The Financial Services Centers Cooperative Inc. (FSCC) shared branching network announced last week 30 of its client credit unions will receive awards for stopping more than $930,000 in fraud activity during first and second quarters of 2009.
Recipients of the Fraud Buster Awards are recognized for protecting their credit unions, their members and members of other credit unions from fraud. Credit unions stopped fraud at every touch point in the system, said FSCC.
"The award recipients demonstrated their commitment and diligence in preventing fraud for members nationwide. It is not just their members who would be impacted, but also members of other credit unions," said Sarah Canepa Bang, FSCC president/CEO.
Financial institutions and businesses lose more than $48 billion annually from fraudulent activities, according to the Federal Trade Commission.
"Fraud is one of the most expensive security challenges facing credit unions today. And as a (credit union service organization), it is our duty to provide tools that support prevention and training for credit unions," added Bang.
FSCC's Operation Advisory Committee of stockholder credit unions reviews activity and looks at ways to prevent and detect fraud through rule changes, products and services. The committee organized the awards program in 2000.
In eight years, credit unions have stopped more than $7.4 million in attempted fraud, said FSCC.