Pub. 7 2012-2013 Issue 6

www.nebankers.org 18 Extraordinary Service for Extraordinary Members. How Can I Verify That a Check Is “Good?” Although it is almost impossible to tell if a check is “good,” it is often possible to verify that a check is definitely invalid. If the check is drawn on a phony account or is a phony cashier’s check, contacting the bank it is allegedly drawn on may help determine its worth. However, if you contact the bank, they cannot tell you whether the check was stolen from the mail and altered. Only the maker of the check can provide that information. You may be able to contact the maker of the check directly, but you should never use the phone number listed on the check. You will need to independently locate the phone number of the maker. However, even if you do all the verification possible, there is still a possibility the check could be returned years later, and you will be stuck. Too Good to Be True? Most of these scams fall into the “too good to be true” category. If it seems too good to be true, it is. The crooks take advantage of the fact that even their skeptical victims often can’t figure out how they are being scammed. Whenever you negotiate a check, you have the potential for long-term liabil- ity. If you are being asked to cash a check for a stranger and send someone part of the money, you are being scammed. Don’t do it. The Bottom Line When a check is cashed, your bank often allows the funds to be withdrawn within a few days. If the check is not valid, the depositor can be liable for the check for a very long period of time. You need to be skep- tical of any check received from a stranger. If you are asked to deposit a check and send some of the funds to others, simply refuse. It could save you froma long-termfinancial mess. Z This article may be reprinted by any bank to provide to its customers. Team McGladrey Golfer Zach Johnson and his caddie, Damon Green. A strong strategic partner should know you and your organization well enough to know when to step up with insights, suggestions and fresh ideas. And when you trust the advice you’re getting, you know your next move is the right move. This is the power of being understood. This is McGladrey. Experience the power. Call Jim Richardson or Andrew Guill at 402.344.6100 or email: jim.richardson@mcgladrey.com or andrew.guill@mcgladrey.com . Lots of advisors suit up, show up and keep up. But how many know when to speak up? © 2012 McGladrey LLP. All Rights Reserved. Power comes from being understood. SM For more information, contact Kansas Bankers Surety Co. at (785) 228-0000. Q Check — continued