Banks Give Warning On Handling Of Cheques

Press, Volume CIV, Issue 30678, 18 February 1965, Page 16

Banks Give Warning On Handling Of Cheques

“The cheque system is becoming; popular but, as a number of recent court cases show, everyone handling cheques should exercise care and common sense, otherwise

forgeries can occur,” says a statement issued by the research directorate at the New Zealand Bankers’ Association.

“Banks themselves make every effort to ensure that cheque accounts are opened only for persons of known honesty, nd take great care in the issue of cheque-books. “Customer* should treat a cheque-book as a valued possession to be kept in a safe

place. This would help to ensure that the public are not imposed on by dishonest persons. The loss or theft of a cheque-book should be reported to the bank immediately.

“Signatures should never appear in a cheque-book, except when a cheque is being signed. A dishonest person finding a cheque-book

with the owner’s signature in it may be tempted to forge the name on the cheques. Chequebooks when found should be handed to die nearest bank, which will trace the owner.

“Making a cheque form available to anyone else is a dangerous practice, as the owner loses complete control of the cheque form from that point. “Greatest care of all should be exercised in the acceptance of cheques from unknown persons. People should be just as wary of accepting a cheque from a complete stranger as they would be of an 1.0. U. It is even more foolish to give change for a cheque from an unknown person. A signature and address on the back of a cheque, are no protection. “A cheque is an extremely convenient means of .making payments, but a price has generally to bo paid for convenience, and in the case of cheques it is constant vigilance,” says the statement.