[NA]Banking gurus, or users of Positive Pay[NA]

[Let'sgoflying!]

Small biz owner, concerns about paper check payments (check washing, other paper check fraud etc)
Has anyone used PP?
Sounds good but in order for it to work, you must type in a list with each check (double workload right there) - what is to stop someone from hacking into your account and typing in their 'approved' check on the list? I write 95% of my checks on my bank's website and they mail a paper check in most cases. If someone hacks in to write a bogus check, surely they can hack in to put it on an approved list?

 

[tspear]

Positive Pay is really kind of a pain for most SMBs. I usually see it employed by larger enterprises, usually working with "integrated payables".
You are raising multiple issues. Each one should be addressed separately.
1. Check fraud
2. Account hacking of the vendor
3. Account hacking of you
4. Account hacking of your financial package

I would hope the bank you are working with is utilizing 2FA or MFA for bank account access at a minimum. If not, switch banks. Yes, 2FA/MFA is a pain, however it really is your best protection from someone putting fraudulent information into your bank accounts. Same applies to your financial software package it using one "in the cloud". e.g. Quicken online. If the software is installed locally, that raises separate issues, that would also need to be addressed.

To address check fraud, you really need to eliminate checks. There is no way around that.
I have friends who are actually working to solve this issue. Send me a DM with contact information and I can put you in contact with them.

Tim