Losses from check fraud continue to cause losses in the credit union industry. The most effective loss control against fraudulent deposit losses is the check hold. The changing check fraud environment has forced credit unions to reevaluate their check hold policies. Learn how to use Federal Reserve Regulation CC to protect your credit union from check fraud losses. This session will also address check return rights for items that are returned unpaid to the credit union.
This session will include a thorough discussion on the following:
- Funds availability schedules for next-day checks and local checks
- Exception (safeguard) holds
- Holds on ATM deposits
- Disclosure requirements
- Remotely created checks
- Check return rights including an overview of Uniform Commercial Code 3-302 (midnight deadline rule)
The session will also cover the Federal Reserve Board's proposed amendments to Reg CC, which were issued in March 2011. The proposed amendments overhaul the regulation to shorten exception holds; shorten holds on deposits to nonproprietary ATMs; promote acceptance of electronic presentment and electronic return of items; eliminate old references to "local" and "nonlocal" checks; and revise disclosures and notices.
Speaker: Ken Otsuka is a Risk Manager in the Credit Union Protection Risk Management Department for CUNA Mutual Group. In this role, Ken assists credit unions in identifying areas of risk in their operations and recommends best practices to reduce loss exposure. He also provides training for credit union employees. He is based in Chicago, Illinois. Ken joined Risk Management in 1990 after spending eight years as an auditor at another insurance company.
Over $75 million - $159 per telephone connection
$25-$75 million - $139 per telephone connection
Under $25 million - $79 per telephone connection
An audio archive is available at no additional charge and can be accessed for 60 days after the live session. Instructions on accessing the archive will be sent with your connecting instructions and confirmation.
Scholarships are available for all KCUA education events. Scholarships pay 100% of registration fee for credit unions under $25M, 50% for credit unions between $25-$75M and 25% for credit unions over $75M.
Upon registration, you will receive an email confirmation that you can print for your records. Connecting instructions will be emailed to you approximately two days before the event.
Sorry, no cancellations are allowed after connecting instructions and handout materials have been sent to registrants. Substitutions are welcomed and encouraged.