Secure Your Cheques: The Age-Old Business of Cheque Fraud

June 24, 2010 by · Leave a Comment 

When it comes to cheque fraud, one of the age-old problems is detecting the fakes from the legitimate cheques.

Cheque fraud has a long and colourful history in Canada, and it is one of the fastest growing segments of financial crime tied to organized crime. Commercial cheque fraud is estimated to cost North American banks $20 billion CAD each year. Two years ago, the RCMP broke a Montreal-based counterfeit cheque scheme worth $195 million.

Cheque scams often start with a lottery prize that comes in the form of a letter or email that comes from a bank or institution claiming to be associated with a legitimate business. In order to collect the lottery prize, the victim is asked to deposit a fake cheque and then wire the money back to cover an administration fee.

The scammer is hoping you will deposit the cheque and then withdraw the funds before the cheque is verified. The bad news is that you are liable for whatever you deposit into your account.

If you have withdrawn funds under the assumption that the cheque was good, you are on the hook up to six years later. Legally, you as the depositor are on the hook even if initially the bank cleared the cheque.

Although some financial institutions have cheque verification devices in their branches, in many cases, cheques have to travel between your branch, the bank, and its processing center before they are cleared. In the meantime, the bank which deposits the cheque credits you with funds until it bounces.

Cheque fraud takes three guides: counterfeit cheques that were never authorized or signed by the account holder, cheques with altered amounts, and cheques stolen from you.

Avoiding Cheque Fraud – Tips For Consumers and Businesses

  • To protect yourself from cheque theft and fraud, reduce the amount of paper in favour of electronic payments and pre-authorized payments.
  • Keep your cheques under lock and key.
  • Reduce the number of cheques you keep.
  • Only order one set at a time.
  • Don’t trash your cheques without shredding them first. Thieves pick through recycling and garbage bins.
  • Destroy unused cheques from accounts that are no longer active. Safeguard your cheques. And check your bank statements as soon as they appear. Use a cheque numbering system that is continuous when you re-order cheques to help you keep track of numbers.
  • If you receive a cheque, make sure that the payee name printed on the cheque is correct. Be on the lookout for unusual-looking signatures. Business cheques typically contain watermarks, holograms and have perforated edges.

Take these tips into account and you can protect yourself and your business from cheque fraud in Canada or anywhere else.

Save On Bank Fees By Ordering Cheques Online

June 4, 2010 by · Leave a Comment 

When Amber Leung set up her graphic design business, she created an eye-catching logo to use on her stationary, web site, marketing brochures and even on her Prius. Applying her logo and colour scheme onto her cheques was a natural extension of the corporate identity she developed. Yet her bank had other ideas.

Amber’s bank, like most financial institutions, had a limited set of designs to offer. Customizing cheques involved major headaches not to mention fees!

After Amber started searching for alternatives, she discovered online cheque ordering was not only more flexible but less expensive too.

Her customized cheques included her logo and a specialized font. Setting up her custom cheques was as easy as ordering business cards. All Amber had to do was to email the logo and text file. To ensure that the results would meet her expectations, she requested a proof copy emailed to her in order to approve the final print run.

As Amber learned, you don’t have to pay through the nose at your local bank to get quality cheques.

Ordering cheques online also turned out to have additional advantages for Amber – freebies such as additional cheques at no extra cost, or double window envelopes for mailing cheques out right of the printer.

One of the advantages of a one-of-a-kind cheque design like Amber’s is that it reduces the likelihood of cheque fraud.

Even if you aren’t a graphic artist, online cheque suppliers provide a dizzying selection of designs.

Unlike banks, credit unions and other financial institutions, online cheque suppliers can keep their overhead low and pass savings on to consumers. They aren’t bogged down by bureaucracy and juggling a multitude of service needs. By exclusively focusing on cheques, they can offer introductory offers, competitive pricing, streamlined processes and economies of scale — to ensure you pay the least and get the most.

Online cheque suppliers offer the same security and features as financial institutions as well as additional order flexibility and order options such as business cheque binders and deposit books.

Most organizations in the security printing industry have implemented stringent safeguards in order to be compliant with regulatory requirements.

For additional security, many suppliers offer superior technology to deter cut-and-paste forgery as well as ensure that duplication is impossible.

Look for an MP icon as proof that micro-security print is used in the design. This is very small print that will break up if it is photocopied. Other security features ensure that your cheque is certified as original. Stains or spots will appear if your cheque is tampered with.

Need to reorder immediately? No need to wait for 14 business days. In some cases, cheques orders can be expedited and supplied in a matter of days.

Save on time and trim banking fees by ordering discount cheques for your banking account online. Why go to your bank!

On our website you can order custom laser cheques, continuous cheques and manual cheques.