POS Protection: Check Guarantee

Are you tired of getting bad checks? Or maybe you are worried about the business you might be are losing because you don’t accept checks for fear of fraud. Imagine if there were a way to ensure that the checks you accept are good and that even if they aren’t, you would still get the money owed to you. Well, no need to imagine; it’s a reality.

A point of sales (POS) system offers unparalleled check accepting security for you, the merchant. Check Guarantee is a program that ensures that you’ll get paid for the checks you receive, no matter what. In return for this insurance, you pay your merchant account provider a small fee. This is how it works:

When you accept a check you are obligated to collect certain information from the customer such as drivers license number and birth date. Next, you either swipe or enter the check and personal information into a POS system. The system runs a scan to see if the customer has any bounced or outstanding checks. Then, as long as the customer is in good standing, you receive an authorization code. If the customer has a poor history, then you are informed of such, and simply do not accept the check.

However, here is the real benefit of this service: when you receive an authorization code, even if the customer’s check ends up being bad, your account provider still issues you the money for the check. That’s the beauty of Check Guarantee.

There is also a service called Check Guarantee and Conversion. This service automatically converts the check into electronic funds so that you receive your money before the check even clears.

These services are just two among the many outstanding benefits of using a POS system.