The BondAmerica Corporation Explains the Risks of Not Having a Fidelity Bond for Financial Institutions Dealing With Employee Dishonesty and Fraud
Chester, VA (PRWEB) July 26, 2013 -- According to a Global Fraud Study conducted by the Association of Certified Fraud Examiners, financial institution employee fraud schemes typically last 18 months before detection. In addition, failure to identify the fraud results in an average loss of $140,000 for these institutions. These statistics were presented at the CUNA’s America’s Credit Union Conference in New York at the beginning of July. The BondAmerica Corporation wants financial organizations to understand that the longer the person responsible for the fraud works within the company, the higher the losses tend to be. Therefore, gathering the bonds necessary to avoid financial devastation is crucial to the stability and health of any company.
Although many credit unions may believe their employees are all trustworthy, the prevention of internal theft must still take place. Anybody can commit fraud, no matter the demographics, employee tenure, or past experience of the person. For this reason, the professionals at the BondAmerica Corporation are recommending using multiple levels of security, such as video cameras and alarm systems. In addition, since electronic crime is more relevant now, Internet protocol and limited access for employees should be implemented. Finally, policies should be updated, procedures reviewed, and regular staff training should be offered.
These steps can help reduce the threat of fraud and dishonesty from team members, but having a fidelity bond can provide even more security. What could happen if a business does not have a fidelity bond in place? Here are some examples provided by the BondAmercia Corporation:
• Accounting errors or omissions
• Destruction of important records
• Forgery
• Money order and counterfeit fraud
• Making false claims on resume or job application
• Vandalism to your property
• Helping another employee committing a dishonest act
• Making false statements about coworkers
• Computer fraud
• Falsification of time cards
All of these situations are very dangerous if overlooked by a financial institution. A fidelity bond protects employers against dishonest acts of employees. The professionals at the BondAmerica Corporation are not only here to provide quality bonds, but to educate the community as well. It is important for all businesses to have a fidelity bond to protect both themselves and their clients from facing financial devastation. Contact them today at 888-826-3803 for more information on the options they offer.
About The BondAmerica Corporation:
The BondAmerica Corporation is a full-service “Bonds Only” Company located just 15 minutes south of Richmond, Virginia. With the exception of fidelity and fiduciary liability, they do not write insurance of any kind. Their philosophy is that you contact an Insurance Specialist for your insurance needs, so why not contact a Bond Specialist for all of your bonding needs? The company is properly licensed in all 50 states, plus Washington, DC. They are an independently owned and operated agency that was established in June of 1999. Most importantly, all of their companies are Treasury Listed, Admitted, and carry some form of “A” Rating. They accept nothing less than the best for their clients. Their motto is: “We love to say ‘yes’ when all other bonding companies tell you ‘no!’”
Jennifer Nottage, Astonish, http://www.astonish.com/, 401-921-6220, [email protected]
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