Dear Friend and Customer
We hope this Bulletin finds you, your family and work team healthy and safe..!
We wanted to ensure you as our customers take the steps needed when providing customer with your valuable services of cashing check related to the Distribution of Economic Impact Payments (EIPs) Under the CARES Act
Take into consideration that most of the checks will be for the amount of $1,200 per person based on income and/or $ 2,400 per couple, plus $ 500 per child (when apply).
We were advised that The Department of Treasury will release the first round of checks for EIPs to the US Postal Service for mailing this Sunday, April 19. This round of distribution will be between 5 and 7 million checks. We have also been advised that the checks will be dated April 22; however, the checks will be honored even if cashed prior to April 22. After that The Treasury Department will continue to release approximately 1 million checks per day after the first round of checks and anticipates that all payments will be issued by the end of May.
Please make the appropriate review for avoiding incidences of fraud which may increase over the next several weeks. The Treasury Department has a tool that may help you with some verification and take into consideration the following:
- U.S. Treasury checks can be verified provided that the financial institution has a valid routing transit number, check number and check amount.
- Check will have a recently printed date; do not cash EIPs checks with older dates.
- If no issue record is in the Treasury Check Verification Application (TCVA), it does not mean the check is invalid. Please note that the TCVA was created as a tool to assist in fraud detection, you still need to verify the security features of a US Treasury Check.
- Treasury Check Verification Application (TCVA) is available from Monday 6:00 AM thru Saturday 12:01 AM Eastern Time. Take into consideration if you are cashing a check after this time and using this tool for verification you are taking a risk with any new or unknown customer.
- If you are within the State of Florida remember that:
- Besides the Exclusive of the direct costs of verification, which shall be established by rule not to exceed $5, a check casher may not charge fees in excess of 3 percent of the face amount of the payment instrument, or $5, whichever is greater, if such payment instrument is the payment of any kind of state public assistance or federal social security benefit payable to the bearer of the payment instrument.
- For any customer cashing EIP checks you need to provide for the KYC and for any items of or over $ 1,000.00 you need to keep a legible copy of a valid not expired Identification of the Customer.
- All checks need to be endorsed and thumbprint at the moment to be cash in front of the teller and kept a legible copy of the check (front and back) on records.
- Any item of/over $ 1,000 need to have all the information required in accordance with the FCCDB and reported timely to the FCCDB known as “Veritec”
Remember that you, your employees, and the services that you provided are particularly important and needed at this time since you are keeping the door open to your customers. Please remember to keep the social distance within your locations and kept safe measurements to you and your team.
Remember that in AML Compliance Corporation we have various services so that your future business functions correctly and remains free of irregularities such as money laundering and others.