6 Ways To Avoid Check Fraud
Since the invention of the check, people have been constantly inventing new ways to pass fraudulent checks. The National Check Fraud Center estimates that 1.4 million fraudulent checks are written each day, costing businesses over ten billion in losses annually. Fraudulent check writers have found a friend in new technology such as color copiers, high resolution scanners and magnetic or MICR toner. MICR stands for Magnetic Ink Character Recognition, and it refers to the magnetically encoded line at the bottom of each check. Traditionally, this line could only be printed with a highly specialized magnetic ink on an offset press. However, with the advent of MICR toner and desktop laser printers, anybody with the right software, an HP LaserJet printer and blank check stock can print a check.
As a business owner, you and your company are susceptible to check fraud; however, there are ways to guard against it. Here are 6 steps that you and your business can follow to successfully defend against check fraud. 1. Print Your Own Checks 2. Buy Secure Check Stock. 3. Positive Pay File Transmittal. 4. Check Storage / Access. 5. Electronic Payment. 6. Pay Attention. You may follow all of the above steps and still somehow get scammed. Paying attention to your bank and credit card statements will help you detect any discrepancies earlier. The earlier the problem is detected, the more likely that you will be able to catch the culprit and regain your hard earned cash.
Utilising and practising these keys will not only help you avoid check fraud. A case in point is the auther’s attempts at contact lenses on the Internet. He’s applied his advice to his trade and attract many customers who want to buy contact lenses, and to date hasn’t been bothered by any check fraud. His experience and success in the field of contact lens can be followed as you wish.
Tags: business checks, check fraud, checks, ink copier