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ST Secure MICR Printer User’s Guide 15 2006, Source Technologies
March 2006 All Rights Reserved
5. Security Issues
Printing negotiable documents from blank paper on desktop MICR laser printers makes
security a top priority for any company embarking on a desktop check printing project.
Good security programs integrate hardware, software, your employees and your financial
institution into a secure check production system. Recent changes relative to the
responsibilities of banks and their customers have a bearing on the ultimate liability for
fraudulent documents. Customers must have systems designed and documented to show
“Ordinary Care and Good Faith Effort” is in place to avoid liability. In the past, financial
institutions generally credited corporations when fraud was discovered. New regulations
attempt to define who may have been negligent in the transaction and put the liability on
that party or parties. Clearly, if a fraudulent occurrence can be traced to a corporation’s
lack of security procedures, or the design of their negotiable documents, the regulations
will protect the banks, or at best case the loss will be shared.
Check Stock Security Features
We have found the following check stock security features to be of merit:
Artificial Watermarks - White on white printing generally on the back reveals
words or patterns when held at an angle. You should state on the front of the
check that this feature is present. True watermarks are valuable but more costly.
Laid Lines - Background lines that make cut and paste alteration difficult. These
are normally on the back of the check.
Fuse Enhancing Additive - Coatings or additives to the paper that improve the
bonding of toner to the paper. This helps prevent altering of critical data such as
the amount, or payee name.
Chemical Additives - If an ink eradicator (bleach, acetone, etc.) is applied to the
document, the eradicator creates a permanent stain.
Numbered Check Stock - Sequential numbering printed in dye that penetrates to
the reverse side of the check can be used to verify authenticity. This also provides
for inventory control of blank check stock. This number should not be linked or be
equal to the check serial number due to the potential of double feeding in laser
printers.
NOTE: These features serve as a general guide for check security. You should not
consider these features as an all inclusive list. We recommend consulting with your paper
supplier for any additional comments or suggestions.
Security Note
Check fraud in the United States is a continuing problem. We have attempted to identify
security features that can be incorporated into the base check stock. However, these may
not prove 100% fraud preventative. Over time, technology will continue to develop new
and improved measures to address check fraud.