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Check Verification vs. Check Guarantee: What's the Difference?

Posted by Brandon Weaver | Thu, Mar 29, 2012 @ 10:00 AM

Whether you're a merchant or consumer, check verification and check guarantee are terms you should be acquainted with. What are they, when are they used, and how can they benefit your business?check reader, panini

Check verification occurs at the point of sale which is then linked to an external check writer's database. This database houses information regarding the consumer's check writing history. This information is simultaneously reported back to the business and the sale is completed or the check is declined. Examples of companies that utilize check verification include grocery stores and gas stations because these industries typically have higher volume sales from low-ticket items, which are lower risk.

Businesses have started adopting check guarantee services, which provide an added level of security on top of check verification. These premiums are payments made to businesses by a check service provider, such as CrossCheck, in the event a check is returned unpaid.

Using CrossCheck's Standard Guarantee, consumer checks are approved at the point of sale via terminal, phone, or Internet. With this service in place, businesses can accept out-of-town checks, submit claims with ease, and receive convenient, 24/7/365 customer support. Companies that thrive using check guarantees are those in the automotive industry, automotive aftermarkets, home furnishings, building materials, veterinarians, and medical offices, among others. This is because these industries generally have lower volume sales but high-ticket items or services, which are of greater risk.

Both check verification and check guarantee help businesses increase sales. In addition to these, there are other premium check services that increase sales, and save time and money, such as multiple check, stop payment, and COD. For more information on how we can put this into action for your business, get a free consultation, view the webinar below, or read our check guarantee insider's guide.

Check Guarantee

Topics: Check Guarantee, Check Verification

Written by Brandon Weaver