Fighting cheque fraud in the 21st Century: the new clearing model

Gordon Madgwick is a cheque consultant and ex-operations director of Cheque & Credit Clearing Company.

Despite the payment method’s diminishing use, last year UK£20.6 million was lost to cheque fraud in the United Kingdom. Now the industry is moving to digitise the processing of paper cheques, reduce clearing times and even eliminate the need to visit a bank branch to deposit a cheque. Gordon Madgwick explains the fraud detection measures to be observed in the new system.