Businesses of all sizes can be the target of check fraud. This type of crime can have a devastating effect on a company, both financially and reputationally. That’s why it is so important to take steps to secure your business checks and prevent fraud from happening in the first place. In this blog post, we will discuss six ways that you can do just that!
Fraud is a big problem for businesses of all sizes – but there are things you can do to protect yourself. According to the Association for Financial Professionals, check fraud is the second most common type of payment fraud, behind credit card fraud. And it’s on the rise it is essential that businesses take steps to protect themselves.
Here are six ways you can secure your business checks and prevent fraud:
- Use a check-printing service: When you print your own checks, it is important to use a high-quality printer and paper that cannot be easily reproduced. A check-printing service will have these security features in place, as well as others, to help prevent fraud.
- Include a watermark: Watermarks are one of the best ways to deter check fraudsters. By including a watermark on your checks, you make it much more difficult for someone to alter or forge them.
- Use security features: Most check-printing services offer a variety of security features that can be added to your checks, such as microprinting and holograms. These make it even more difficult for someone to forge your checks successfully.
- Store checks securely: Once you have printed your checks, be sure to store them in a secure location where they cannot be easily accessed by unauthorized individuals. A locked file cabinet or safe is ideal.
- Destroy old checks: When you have outdated or unused checks, be sure to destroy them properly. This will help to prevent them from falling into the wrong hands and being used fraudulently.
- Monitor your accounts: One of the best ways to prevent check fraud is to monitor your accounts regularly. This way, you can quickly spot any suspicious activity and take action accordingly. You need to flag any fraudulent charges and report them to your financial institution immediately.
- Positive pay – Positive Pay is a service offered by banks that can help prevent check fraud. With positive pay, businesses provide the bank with a list of checks that have been issued. The bank then compares this list to the checks that are presented for payment. If there is a discrepancy, the bank will notify the business so that they can investigate.
- Multiple signers – Having multiple signers on a checking account can help to prevent fraud. This is because the criminals would need to have access to all of the signers’ information in order to forge their signatures.
Check fraud is a serious problem that can have a devastating effect on businesses. However, there are steps you can take to protect yourself. By using a check-printing service, including security features on your checks, and storing them securely, you can help to prevent fraudsters from successfully targeting your business.