Avoiding Check Fraud Liability: From Prevention to Loss Allocation

Check fraud losses are estimated to exceed $18 billion each year. A recent nationwide counterfeit check operation was projected to have caused over $9 million in losses. With more and more counterfeit checks flooding financial institutions, this number is sure to increase.

Unfortunately, many financial institutions fail to teach front-line staff the fundamentals of avoiding check fraud. Further, when a loss does occur, these institutions don’t understand how the law allocates the loss. If you’re confused about what your financial institution can do to prevent losses, as well as what your legal responsibility might be in various check fraud situations, this seminar is for you. This session will focus on the best practices that can be employed by banks rather than looking at any particular state’s laws.

What You’ll Learn

• Tips for spotting counterfeit, forged, and altered checks
• Procedures to reduce your bank’s exposure to check fraud losses
• Legal responsibility for counterfeit, forged, and altered checks under Uniform Commercial Code, Regulation CC, and other federal regulations
• How laws and regulations allocate losses resulting from remote/mobile deposit capture and similar technology
• Factors to determine whether check fraud victim has legal right to reimbursement

Who Should Attend
Tellers, Teller Supervisors, Customer Service Representatives, New Accounts Personnel, Branch Managers, Security Officers, Fraud Investigators, Fraud Examiners, and Bank Attorneys.

Presenter
Terri D. Thomas, JD is the Director of the Kansas Bankers Association Legal Department, which specializes in providing compliance and legal assistance to Kansas banks.

Thomas has worked with financial institutions for over thirty-nine years in various capacities. Most notably, she served for fourteen years as in-house legal counsel and trust officer for Bank of America and its Kansas predecessors. She has also served as a trust department manager and branch manager.

Receiving her Bachelor of Arts degree from Kansas State University in 1985, Thomas continued her education at Washburn University School of Law and obtained her Juris Doctor in 1988. She has served as an Adjunct Professor at Washburn University School of Law in Topeka, Kansas and the University of Kansas School of Law in Lawrence, Kansas, and is a frequent seminar presenter for financial associations in the Midwest.

Registration Options

• Live Access, 30 Days OnDemand Playback, Presenter Materials and Handouts – $279
• Available Upgrades:
  • 12 Months OnDemand Playback + $110
  • 12 Months OnDemand Playback + CD  + $140
  • Additional Live Access + $85 per person