How banks work


Protect Your Checking Account

Some may believe that losing money from aas soon as you get it in the mail, or if you
personal checking account mainly takes placehave online banking, every few days or so.
through online transactions. The truth isAll transactions, whether they are authorized
there are several ways that scam artists canor not, will eventually show up on your
get money out of your account if you are notstatement. Keeping close tabs on your
careful.statement will not only alert you when
something is amiss but it will also keep you
Two important pieces of information that youfrom  bouncing  checks  in  many  cases.
should never give out about your checking
account unless you know for certain who youIf you discover a problem it is important to
are dealing with are the account number andcontact the bank as quickly as possible. If
the  bank  routing  number.you believe that someone has gained access to
your account, tell the bank and follow their
Having both of these numbers makes it farinstructions. In some cases, you may need to
easier for scam artists to get funds out ofput a hold on the account. Some banks may
your checking account. A good rule of thumbwant a written statement as to what happened.
is to never give out this information unlessIf this is the case, make sure you get that
you know the company asking for it or unlessto them. You will also want to keep copies of
you were the one to initiate the transaction.all documents that you and the bank exchange
as the problem is worked out. In cases of
The above is true for internet transactionsfraud, it is also a good idea to contact your
but it is also true for telephonelocal  police  or the state attorney general.
transactions. Many of today's criminals are
finding it more profitable to do theirSometimes it is not criminals who get us into
business over the phone. These calls, whentrouble with out checking accounts but rather
they come, sound very authentic andourselves. You may not be aware of it, but
persuasive. Do not fall for that. If they askchecks are being processed faster today than
you for your checking account information, doever  before.
not give it to them. If you do, they may
create what is known as a demand draft whichMany places that take checks will convert
they can use to take funds out of youryour written check to an electronic payment,
account. They may also use the information towhich allows the money to be withdrawn from
make an electronic funds transfer, which alsoyour account sooner. Needless to say, if you
results  in  you  losing  your  money.do not have enough funds in your checking
account when you write a check or authorize a
The second most important thing to do todebit, you could end up with an overdraft and
protect your checking account fromhave to pay the fees for that.
unauthorized use is to review your statement



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