Fraud Prevention

How well protected is your company?

No matter what type of business you're in, the risk of fraud is always present. While you can't predict why or when your business becomes a target there is a lot you can do to reduce the opportunity for fraud.

At John Poulet Cheque Writer Service Ltd. we have collected some of the "Best Practices" that our existing clients have implemented to protect their financial transactions and their dealings. We invite you to use this checklist to determine how well protected your business is and as a source of ideas to develop a fraud prevention plan. You'll see that many of these practices can be put to work easily and inexpensively.

Our Cheque Security Specialists would be pleased to work with you as well. We can help review your needs and provide information on our products and services that are available to help your company prevent fraud.

Cheque Issues

Month-End Bank Statements: Look at your actual cheques when you get your statement. Have the payee, cheque endorsement or other important features been altered?

Centralize Your Cheque Issuing: Don't leave cheques in the hands of unauthorized staff.

Lock Up Cheques: Securely and separately lock up unissued cheques, facsimile signature stamps and any cheque reorder forms.

Enforce Security Procedures: Maintain control of your cheque stock throughout the entire cheque printing/issuing, signing and dispatch process. Also, audit cheque stock frequently and without warning.

Cheque Paper Stock: The selection of your cheque paper stock is important. Insist on quality cheque stock to enhance your protection against fraud.
     Microprint
     Chemical Protection
     Fluorescent Fibres & Security Ink Message
     Holographic Marker
     Padlock Icon
     Foil Stamping

MICR Serial Numbers: Use serial numbers, which are now mandatory on all cheques clearing on business accounts.

Cheque Printing: When printing and processing cheques:
     Use a type font of 12 points or larger
     Don't leave blank space on payee line
     Avoid using window envelopes

Accounting

Separate the Functions: Different people should be responsible for the writing and signing of  cheques and the reconciliation of the bank statement. Lock up your paid cheques.

Special Accounts: Open separate accounts to segregate such functions as incoming wires and high-volume small-dollar cheques.

Security Audit: We recommend a full audit by an accounting professional that includes a complete review of your security procedures.

Remove the opportunity for fraud and you've gone a long way toward preventing business disruption and harm to customer confidence that can come with fraud. Implementing these best practices is a small price to pay.

For more information on fraud prevention, please contact a Cheque Security Specialist today.


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