How does the system handle fraudulent checks? Does Check 21 put our bank at a higher risk for fraud?
The ability for any company to accept or create a fraudulent check and then deposit that check with the company’s financial institution is no different, regardless of how the check is captured or deposited. Goldleaf’s system excludes the capture and deposit of duplicate checks, but a financial institution’s ability to detect fraud and to charge back for returned items is no different in a paper environment than in an image environment.
