[olliej]

So instead we force every business to handle security and insurance related to accepting cash, and we force homeless people to hoard cash and present an enticing target for robbery. Certainly that sounds like a much better solution.

Adding a few rows to a database is not expensive. Hell, even saying you can't charge fees to people with less than $X means not making a profit, not taking a giant loss.

The biggest way to stop "fraud" losses as a bank is to stop automatically allowing overdrafts - this is something that banks only do because their "convenience service" of allowing OD automatically is purely a profit making tool and has nothing to do with convenience is that overwhelming majority of cases. Because those tiny overdraft balances incur massive fees and interest that further cost the victims.