Tips for protecting your dealership against check washing and theft.

What we’ll cover:

• How thieves use the mail to steal money and information
• How check washing works and methods for prevention
• Best practices for smarter, more secure banking

With so much of your business operating in the digital realm, security is of the utmost importance. But what about traditional payment options, like checks? Are they secure?

Your dealership may still send and receive checks in the mail in certain scenarios. As something that’s been in practice for decades, it seems simple and safe enough, but what if the mail gets stolen? There’s a growing number of cases of mail theft across the country, and many of those criminals are looking for checks to intercept.

While concerning, you can take steps to help reduce risk and prevent mail theft and check fraud from negatively impacting your business. Learn about how mail theft works, what to look out for, and how you can protect your dealership.

Understanding mail theft

Most mail and packages arrive at their intended destinations without any issue. But thousands of scammers are arrested each year for targeting mail, intercepting checks or other confidential financial documents in transit — or taking them right out of mailboxes (a practice known as mailbox fishing).

These criminals then tamper with a check, steal a pre-activated credit card, or use personal information to commit identity theft.

What is check washing?

Check washing is when thieves use chemicals to remove ink from a check, then change the names and/or dollar amounts to fraudulently deposit the check. And while the act might sound far-fetched, more than $1 billion in counterfeit checks are recovered by postal inspectors each year. In other instances, criminals have used a copier or scanner to print false copies of the check to get even more money.

How can I protect my dealership from check washing?

It’s fairly simple: Use a black gel pen when writing checks. Certain types are resistant to chemical stripping, since their pigments seep into the fibers of the check’s paper.

Once cashed, review images of checks via your online bank account to ensure they appear as you wrote them, with the same name and dollar amounts. If you notice anything fishy, notify your bank immediately.

It’s not always possible to avoid sending and receiving checks in the mail, but try to limit how often you do it. Instead, rely on digital tools to make and receive payments.

Best practices for using mail for banking activities

If you do need to mail a check, follow these tips to help make sure it’s delivered safely.

• Follow your mail
  Mail tracking services allow you to monitor the status of a piece of mail and receive confirmation when it arrives at its destination. Check out resources for businesses offered by the U.S. Postal Service to take advantage of this service.
• Mail directly from the post office
  Rather than leaving a check sitting in a mailbox where it’s unmonitored and vulnerable, take it to a post office location. The mail slots inside are virtually tamper-proof, shielding mail from thieves.
• Collect your mail quickly
  Make it a habit for someone on your staff to go through your business mail on a daily basis. The longer a check, credit card or other sensitive financial document is in the mailbox, the more time a potential criminal has access. Make sure all business mail is stored in a safe location at your dealership.

  The U.S. Postal Service also offers other secure options for businesses to receive mail, including informed delivery (you receive photos of your mail via email before it is delivered), PO boxes and business mail pickup at the post office.

• Notify the post office of relocation
  If your dealership changes locations, inform the post office, vendors and customers of the new address right away. Plan ahead as much as possible, so you can avoid having checks sent to your former address as your moving date nears.
• Check mail pick-up times
  If you use a public drop location to send mail, see what the daily pick-up times are (you can find these posted online and on the mailbox itself), and drop off checks and other sensitive mail items as close to that time as possible.
• Request signature upon receipt
  Like mail tracking, you can make a signature request at a physical post office location. This is done to ensure high-value items aren’t left out as a target for criminals.

• Reiterate these tips to your customers
  If a customer plans to mail a check to your business, create a resource or have your staff remind them of the tips above to help protect both you and the customer.

Alternative options for safe business banking

Fortunately, the digital world has made banking simpler and safer. Most vendors offer online or automated bill payments, so opt for this method when making and receiving payments from your partners.

Your business may also be able to utilize digital payment platforms like Dealer Pay, Stripe, Zelle, Venmo or PayPal. For high-dollar payments, consider alternative methods like ACH or wire transfer. Your online banking site should offer these services.