I work for a totally electronic bank, no checks. However, we do occassionaly get a cash letter from the Fed with paper checks. These checks are always fraudulent items. We do return them appropriately. I was wondering, do we need to be filing a SAR when these items are $5000 or more? My manager thinks not, but I'm beginning to wonder. Thanks

If you can identify a suspect, the $5,000 threshold for filing applies, even if your bank experiences no loss, because there has been an attempt to defraud the bank or to use the bank's accounts fraudulently.

If you cannot identify a suspect but a pattern suggests a single scheme or scam that accumulates to $25,000, file for the same reason.

Thanks, John. Just what I needed to know.