OrboNation Newsletter: Check Processing and Fraud – November 2025
Phyllis Meyerson’s Lasting Legacy: The Blockbuster Story Behind Check 21
On October 15, 2025, the payments industry lost one of its icons. Phyllis Meyerson was a 50-year payments and check-processing veteran, accumulating numerous professional certifications and making a lasting impact on the payments industry through her leadership and service.
Phyllis was more than her professional achievements. She was known for her intelligence, her spirited nature, and her generosity. She inspired those around her, remained true to herself, and made a lasting impact on everyone she met.
Before her passing, OrboGraph had the great honor of collaborating with Phyllis and co-author David Walker on their eBook, Check 21 – A Blockbuster Story. This eBook isn’t just a technical or historical recount: it's a deeply personal narrative about the remarkable transformation of payments in the United States — told with humor, humility, and insight.
Payee Problems: The Overlooked Weak Point Fraudsters Love to Exploit
While check fraud tactics have drastically evolved over the past decade, it's easy to overlook the fact that the crime is often simply committed by focusing on one particular area: The Payee Field.
While many criminal organizations have the latest technologies to cook hundreds of checks in a few hours, a large portion of check fraud is still performed by small-time fraudsters who don't possess those tools.
90% of Check Fraud Caught Across the Banking Industry…Is the Estimate Too High?
Check fraud continues to make headlines, but the true impact—and the relative effectiveness of prevention measures—are often misunderstood. A recent LinkedIn article, “Check Fraud: How Big a Bite Is It Taking From Your Bottom Line?” authored by Digital Check Corp., breaks down the numbers and offers practical strategies that every business should be aware of.
Stolen Check Prices Drop on the Dark Web — What It Means for Financial Institutions
Just a few years ago, stolen checks were considered premium commodities in the criminal underworld. As noted in previous posts, stolen checks routinely end up on the "dark web" or Telegram, creating a flourishing fraud market. Back in 2023, criminals could purchase a single personal check for $150 and business checks could fetch $250.
2026 Fraud Trends: Addressing Organized Crime Groups with a FRAML Approach
The landscape of fraud detection in banking is rapidly shifting as financial institutions wrestle with increasingly sophisticated, multi-channel threats. Markus Hartmann, market intelligence expert at DataWalk, provides a forward-looking analysis of the trends and challenges banks will face as we approach 2026 via his article, “Fraud Detection in Banking: 2026 Future Trends & Predictions."
Hartmann notes that financial institutions are no longer guarding against lone hackers. Instead, they’re targeting organized crime groups utilizing AI and exploiting vulnerabilities.
This is in line with one of our recent posts, where Dr. David Maimon explains the interconnected web of financial crime. While Hartmann focused mainly on digital channels, Dr. Maimon noted that any piece of information -- including a stolen check -- can be the starting point:
Canada’s New National Anti-Fraud Strategy: Raising the Bar in Fraud Prevention
While check fraud makes the headlines in the US, we are not the only country that is heavily affected. In a recent announcement, the Department of Finance Canada cast a spotlight on the alarming escalation in financial fraud across the country. Losses attributed to fraud reached a staggering $643 million in 2024, nearly tripling since 2020, according to the Canadian Anti-Fraud Centre. The true cost could be far higher, as only an estimated 5–10% of incidents are reported.
US Government Tempering Deadline for Paper Check Disbursements Elimination
The US Government's initiative to eliminate paper checks has met with more resistance than initially expected. While digital transactions are faster and safer, the question of accessibility remained a huge concern, particularly with some US Senators.
Faster Payments Fraud: Over Two Thirds of Victims Transfer Funds within 24 Hours
Banks and financial experts often advocate for moving consumers to faster payment systems—such as real-time transfers or instant payments—to combat check fraud. The reasoning is that current data show faster payments like FedNow seeing much lower rates of fraud -- so experts proclaim them more secure.
Are Interactive Teller Machines (ITMs) The Future of Banking?
The ongoing transformation of branch banking, fueled by the rise of Interactive Teller Machines (ITMs), is reshaping how financial institutions engage their customers in an increasingly digitized environment. A recent PaymentsJournal’s Podcast discusses how ITMs are driving operational efficiency, lowering costs, and enhancing the customer experience at banks and credit unions across the country.
ABA Relaunches #BanksNeverAskThat and #PracticeSafeChecks Campaigns
The American Bankers Association (ABA) has relaunched its award-winning consumer protection campaigns, #BanksNeverAskThat and #PracticeSafeChecks, in 2025 to bolster the fight against fraud. These initiatives, involving over 2,500 banks across the U.S., focus on educating consumers and small businesses about ways to recognize and avoid scams.
Data Accuracy Concerns for AI — NOT an Issue with Check Processing
Artificial intelligence (AI) is transforming the banking industry; however, trust and data accuracy remain significant barriers to widespread adoption. A recent survey by American Banker sheds light on how financial institutions are leveraging AI and the challenges they face.
