The Rising Threat Of Check Fraud: Your 101 Guide

Do you write a lot of checks? While once a safe, common way of paying for everything from groceries to monthly bills, checks have become a leading vehicle for fraud. We know that many consumers believe that checks are safer than plastic but they have actually become far riskier as digital safety precautions are continuously improving.

Meanwhile, check fraud is a constantly rising threat as thieves have found effective and easy techniques to turn your check into a big payday for them. Here’s your guide to the dangers behind using checks, particularly if you are mailing them or giving them to people you do not know and trust.

Check Fraud 101

Stolen Checks - Criminals can steal checks from your mailbox or blank checks from your home or business. It doesn’t matter if the check is filled out or blank, this is a powerful vehicle for anyone skilled at check fraud.

Fake Checks - Once they have your routing number, account number, name and address, it’s easy to create counterfeit checks.

Tampering - There are techniques using basic household supplies that allow someone to “wash” your writing from your own check. Then they can change the payee and increase the amount using your very signature.

Forgeries - Once they have your signature, criminals can easily forge your signature on checks and other documents.

Exposed Info - Consider the valuable information on the check you are about to hand a stranger. All of this information is a good start toward identity theft.

Delays - While digital payments are almost instant, checks can take several days to clear and possibly several days in the mail before that. This provides criminals a lengthy window of opportunity to alter or forge a check before you ever know there is a problem.

If You Must Use Checks

Mail a check using a secure mailbox or hand it directly to your mail carrier
Fill in every blank space. Leave no room for edits.
Be consistent in your signature so it’s harder to forge and easier for bankers to identify an issue.
Use permanent black ink.
Review your accounts regularly for anything that looks suspicious. This can easily be done through our website or mobile app. Account alerts are a great way to keep up with account activity as well!
Stay vigilant and on the look-out for any kind of scam.

Consider Your Pen

According to the New York Times, a black gel pen is safer than a ballpoint pen. That’s because gel ink penetrates the fiber of the paper making it harder for criminals to wash your writing away. In contrast, a ballpoint pen’s ink sits on top of the paper and can easily be removed.

Can You Eliminate Or Reduce Check Writing?

There are digital ways to pay your bills or to pay someone you know and trust.

Online Bill Pay - It’s a lot like writing a check only you do it through the VCNB mobile app or website. You can authorize a one-time payment or a recurring one. Online Bill Pay is free to VCNB customers.
Zelle - Owe money to someone you know and trust? You can send them money through our mobile app or website. You only need their email address or mobile phone number and they will receive notification that you have sent them money. They will follow simple instructions to deposit that money into the account of their choice.
Plastic - Fraud monitoring technology has come a long way, making a credit or debit card a safer way to pay.
Mobile Wallet - The safest way to pay though is with the mobile wallet on your phone. You can add your VCNB debit or credit cards to the mobile wallet on your Apple or Android device. When you pay, the merchant receives the payment from an encoded source and they never have access to your personal information.
Cash - There is a lot of talk of cashless society fears but most businesses still appreciate cash and you may prefer paying the teen who mows your yard in cash if you aren’t writing checks.

We know that change is hard. Whatever your reasons for writing checks, we encourage you to consider if there is another way to pay that makes sense and to consider if you would prefer to take the risk of writing checks.

Do you run a business? We have a service called Positive Pay which can help you stay safe. Speak to your banker about this and other services that might suit your unique needs.