Positive Pay is a fraud detection and prevention service designed with business owners in mind, specifically business owners who write physical checks. Early detection is the fastest and safest way to guarantee reimbursement. Modern-day cash management technology, like Positive Pay, helps financial institutions identify fraudulent checks before problems arise.
Here’s a crash course about how Positive Pay benefits business owners every day.
Each morning, as checks come in to be reconciled, the automated system diligently compares them to crucial information provided by the customer. If a presented item does not match, the bank immediately notifies the customer to determine if the check is fraudulent. At banks like Paragon, customers receive an alert by 10 a.m. at the latest, giving them ample time to assess the credibility of the item before the day ends. Should the check prove to be altered, forged or counterfeit, it is flagged and returned.
Positive Pay relies on four key pieces of information to verify checks: the issue date, payee, amount and check number. The system analyzes these four items on every check to ensure they correspond with customer-provided data. When all four pieces match, the check will pay through as normal. If one item is off, the business will make the final decision whether to pay or return.
With Paragon Bank, business customers can access Positive Pay through online banking. You can upload issued item data and review exceptions. Many of the popular accounting software platforms offer built-in features that export data from written checks. The system can be adjusted to accommodate almost any file format making upload a breeze.
As a business customer, you play a crucial role in safety and security. It is important to review your account daily and quickly respond if someone attempts to get your money. Positive Pay is an automated tool that can help you do just that.
Want to learn more about Positive Pay to see if it’s a good fit for you? Reach out to Paragon Bank today.
