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Paper checks have been a staple in business for decades. They’re familiar, trusted by many, and have served their purpose well over the years. However, the U.S. still relies on checks more than most countries, holding the highest per capita check usage in the world—with about 30 checks used per person annually. That’s a lot of paper!
But here’s the truth: while they may seem like a simple, old-school payment method, paper checks are a prime target for fraud. In 2025, where security is king, checks are becoming increasingly risky. Let’s get into why paper checks are a ticking time bomb for fraud—and how you can protect your business.
The problem with paper checks
Paper checks aren’t exactly known for their security. In fact, they’re the payment method most vulnerable to fraud, with 65% of organizations reporting they’ve faced check-related fraud. What’s even more surprising? Despite these risks, 70% of businesses using checks don’t plan to stop anytime soon. Yikes! From altered amounts to unauthorized signatures, checks have more vulnerabilities than a Swiss cheese.
To make matters worse, the COVID-19 pandemic introduced new waves of fraud, with opportunists targeting stimulus checks and small business loan programs. Once those opportunities began to dwindle, they went back to the basics—checks. Social media only made things worse, providing a platform for sharing tricks and tips to pull off these fraudulent activities.
Here’s a scenario for you: a fraudster snags a mailed check, tweaks the amount, and deposits it into their account. It happens way more often than you’d think, and recovering those funds? Let’s just say it’s not a quick fix. Thankfully, there are safer, more modern payment options out there to help you avoid this kind of hassle!
Security risks of paper checks
Beyond being susceptible to physical theft and alteration, paper checks introduce a variety of security risks that modern payment methods simply don’t face.
- Fraudulent endorsements: If someone gets access to a check, they could sign off on it themselves.
- Lost or stolen checks: Checks can easily fall into the wrong hands, leaving your business exposed.
- Manual errors: Humans make mistakes, and checks are prone to issues like miscalculations or data entry blunders.
Processing checks takes time, effort, and a lot of manual intervention. Imagine manually reviewing hundreds of checks every week. Exhausting, right? Not to mention, the longer a check takes to clear, the higher the chances for something to go wrong.
Why Forwardly offers a safer alternative
In a world where checks are becoming a security headache, modern payment solutions like Forwardly step in to save the day. Forwardly offers fast, secure payment processing that eliminates many of the risks associated with paper checks. Here’s how:
Automate payments with built-in security features
With Forwardly, you can automate your payment process while keeping security at the forefront. No more worrying about misplaced checks or manual errors—Forwardly ensures that everything is handled seamlessly and securely.
Reduce the risk of fraud with real-time monitoring
Fraud isn’t just a headache—it’s costly. Forwardly’s real-time monitoring catches suspicious activity instantly, so you can act quickly before any damage is done. Whether it’s a suspicious transaction or a failed payment, you’ll be alerted immediately.
Speed up payment processing
One of the biggest pain points with checks is the time it takes for funds to clear. With Forwardly, payments are processed instantly. No more waiting days (or weeks) for checks to clear. This means your business stays on track without unnecessary delays or disruptions.
With Forwardly’s secure, real-time payments, those worries become a thing of the past. Your funds are transferred instantly and securely, reducing the risk of fraud and eliminating any unnecessary stress.
Forwardly isn’t just about convenience—it’s about peace of mind and efficiency. Whether you’re managing a few payments or handling hundreds, Forwardly streamlines the process while keeping your business safe.
