Urban railway tracks are the primary modes of transportation in many cities worldwide. Track vehicles mostly use DC from overhead lines, and rails are used as return conductors. Because it is challenging to fully insulate the rail and ensure high rail-to-ground resistance, current leaks from the rail to the lower part of the track. This current is referred to as stray current. To determine the detrimental effects of stray current on the rail and fastening system components, we performed a laboratory simulation of the stray current on four real-scale samples of the entire rail with all fastening components. The difference among these four samples was the type of fastening system used. Tests were performed under dry condition and at different water levels. After testing, the samples were visually inspected. Under dry conditions, corrosion occurred on the elements in contact with the concrete, and under immersed conditions, the current leaked from all components of the fastening system directly into the water, causing harmful local deterioration. The characteristics of the fastening systems are defined to satisfy other parameters, but not to prevent stray currents and ensure high rail-to-ground resistance. The aim of this study was to demonstrate the effects of stray current on the rail and fastening system and to prove the importance of providing adequate drainage of the track and using a fastening system that is insulated and does not allow the current to leak from the rail.