43% of Credit Unions Cite Fraud Mitigation as Top Investment Area in 2025
- Fraud incidents continue to surge
- Collaborations play a key role in enhancing fraud prevention capabilities
- Partnerships are vital because there is no single tech that can detect the majority of check fraud
As fraud incidents continue to surge, credit unions (CUs) are racing to implement cutting-edge technologies and forge strategic partnerships to safeguard their finances and maintain member trust. According to a new PYMNTS Credit Union Tracker Series Report, CUs are prioritizing innovative anti-fraud solutions, with 43% citing fraud mitigation as a top investment area.
With credit unions typically having lower internal IT and R&D resources at their disposal, the report emphasizes that CUs must evolve their approach to fraud prevention by embracing technological innovations and strengthening relationships with external partners. These partnerships come with high expectations, as 42% of CU executives listed reducing fraud losses as a top objective when partnering with FinTechs -- underscoring the critical role these collaborations play in enhancing digital security and leveraging advanced fraud prevention capabilities.
Fraud Prevention Strategy Recommendations
The Credit Union Tracker® Series Report advises the following when strategically partnering with fintechs:
Direct and Indirect Partnerships
For smaller regional banks and credit unions, partnering with fintechs may seem like a daunting task -- particularly when it comes to allocating internal resources. Remember, there is no single technology that can detect the majority of check fraud. However, there are many ways in which fintechs like OrboGraph can provide their solutions to small regional banks and credit unions through their core systems, current fraud review platforms, and case management systems. These systems are leveraging multiple complementary technologies like OrboGraph's Anywhere Fraud with OrbNet Forensic AI with their platforms.
More importantly, through the uses of APIs, these platforms can ingest the results from other fintech solutions if they are not currently part of their offerings. This provides a more plug-and-play strategy that enables FIs to get the results they are looking for.
Moving forward, FIs need to assess their current technologies and find the gaps in their strategy. Filling those gaps with the right technologies -- while utilize trusted vendors -- will be key for success.