Types of Check Fraud

Despite best efforts and a vigilant eye on business transactions, it’s a reality that fraud is almost everywhere. This is especially true when it comes to paying for goods and services, and making money transfers. From hackers to forgery — there are multitude of ways that payments can be compromised. It is essential to understand the types of e-fraud, particularly when it comes to checks, that can negatively affect your company. Keep an eye out for these scams and learn how to protect yourself!

Forgery

When dealing with checks, there are a few things to look out for — namely the signature line. Everything else on the document may look accurate, which may lead you to believe in its legitimacy. Those who forge signatures are often very skilled, and used to pulling off this type of crime. That is one main benefit of eChecks vs. paper — digital verification. At ValidCheck, information is sent electronically and cross-referenced to verify that signer is who they claim to be.

Creating Confusion

Certain types of fraud can be even worse than forgery…take identity theft for example! Fraudsters can seize personal information such as names, credit card numbers, addresses, phone numbers and more, through a variety of illegal tactics. Once they have certain data, they create fake accounts to initiate unauthorized transactions! This is even easier for them when it comes to paper checks and other tangible documents. By going digital and utilizing eChecks, the online footprint is easier to track — and fraud can be resolved faster if it arises!

Mail Scams

Another type of illegal checking activity involves the mail. When using paper checks, it’s a risk to rely on the post office in case it gets lost in transit — but theft is another thing to consider. Apartments and housing complexes are more of a deterrent due to key systems, but houses featuring traditional mailboxes can be a beacon for criminals! Protect your business by protecting your clients’ hard earned money! With ValidCheck – all transactions live online, eliminating the risk of data being stolen. Our team works hard to offer maximum security that is reliable every step of the way.

Phone Calls

It’s important to be aware that scammers still use phone calls as a means to enact illegal activity. The individual behind a telephone scheme may trick an unsuspecting person into giving away personal information in order to gain access to their accounts. Sometimes, criminals will request funds through check transfers and other forms of digital currency. Avoid this pitfall by utilizing our trusted e-checking technology — which provides a thorough authentication process. Rest assured that phone scammers who initiate money and wire transfers will be caught red-handed!