source: ABA 2009 Deposit Account Fraud Report © Bluepoint Solutions

11. Reg CC Hold Summary
11
Statutory Hold Extended Reg CC Hold
Large Deposits, New Accounts, Exceptions
Day 1 Teller applies Statutory hold (NSF & Return History, New Account, IRDs, Doubt of Day 1
Collectability)
Day 2 Day 2
$200 next-day availability
Day 3 Day 3
Day 4 BOFD protected by extended hold Day 4
Day 5 Day 5
Balance of funds available.
Day 6 Day 6
BOFD at risk
Day 7 Exception, Large Deposit holds released Day 7
Day 8 Day 8
Day 9 New Account hold released Day 9
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12. Best Practices in Check Loss Reduction
‣ Screen for fraud in real-time
‣ Apply holds consistently
‣ Integrate duplicate detection into check
processing
‣ Approach fraud cooperatively
‣ Integrate fraud screening with your existing
solutions
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13. 13
Learn more:
http://www.bluepointsolutions.com/white-papers/check-losses/
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