WO2000013913A1

WO2000013913A1 - Fraud-resistant check and method for printing same

Info

Publication number: WO2000013913A1
Application number: PCT/US1999/020364
Authority: WO
Inventors: Thomas O. Tulowitzki
Original assignee: Troy Systems International, Inc.
Priority date: 1998-09-03
Filing date: 1999-09-03
Publication date: 2000-03-16
Also published as: AU6027599A; AR020390A1

Abstract

To discourage the altering of pre-printed checks for fraudulent gain by increasing the difficulty in altering the checks successfully, the present invention in a preferred embodiment prints the designated information over and over in different sizes, colors, fonts, shades, or intensities on the face of the check. The present invention utilizes the available background field to preferably print the amount (50, 60) of a check (80) or the payee's name (40), or both, repeatedly on the face of the check (80). The scope of the present invention includes using a continuous string of characters over and over to spell out the amount of the check (80) or illustrate the check amount (50, 60), making it difficult to alter the background graphics since there will likely be a different number of characters in the new amount (50, 60) or payee (40).

Description

FRAUD-RESISTANT CHECK AND METHOD FOR

PRINTING SAME

BACKGROUND OF THE INVENTION

1. Field of the Invention

The invention relates generally to the prevention of fraud, and more particularly to a negotiable instrument such as a check or money order having verification wallpapering for inhibiting the fraudulent alteration of pre-printed checks.

2. Description of Related Art

Check fraud has become one of the fastest growing forms of fraud facing businesses today. The American Bankers Association estimated that check fraud losses cost United States commercial banks and companies more than $800 million dollars annually, while other estimates place this value at $14 billion each year. Check fraud occurs in several common forms: forged signatures, where legitimate blank checks are signed by an imitation of the payor signature; forged endorsements, where typically a stolen check in endorsed and cashed by someone other than the proper payee; counterfeit checks, where illegitimate checks are printed and cashed; and altered checks, where information on a legitimate check such as amount is changed to benefit the perpetrator. The present invention is especially directed to the latter form of check fraud, although indirectly other types of check fraud may be discouraged by the present invention.

Check alteration is perhaps the most difficult form of check fraud guard against because the perpetrator may be the proper payee, although not always.

Sophisticated techniques for removing laser-printed characters has made this type of fraud easier to carry out, as contrasted with older printing machines which typically deformed the paper as ink was impressed into the paper. Etching a laser printed character from a check can be accomplished with a sharp instrument and a new character printed in its place, such that the now-altered check may evade detection from a non-suspecting bank teller. Furthermore, the crime may not be detected for months after the perpetration due to bookkeeping practices in large corporations. Those who have attempted to solve the problem have employed high-tech techniques to detect the alterations, such as chemicals which smear or do not erase easily. However, these techniques alone serve only to challenge the would-be thief to refine the methods for check altering. The present inventor has taken a different approach from those who have previously tried to solve the problem, and that approach is to deter the crime by making it more time consuming and also more difficult to perpetrate the crime. SUMMARY OF THE INVENTION

The present invention is a fraud-resistant check having important data such as the amount of the check or possibly a payee or both printed repeatedly over the face of the check. By repeatedly printing the information on the face of the check, the time and effort necessary to fraudulently alter the information is dramatically increased as well as the increased opportunity for detection. By making the crime less attractive, the present invention offers a cost effective weapon in the fight against check fraud. Many personal checks have backgrounds with scenic panoramas or artistic drawings, but payroll checks are more typically printed on a blank or nondescript background. The present invention utilizes the available background field to print the amount or the payee's name, or both, repeatedly on the face of the check. This check verification "wallpapering" can increase the number of characters that must be altered by as much as one hundred times or more, and can also inhibit the addition or subtraction of characters from the pre-printed amount or payee. To further increase the difficulty in altering the checks successfully, the present invention in a preferred embodiment prints the designated information over and over in different sizes, colors, fonts, shades, or intensities to prevent a single cover-up solution. For example, by varying the size of the characters forming the background verification amount, the would-be perpetrator cannot use a stamp, sticker, single font, or simple cover-up technique to mask the multiple background entries. Also, by using a continuous string of characters over and over to spell out the amount of the check, it becomes difficult to alter the background by substituting new numbers since there will likely be a different number of characters in the new number. Thus, the present invention provides a check with cost effective fraud-resistant characteristics which are easy to implement and effective against check alteration. BRIEF DESCRIPTION OF THE DRAWINGS

The exact nature of this invention, as well as its objects and advantages, will become readily apparent upon reference to the following detailed description when considered in conjunction with the accompanying drawings, in which like reference numerals designate like parts throughout the figures thereof, and wherein:

Figure 1 is a flow chart for a printer with options to implement the present invention;

Figure 2 is a first embodiment of the present invention; Figure 3 is a second embodiment of the present invention; and Figure 4 is a third embodiment of the present invention.

DESCRIPTION OF THE PREFERRED EMBODIMENTS

The following description is provided to enable any person skilled in the art to make and use the invention and sets forth the best modes contemplated by the inventor of carrying out his invention. Various modifications, however, will remain readily apparent to those skilled in the art, since the general principles of the present invention have been defined herein specifically to provide a fraud-resistant check and method for printing same.

For purposes of this discussion and the appended claims, the term

"check" shall refer to all negotiable instruments such as payroll checks, money orders, cashier's checks, bonds, personal checks, and the like. Figure 1 illustrates how a system with a computer 10 and a printer 20 may be adapted to implement the present invention.

