HomeSmart founder develops product to eliminate check fraud

The FBI estimates more than 500 million checks are forged annually in the United States. Losses from check fraud total $18.7 billion and affect over 70% of organizations each year. Designed to eliminate fraud and streamline online payments, ValidCheck is a new eCheck product changing the way consumers and businesses process transactions.

Each ValidCheck eCheck contains the same components as a traditional check including routing number, account number, signature line, amount paid, payee and check number. Unlike other means of paying electronically, ValidCheck only requires a name and email address for the payee and does not require the payee to download an app or register in any way, making it as simple as writing a check that is delivered immediately by email. 

For businesses, ValidCheck adds an extra layer of protection. ValidCheck integrates with Positive Pay, a banking feature which virtually eliminates check fraud. Check information is instantly uploaded directly to the bank and must match the check submitted by the payee exactly. Funds are available immediately unlike other forms of payment such as wires, ACH, and online bill pay applications. 

To access this product, users simply sign-in online, purchase ValidChecks, enter recipients’ contact information and the check amount and click send. There is no sign-up required for the recipient and the check is delivered directly to their email through a secure link. If users have opted for the Positive Pay integration, check details are immediately posted to the bank, making funds available for the recipient to deposit instantly. The minimal information required is especially beneficial for the majority businesses who send and receive large volumes of checks.

ValidCheck also integrates with popular accounting and ERP software to eliminate double entry of check entry.

ValidCheck was conceptualized by Matt Widdows, founder and CEO of Scottsdale-based HomeSmart International, the fastest-growing real estate brokerage in Arizona.

“We saw a need that expanded far beyond our industry,” Widdows said. “There was no software in place that streamlined transactions while protecting both parties and eliminating fraud. In today’s digital world, fraud is everywhere. ValidCheck was designed to provide users with piece of mind and 100 percent fraud protection.”

By eliminating third-party verification, ValidCheck guarantees the banking information of recipient and sender is protected and never shared. Traditional paper checks are often exposed to over six points of contact increasing risk for forgery and theft. ValidChecks are only shared between sender and receiver.

Businesses can expect a streamlined entry and authentication process through QuickBooks, a single-entry automation integration system designed to save an accounting department time, money and resources. ValidChecks are available for purchase online and require no subscription, contracts or monthly fees.  ValidChecks can be used for any transactions made in the United States and internationally.