Executive Letter: WBA Ramps up Anti-Fraud Efforts Amid Rising Threats
By Rose Oswald Poels
In my conversations with bankers across the state, one issue continues to dominate: fraud. The fraud landscape is evolving at an alarming pace as criminals tap into new technology to exploit customers. WBA remains committed to supporting members with tools and training to stay ahead of these growing threats.
In response to strong member interest, WBA held our first annual Fraud Summit earlier this month in Wisconsin Dells. Feedback from attendees was overwhelmingly positive, with many already expressing interest in future fraud-related events. The program featured practical, in-depth presentations, including:
• Diana Kern (SHAZAM) on debit card fraud defense strategies
• Patrick Smith (American Bankers Association) on today’s fraud trends and prevention tools
• FBI veteran John Iannarelli (“FBI John”) on real-world cyberattack risks
• Michael Ayotte (Wipfli LLP) on social engineering, staff training, and physical security gaps
A full recap will be shared in the next issue of Wisconsin Banker.
Federal regulators are stepping up. Recently the federal banking agencies announced they are collaborating to address fraud, particularly check fraud, and are seeking comment on strategies to combat it. The Federal Reserve Board, Federal Deposit Insurance Corporation (FDIC), and Office of the Comptroller of the Currency (OCC) are actively involved in this effort. The agencies are focusing on areas like interagency collaboration, consumer and industry education, regulatory adjustments, data sharing, and leveraging technology to reduce fraud.
The June 2025 FDIC Consumer News highlights the increasing threats of bank impersonation and fake bank scams, providing an overview and tips that would be helpful to share with bank customers. In 2024 alone, consumers reported $12.5 billion in fraud losses, with imposter scams — especially bank impersonation scams — among the top threats. Scammers send fake texts or emails that look like urgent bank alerts, then follow up with calls pretending to be from your bank’s fraud department. Their goal: to trick customers into sharing personal details like account numbers or passwords. Victims of these scams typically lose around $3,000 and face identity theft risks. Criminals also set up fake bank websites designed to trick people into sending money or sharing personal information. To appear legitimate, these sites may misuse the FDIC name or display the “Member FDIC” logo without authorization, creating a false sense of trust.
Elderly customers continue to be targeted, so I want to highlight a free training opportunity to help your staff respond. Safeguarding Seniors: A Guide for Financial Institutions is a self-paced, three-hour training developed by the Wisconsin Elder Justice Coalition and UW–Green Bay. It’s designed to help staff recognize and report suspected financial exploitation of older adults.
Despite the decline in check usage, check fraud is on the rise — particularly tied to mail theft. According to FinCEN, check fraud now accounts for about half of fraud-related SARs filed by depository institutions. That’s why we’re sharing the following fraud resources to help:
Directories
• ABA Fraud Contact Directory – Allows ABA members and non-members to submit and search contact information for submitting a fraud or check warranty breach claim.
• ICBA Solutions Directory – Lists service providers in payments, compliance, and security.
• ACH Contact Registry | Nacha – Find ACH/check contacts at other financial institutions.
Education & Training
• Webinar: Check Frauds and Scams
• WBA Resource: Negotiable Instruments Manual (UCC rules on liability for Wisconsin banks)
• ABA Online Training: 30-minute Fraud Prevention course, available through WBA for $55/registrant. Group discounts available.
WBA Best Practices Library
Access sample affidavits and tools shared by the WBA Financial Crimes Committee in the Best Practices Library on the WBA website. To request the password, contact WBA Legal at wbalegal@wisbank.com.
Please reach out if you have questions or need help accessing any of these materials. Together, we can help protect customers, staff, and financial institutions across Wisconsin.
