Most businesses accept checks as payment for goods and services. However, inspections can accept a risky business if your company does not follow good policies and procedures to prevent loss of control. In fact, the reason why some companies do not accept checks because as a story too “NSF funds” that the costs of their activity, a lot of money and inconvenience, preferring accept cash and credit cards only. If a business currently accept checks or not, may reduce the cost of accepting checks less than 1%, which is less than half of the 2% to 3% of the cost of processing credit cards. The only form of payment acceptance is cheap cash.
Here are some tips for developing their policies and practice safe procedures for accepting checks. For purposes of this section, “virtually no risk” is defined as achieving a cost of accepting checks from 1% or less. Are Not all items apply to all businesses, but if it determines to accept checks in your business is a “high risk”, a program of more rigorous use of these boards is needed. In all cases, your policy must be written, distributed to all employees, and followed without exception.
1. Clearly defined pieces of acceptable identification, the required information and dollar limits. Publish these requirements, where customers can see the point of sale.
2. The name and billing address of the writer must be printed on the check. Ask and note the phone number if not already printed on the check.
3. Make sure written amounts and the number correspondent.
4. Look at the check-writer sign the check. If the name is illegible, print the customers below the name.
5. Compare signatures, photo and physical description of the identification of those who wrote the check.
6. Verify that the ID is still valid! Check pilot’s license for signs of alteration or modification.
7. Most controls have a low income verification number (100-500) indicating a new account and thus control more dangerous, especially for business or “dba” (doing corporate control, as). Do not accept checks start. Any number below 300 should be a red flag and subject to the approval of a manager for acceptance
8. Never carry out checks on private companies, unless you know the company and the individual. business checks are not currently eligible for electronic filing again. With the available software, virtually anyone can produce a corporate check.
9. Do not accept checks with a PO box … Always get an address input of the check-writer.
10. Do not accept third party checks.
11. The four digits after the recognition of magnetic ink character recognition (MICR) number at the bottom of the check must match the four-digit number at the top right of the check.
12. All checks, except government checks, you must have a hole in one side of the check.
13. Use a check verification system. This form of protection to reduce the volume so significantly “less collectible controls (those who have gone through check-writer with a history of bad checks).
14. Have a camera at point of sale. Counterfeiting, fraud and bad check writers do not want to take a photo. A video camera placed visibly dissuade most dishonest people.
15. Using a collection service record for the fastest free collection of checks that bounce the more.
The use of a check cashing service is essential to minimize costs. On average, two out of 100 controls will bounce when this happens, time is the essence of your money back. Check collection services with the tools and skills to collect quickly bounced checks, over 80% of the time of major suppliers and their services are usually free for businesses that generate their revenue from collection fees authorized by each state.
When choosing a service, select a business of free services and prevent this offer “guaranteed” for tax collections. The fee for the guarantee ends up being much more costly to implement a policy controls a good acceptance from a reputable, free care services. Also, choose a company with a reputation for service customers. It is useful to know that your service provider will work with you if special circumstances should be considered for a collection particular. Finally, you can expect to keep total control of your checks. Only hire a service that guarantees to return to their control at any time the collection process.
CybrCollect is a self-service collections that meet these requirements and more. CybrCollect recommends that:
1. Free service for businesses
2. Customer Service
3. Clients retain full control of your checks
4. Best collection rate of the industry, over 80% of controls no funds collected in 30 days
5. Industry primary client site 24 / 7 access to information collections
6. Exclusive Analysis Report of directors “to determine the actual cost of accepting checks.Read More