Cheques are a traditional form of offline payment solutions that enable individuals and companies to pay for goods and services. This form of payment often causes delays in completing a transaction as they usually have a certain date that they are signed for by the account holder.
Downfall of using cheque payments
Being a traditional form of payment, paper cheques were widely used to pay for large amounts for goods and services. However, due to the development of online payment solutions such as credit cards, debit cards and e-checks, the use of cheques has seen a considerable decrease.
Cheques enable individuals and companies to pay for goods and services over a certain period of time. Each cheque carries a date and it cannot be cashed before this date, thus causing delays in transacting payments. Post-dated cheques are commonly used by many individuals which has lead to many businesses not accepting them.
Additionally, the physical form of a cheque is paper- which can be easily tampered with. This can lead to fraudulent payment transactions which can be a result of identity theft. It is imperative that individuals and companies keep their cheque books in a safe and secure place to avoid fraudsters from cashing their cheques.
Individuals and companies that wish to offer their customers cheque payments are advised to seek the assistance of a professional consultancy firm. Through the advice and guidance of experienced consultants, you can ensure that you process paper cheques in a secure and timely manner. It is imperative that you understand the logistics of accepting genuine cheques to avoid fraud.
For information on how we can assist you, please visit our Cheque Payment Solutions service page.