The "Thumbprint Signature Program" is the name of a program introduced to provide positive and permanent identification of individuals who ask banks to cash checks where they are not account holders. This program can also be utilized by merchants that accept checks as payment for merchandise as well.
The Thumbprint Signature program was developed by the Texas Bankers Association and the Clearing House Association of the Southwest with the help of law enforcement officials and the full support of the Federal Bureau of Investigation. More than 200 Texas financial institutions and 150 retailers use it. The success of the Thumbprint Signature in Texas has prompted 38 states to adopt similar programs.
What is it?
- A simple, easy to use security device.
- Provides a clear, clean, print for positive identification.
- An effective deterrent device for check fraud related offenses.
- Involves financial institutions or any merchant obtaining the "thumbprint" of any "non-account holder" cashing or paying with a check at a designated location.
How does it work?
The "Thumbprint" is used in conjunction with normally accepted pieces of identification.
The person cashing/paying with the check must place their right thumb on an ink-less touch pad and then place their thumb in the space between the memo and signature lines. This will leave a clear thumbprint of the person passing the check.
Those attempting to pass fraudulent checks will be deterred, because they will not want to leave their fingerprint for identification purposes.
The fingerprint will help identify criminals committing check fraud offenses.
Texas banks were suffering huge losses related to check fraud offenses. They had more than $815 million in 1993. This was up 40% from 1992 figures. Since its inception January 1996, banks have realized a 47% decrease in check fraud, saving more than 2.5 million dollars.
The "Thumbprint Signature Program" is simple and quick, and the special inkless pad leaves no stain on your finger. Any residue disappears when you rub your fingers together. This simple, but effective program can help us take a big step forward in the fight against check fraud.
