12/07/2009
I was looking for guidance regarding SSI check payable to Representative Payees. There seems to be a difference of opinion among gurus. Here are two conflicting Q&As: <a href="http://www.bankersonline.com/operations/gurus_op091602o.html">Negotiating U.S. Treasury Checks</a> and <a href="http://www.bankersonline.com/operations/guru2007/gurus_op021207c.html">SSI Check Deposit Account Restrictions</a>. Which one is the best answer?
11/09/2009
When filing a SAR for check kiting, part of our process is to set an alert on our teller system that directs tellers not to accept deposits from the suspect customer that include checks the customer has drawn on accounts in other banks. We do this instead of closing the account. Does anyone else do this? If so, what do you tell your customer? I know we cannot say anything about the SAR or that we have knowledge they are kiting, so what else can we actually tell them for an explanation?
11/02/2009
When making a cash secured loan, is the bank able to hold the funds in the customer's checking account or MMA, or do the funds have to be held in a savings account or certificate of deposit? The question is posed for both consumer and business loans.
10/26/2009
Are we required to run OFAC checks of domestic banks before sending an outgoing wire, orr are we only required to check international banks?
10/19/2009
I work in bank fraud cases. We have a case management system in which we input all of our fraud cases (forgeries, counterfeit checks, unauthorized check card trans,etc...). We are trying to make a determination as to the difference between "recovery" and "loss avoidance" when it comes to bank fraud. Could you please help with a clear understanding on what determines in which category an item would fall?
10/12/2009
I came across several checks while completing a forensic examination which had a blank or restrictive endorsement followed by a Prior Endorsement Guarantee (PEG) stamp. These checks were part of a forged endorsement of the true payee. They were deposited at the fraud perpetrator's depositary bank. Does the PEG stamp constitute a second endorsement? What liability, if any, exists between the depositary and the true payee for the use of this stamp on items containing forged endorsements?
10/12/2009
A customer informed us by email in Aug. '09, that some of his checks were fraudulently signed by someone else in 2007. The customer said he told us in 2007, but we have no record that he did so. Our signature cards say that someone has sixty days to inform us of fraud. What is our position? Are we liable?
10/05/2009
During a recent exam, an examiner said that banks are required to search transactions not linked to an account conducted by a named subject in the FinCEN 314(a) request during the preceding six months. The examiner also stated that the transaction threshold would be $3000 and above. We rarely cash checks for non-customers, although if the person brings a check drawn on this bank, we would normally cash the item. We don't sell monetary instruments to non-customers because we do not want to have the additional burden of checking a name during the 314(a) search. Now, will we need to not cash checks for non-customers as well?
08/31/2009
We have a customer who deposited a counterfeit check and used some of the funds before the check was returned. She is overdrawn $1000. She is now saying that a certain check sequence has been forged. We looked at the items and they are not her signature. Let's say those are for $500. She wanted to fill out an affidavit of forgery. A co-worker will not give her one until she deposits the $500 that she owes us. I don't think that is correct. If she did't write the checks, she didn't write the checks. I do suspect that she is involved, but didn't know if we could refuse her an affidavit for the ones that appear to be forgeries.
08/17/2009
Do tellers need to run an OFAC check on a non-customer that comes in to cash a check on a customer’s account? The checks range anywhere from $5.00 to over $2500.00.