Office of the Comptroller of the Currency

---

Check Fraud: A Guide to Avoiding Losses

Teller Training

Banks must emphasize to all tellers the importance of being alert to check fraud. One way to focus on preventing check fraud is to include a separate section on it in teller manuals. That section can emphasize typical check fraud schemes and warning signs. Some common warning signs include:

• a check that does not have a MICR line at the bottom.
• a routing code in the MICR line that does not match the address of the drawee bank.
• MICR ink that looks shiny or that feels raised. Magnetic ink is dull and legitimate check printing produces characters that are flat on the paper.
• a check on which the name and address of the drawee bank is typed rather than printed, or that includes spelling errors.
• a check that does not have a printed drawer name and address.
• a personal check that has no perforated edge.
• a check on which information shows indications of having been altered, eradicated, or erased.
• a check drawn on a new account which has no (or a low) sequence number or a high dollar amount.
• a signature that is irregular-looking or shaky, or shows gaps in odd spots.
• a check printed on poor quality paper that feels slippery. 
• check colors that smear when rubbed with a moist finger. (This suggests they were prepared on a color copier.)
• checks payable to a corporation that are presented for cashing by an individual. Banks should require that checks payable to a corporation be deposited into the corporation account for later disbursal by corporate check.
• corporate or government checks which show numbers that do not match in print style or otherwise suggest that the amount may have been increased.
• checks presented at busy times by belligerent or distracting, fast-talking customers who try to bypass procedures.
• checks which have dollar amounts in numbers and in words that do not match.
• items that are marked "void" or "nonnegotiable," yet are presented for cash or deposit.

Next: Guidelines to Consider When Cashing Checks
Go to: Check Fraud Contents Home Publications List