In a typical mass check printing operation such as a payroll operation, a computer 10 is connected to a large printer 20 and serves to control the printer. For each check to be printed, a set of data is recalled by the computer 10 and commands are sent to the printer 20 to print a check with specified data thereon. The data recalled by the computer 10 may comprise, for example, the employee's name, social security number, date, amount of check, and tax information. The printer 20 receives the commands and draws a blank check from a supply source (not shown). Ordinarily, the printer 20 would print the date 30, payee 40, amount (numerals) 50, amount (words) 60, and in some instances a signature 70 is electronically transferred from an existing file to the check 80 (See Figure 2). In addition, the bottom portion of the check is reserved for the MICR coding 90. In the present invention, a supplemental entry is included on the face of the check wherein the amount of the check (either numeral or spelled) is printed at designated locations on the background of the face of the check. The background of the check is limited by ANSI standards which define the format of the check and sets forth areas where no MICR ink, toner, thermal transfer media, or other print media can occur. The wallpaper printing of the amount in the background may comprise a graphical format or a formatted text string, or a combination of the two. For example, in Figure 2 a check is shown with the payee block 40, the amount (numeral) blocks 50,60, the signature block 70, and the date block 30, appropriately filled in. However, additional printed entries 100 comprising a repeated check amount is printed at a plurality of locations on the front of the check. A variation of this check is shown in Figures 3 and 4 which illustrate, respectively, continuous words 101 and varied sizes 102 of the additional printed entries. Additional variations include varied shades and half tones, fonts, and colors of the numbers or words on the checks. The actual medium for printing the wallpapering can be toner, ink, toner with a mixture of fluorescent dye mixed in which is detected by ultraviolet light, or any medium which meets the needs of the user and is known in the art.

To implement the present invention, several options are envisioned to carry out the printing on the check. Returning to Figure 1, the method to carry out the printing will typically be a software driven application where the background area is known from the size of the check, and the software designates where the printing will occur and what will be printed on the face of the check. In a first embodiment, the software application can be resident on the host computer 10 with a wallpaper graphic application 200 built in to the software. Alternately, the software can be part of a preprint driver, post-process software 210 separately loaded on the host computer that adds the wallpaper graphics to the printer instructions. A third option is a separate printer driver with software 220 to implement the wallpaper graphics on command, where the printer driver is also located on the host computer. Yet a fourth option is a post-print driver, post-process software 230 on the host computer that adds the wallpaper graphics to the print commands. In a fifth option, an inline hardware device such as a stand-alone printer 240 implements the graphics prior to the normal check printing operation. In a sixth and preferred embodiment, the software 250 is stored in the printer, preferably in a SIMM, DIMM, or printer interface card. The software 250 detects the presence of check data being fed to the printer 20 and captures the numeric amount of the check. The printer 20 determines the background field and replicates the amount repeatedly using a pre-selected size and font also stored in the SIMM, DIMM, or printer interface card. A final option is a post-print, post-processing in which the pre-printed check is then delivered to a separate hardware device 260 for implementation of the wallpaper printing.

Those skilled in the art will appreciate that various adaptations and modifications of the just-described preferred embodiment can be configured without departing from the scope and spirit of the invention. Therefore, it is to be understood that, within the scope of the appended claims, the invention may be practiced other than as specifically described herein.

Claims

CLA╬ô SWhat Is Claimed Is:

1. A fraud-resistant check comprising: a first area designated for displaying numerals corresponding to a monetary value authorized to be paid by the payer to the payee; a second area designated for displaying words corresponding to the monetary value authorized to be paid by the payer to the payee; a third designated area for displaying the payee; a fourth designated area for displaying a signature line; and a plurality of supplemental entries on the check corresponding to the monetary value authorized to be paid by the payer, said plurality of entries located outside of said first and second areas.

2. The fraud-resistant check of Claim 1 wherein said plurality of supplemental entries comprise words.

3. The fraud-resistant check of Claim 1 wherein said plurality of supplemental entries comprise numerals.

4. The fraud-resistant check of Claim 1 wherein said plurality of supplemental entries comprise a combination of words and numerals.

5. The fraud-resistant check of Claim 1 wherein said plurality of supplemental entries are printed in different colors.

6. The fraud-resistant check of Claim 1 wherein said plurality of supplemental entries are printed in different sizes.

7. The fraud-resistant check of Claim 1 wherein said plurality of supplemental entries are printed in different fonts.

8. The fraud-resistant check of Claim 1 wherein said plurality of supplemental entries are printed in different shades.

9. The fraud-resistant check of Claim 1 wherein said plurality of supplemental entries are printed in a continuous, consecutive format to deter the inclusion of additional characters after printing.

10. A method for discouraging fraudulent alteration of pre-printed checks comprising the steps of: identifying data corresponding to the amount of said pre-printed check; capturing said data corresponding to the amount of said pre-printed check; identifying the background field of said pre-printed check; and repeatedly printing in said background field of said pre-printed check the amount of said pre-printed check.

11. The method for discouraging fraudulent alteration of pre-printed checks of Claim 10 further comprising the steps of: identifying data corresponding to a name of a payee of said pre-printed check; capturing said data corresponding to the name of the payee of said pre- printed check; and repeatedly printing in said background field of said pre-printed check the name of the payee of said pre-printed check.