As more credit unions adopt RTP^® and FedNow^®, immediate payments are becoming faster, always on, and more integrated into everyday financial activity. Like any payment method, this growth calls for thoughtful risk management and fraud prevention—but the data continues to show that real-time payments are not inherently higher-risk than legacy rails and have lower rates of unauthorized fraud when supported by strong controls and education. 

Still, perception lags reality. When the U.S. government announced it planned to sunset paper checks in 2025, it noted that checks are 16 times more likely than electronic fund transfers to be reported lost, stolen, altered, or undeliverable. Simultaneously, both the RTP network and the FedNow Service continue to report low levels of fraud. However, Federal Reserve data show hesitation remains: 38% of businesses cite reluctance to share account information, while 32% cite fraud as their reason for delaying the adoption of immediate payments.  

This perception gap was the focus of our recent Immediate Payments Quarterly Conversation: Managing Risk in RTP and FedNow, which highlighted practical, proven ways credit unions can confidently support immediate payments. Led by Sharon Hallmark, Director of Payments Education at EPCOR, the discussion focused on understanding, managing, and communicating real-time payment risk—without overstating the threat. 

A Shift in Fraud Dynamics—Not an Increase in Risk 

One consistent theme from our conversation is that the industry isn’t seeing more fraud because of immediate payments—it’s seeing a shift in how fraud occurs. Across all payment types, fraud has moved steadily from debit‑based activity to credit‑push schemes, a trend that accelerated industry‑wide beginning in 2022. This distinction matters. Both RTP and FedNow are credit‑push systems, meaning funds are sent only when a member authorizes the payment. In the relatively small number of fraud cases, the issue is not a technical failure or a system vulnerability. Instead, it is most often social engineering—situations in which a member is deceived into making a legitimate payment under false pretenses. 

Account takeover, business email compromise, vendor or payroll impersonation, and similar scams affect all credit‑push channels. The final, irrevocable nature of immediate payments calls for less reliance on fear‑driven limits and greater emphasis on education, smart controls, and rapid operational response—core strengths of credit unions. 

NACHA’s “Risk Management Framework for the Era of Credit-Push Fraud”—while ACH-focused—serves as a valuable reference point for immediate payments. NACHA’s three pillars for reducing fraud are highly applicable to immediate payment systems. Credit unions can minimize the risk by increasing awareness through ongoing staff and member training, strengthening controls with real‑time monitoring and authentication, and improving recovery efforts through processes that enable rapid response and coordinated action. 

Primary Risk Categories Every Credit Union Must Address 

Sharon outlined the five risk areas credit unions should focus on when engaging with RTP or the FedNow Service: operational readiness, settlement and liquidity management, fraud and cybersecurity protections, compliance and legal considerations, and reputational and strategic alignment. 

Actionable Risk-Mitigation Strategies for Credit Unions 

The webinar provided a comprehensive list of steps credit unions can take to reduce exposure across all categories. Here are the most impactful actions, distilled for practical use. 

Operational Risk Mitigation 

• Maintain and regularly test disaster recovery and business continuity plans for immediate payments, supported by real‑time monitoring and alerts.
• Coordinate closely with cores, vendors, Corporate One, and third parties to meet SLAs and ensure 24/7 availability.
• Provide ongoing staff training to keep pace with evolving real‑time payment operations.

Liquidity Risk Mitigation 

• Monitor balances and activity in real time with automated alerts, and maintain sufficient Fed or RTP liquidity buffers.
• Stress‑test liquidity—especially during peak periods—and coordinate with correspondents or liquidity agents for rapid funding.

Fraud Risk Mitigation 

• Use real‑time, AI‑or behavior‑based fraud monitoring with transaction limits, velocity controls, and alerts.
• Strengthen security through MFA, API encryption, and layered authentication.
• Educate members on payment finality and reinforce ongoing fraud‑awareness efforts.

Compliance and Legal Mitigation 

• Enable real‑time OFAC screening where available and establish clear policies for irrevocability and dispute handling.
• Stay aligned with guidance from the Federal Reserve, The Clearing House, NACHA, and other industry bodies.
  

Reputational and Strategic Mitigation 

• Take a phased rollout approach—such as Receive‑Only or limited use cases—and set clear expectations for availability, supported by both digital and human support channels.
• Align RTP and FedNow adoption with your broader digital strategy to deliver a consistent, reliable, and well‑supported member experience.

For credit unions, RTP and FedNow offer a powerful opportunity to deepen member relationships and deliver modern, always‑on payment experiences. Because these payments are instant and irrevocable, success depends on more than legacy controls—it requires a well‑governed approach. By combining modern fraud tools, clear member education, operational and liquidity readiness, and strong compliance practices, credit unions can confidently offer immediate payments while protecting both their members and their institution.