Positive Pay

By | July 14, 2019

A business may be held liable for all or a substantial portion of any loss when checks are stolen or altered. Positive Pay is an automated check fraud detection service offered by most banks. It matches the payee, check number, and dollar amount of each check presented for payment against a list of checks issued from your accounting system. All three components of the check must match exactly or the check will not be paid.

Other ways to limit your liability:

  • Use an automated clearing house (ACH) or online payment when possible.
  • Reconcile your statements in a timely manner
  • Report fraud quickly with your bank, postal inspector and local police