Increase Efficiency, Lower Costs, and Decrease Check Fraud with Positive Pay
BY: Sam Huntington
- Checks are accessible in unsecured mailboxes and at multiple points during handling.
- Check fraud is relatively low tech. It is not overly difficult to change information on a paper check or to create a counterfeit check.
- There is a lot of important account information on every check.
- Business accounts have a much shorter window of time to alert the bank of possible fraud than consumer accounts.
Three Ways to Reduce Your Risk
- Use ACH payments. The ACH Network has a variety of security protocols that make it a safe way to send and receive funds. This process greatly reduces accessibility to your payment information since it is handled electronically. In addition, ACH is less expensive because you are not paying for paper checks, envelopes, or postage. ACH can also be more efficient by avoiding delays due to postal delivery and can in turn help you speed up collections, improve cash flow, and allow you to take advantage of trade discounts.
- Take advantage of fraud mitigation technology. State Bank of Cross Plains offers business customers a variety of tools that enable you to verify every payment leaving your account. For example, Positive Pay gives a business accountholder the ability to upload a list of authorized, issued checks to our secure website. We compare that list with all checks presented on the account and flag any discrepancies for review. If the payee name, amount, or check number does not match the list provided, we notify the customer and allow them to view actual images of the check online to determine whether to continue with payment. Positive Pay even uses optical character recognition software to read the payee line on checks you issue to guard against check alterations.
- Review your account every business day. State Bank of Cross Plains’ business clients have access to transaction data in real time, so you can identify problems immediately.