Bank Check Issuers
If you are a bank check issuer then you must be
concerned about your potential liability for the unauthorized
withdrawal of funds from your accounts by your bank, because at
various times banks unknowingly pay fraudulent checks with funds
from their customers' accounts. But beyond that concern you don't want your bank to withdraw funds
from your accounts in the first place even if you ultimately are not
liable for the payment of any fraudulent checks.
The
disruptions of dealing with the unauthorized withdrawal of funds by
your bank can be as bad as any financial losses due to fraud. To
read about actual cases involving the unauthorized withdrawal of
funds by twelve banks and one credit union, see Ethent Views:
"Analyzing the Philadelphia Story: 1,569 Counterfeit Checks
Create $4,200,000 of Losses".
Your
checks may currently contain security features, like VOID technology, invisible watermarks and/or fluorescent ink. You might also use a "warning band" to alert check payers to the security features contained on your checks.
But how does your bank know what security features should be contained on your checks? In most cases paying banks don't have any idea what checks should look like and so they cannot authenticate most check's security information.
Ethent developed WBWBChecks, its web-based warning band product, to provide your check security information to your bank before any of your checks are paid. See Interactive Demonstrations: "Web-Based Warning Bands" for a hands-on presentation of this Ethent system.
In addition Ethent developed 1WFThent, its one-way fingerprint product, so that bank check transaction information could be authenticated before payment. To learn how one-way fingerprints can be used to authenticate bank checks see Interactive Demonstrations: "One-Way Fingerprints" for a hands-on presentation.