Raised Check
A raised check is a type of secure financial instrument where the amount of money and possibly other pertinent information are printed in a raised manner, detectable by touch. This raised print serves as an additional security feature to help prevent tampering or alteration of the check details, providing an extra layer of protection against fraud.
Examples
- Business-to-Business Transactions: Companies may use raised checks for large transactions to enhance security and ensure that the amount cannot be easily altered.
- High-Value Personal Checks: Individuals who issue checks for significant sums might opt for raised checks to add a measure of security.
- Governmental Agencies: Tax refunds or other types of official disbursements might use raised checks to prevent fraudulent alterations.
FAQs
Q: Why are raised checks used?
A: Raised checks are used to provide an additional layer of security, making it difficult for fraudsters to alter the check’s amount or other essential details.
Q: How does a raised check work?
A: Raised checks use raised printing techniques that produce text and numbers that stand above the surface of the check. This raised text can be felt by touch, making it detectable if someone attempts to modify the printed information.
Q: Are raised checks common?
A: While not used universally, raised checks are more common in scenarios where security is paramount, such as in business transactions involving significant sums, or official disbursements from governmental or large institutions.
- Check Protector: A device used to emboss or impregnate checks with ink to make the handwritten or printed amounts extremely difficult to alter.
- Watermarked Check: A security feature found in some checks where a subtle, unique design is embedded into the paper, visible when held up to light.
- MICR Check: Checks that contain special magnetic ink character recognition (MICR) encoding for preventing forgery and enabling machine readability.
Online References
- Federal Trade Commission on Fraud
- FDIC Consumer Protection
Suggested Books for Further Studies
- Check Fraud Prevention Handbook by Frank W. Abagnale
- Finance and Accounting for Nonfinancial Managers by William G. Droms and Jay O. Wright
- Fraud Examination by W. Steve Albrecht
Fundamentals of Raised Check Security: Banking Basics Quiz
### What is the primary purpose of a raised check?
- [x] To prevent the alteration of the check
- [ ] To enhance the aesthetic appearance
- [ ] To streamline banking procedures
- [ ] To order multiple copies of the check
> **Explanation:** The primary purpose of a raised check is to prevent the alteration of the check's amount and other critical information, thereby enhancing its security.
### How can one detect if a check is raised?
- [ ] By checking the watermark
- [x] By feeling the raised print
- [ ] By examining the MICR line
- [ ] By appreciating the color of the ink
> **Explanation:** Raised checks can be detected by feeling the raised print, which stands out above the smooth surface of the paper.
### What type of transactions commonly use raised checks?
- [ ] Routine daily purchases
- [x] High-value or important transactions
- [ ] Small cash withdrawals
- [ ] Online shopping
> **Explanation:** Raised checks are commonly used for high-value or important transactions where added security is necessary to prevent fraud.
### What security feature cannot be applied by a check protector?
- [ ] Watermark design
- [ ] Signature verification
- [x] Raised printing
- [ ] Date imprinting
> **Explanation:** While check protectors can emboss amounts and possibly imprint dates, they do not produce raised printing.
### Who is more likely to issue raised checks?
- [x] Businesses for high-value transactions
- [ ] Individuals for everyday purchases
- [ ] Retail stores for refunds
- [ ] Freelancers for client payments
> **Explanation:** Businesses issuing high-value transactions and government agencies disbursing large sums are more likely to issue raised checks.
### Can a raised check be altered easily with common tools?
- [ ] Yes, with basic tools like pens
- [ ] Yes, with advanced paper cutting
- [x] No, due to its secure design
- [ ] Yes, but only in professional settings
> **Explanation:** Raised checks are designed to be difficult to alter with common tools due to their secure raised print feature.
### In which sector might a raised check be least necessary?
- [ ] Government disbursements
- [ ] Large corporate payouts
- [x] Routine, low-value consumer transactions
- [ ] Financial institutions
> **Explanation:** Raised checks might be least necessary for routine, low-value consumer transactions where the risk of tampering is lower.
### What practical action can complement the use of raised checks to ensure security?
- [ ] Using high-quality imagery
- [x] Keeping accurate financial records
- [ ] Regularly changing check colors
- [ ] Using oversize fonts
> **Explanation:** Keeping accurate financial records can complement the use of raised checks by ensuring all transactions are tracked and monitored for inconsistencies.
### Raised checks help prevent fraud largely through what method?
- [ ] Electronic verification
- [x] Physical alteration resistance
- [ ] Visual enhancements
- [ ] Ink color variations
> **Explanation:** Raised checks are designed to prevent fraud through physical alteration resistance; their raised print is difficult to modify without detection.
### Which feature would not be found on a raised check?
- [ ] Printed check number
- [ ] Watermark feature
- [x] Fading text section
- [ ] Raised print section
> **Explanation:** Fading text is not a security feature for raised checks, which instead include features like printed check numbers, watermarks, and raised print sections.
Thank you for exploring the intricacies of raised checks and participating in our quiz on the subject. Your diligence in understanding financial security measures will serve you well in navigating the complexities of modern banking.
