Credit Card Fraud

Credit card fraud is one of the fastest-growing areas of criminal activity. It costs billions of dollars every year and ranges from the use of stolen credit cards to sophisticated counterfeit or altered credit cards. Employers should teach staff correct procedures to spot attempted credit card fraud and make sure those procedures are followed.

To make credit card transactions safer:

• Always obtain the card; never accept a transaction when only the card number is given to you.
• Examine the card closely:
• Check the expiration date
• Look for alteration of name and/or numbers
• Compare the name on the card to the presenter (in terms of gender and nationality)
• If you have any suspicions, ask for identification. This should include a valid driver's license so you can compare the photo to the person.
• Keep the card until the transaction is complete.
• Compare the signatures on the card and the receipt.
• Compare the card to recent lists of invalid or stolen cards or use Point-of-Sale terminals.
• If you are still suspicious, refuse the card. Advise the person to call their credit card company.
• If the card is fraudulent, KEEP THE CARD.
• If the person runs, take down a description, whether he or she is alone and, if a car is used, the license plate number.
• Keep the sales draft in a separate area for fingerprinting.

Bad Checks

Fraudulent checks have become a profitable way of life for many criminals. Staff carelessness and poor check-cashing policies are major contributors to this crime. Taking a few precautions can make an enormous difference.

• Don't let anyone rush you.
• Insist that the check is endorsed and completed in front of you.
• Insist on more than one piece of identification; one piece should be a valid driver's license.
• Compare the photo to the person and the check and ID signatures.
• Make sure the check is filled out and dated properly.
• Don't accept a check over 30 days old.
• Don't accept a check that has been altered.
• Don't accept post-dated checks or agree to hold a check until funds are available.
• Don't accept checks for more than the item purchased.
• Don't accept checks from out-of-town financial institutions.
• Watch for warning signs like other identification in their possession.
• If you have doubts, write a brief description of the writer on the back of the check.
• Be wary of people who try to write a check for a large amount only a few days after writing another check for a large amount.
• Deposit all checks promptly.
• If you are really in doubt, don't accept the check.
• Limit the number of employees who have the authority to cash or accept checks and have the employee initial each check.

Don't be a victim of bad checks!
For more information about how to deal with bad checks and possibly recover up to 100 percent of the check's face value, please contact the Sonoma County District Attorney Bad Check Restitution Program at (888) 892-1376 or www.checkprogram.com/sonomacountyca

California ID Verification Procedures

Every day, millions of Californians use their driver licenses or identification (DL/ID) cards for identification purposes. If your job requires you to accept checks, rent cars or equipment, approve credit, or simply verify age, you're on the spot every time you take a DL/ID card as proof of identity.

High personal and financial losses are incurred by all consumers when DL/ID cards are used improperly. The Department of Motor Vehicles (DMV) attempts to make forgery or alteration more difficult through the use of security laminates on the face of the DL/ID card have significantly helped to prevent alteration attempts.

What to Look for:

• Does the license or identification card describe the person presenting it, in terms of height, weight, color of eyes and hair, and approximate age?

• Date of birth: Is it the same as the license or identification card?

• Check signatures. Do they match?

• Is the document altered in any way? Has the photograph been altered or substituted?

• When a card with a magnetic stripe is swiped through a reader, such as a point-of-sale purchase, does the DL/ID card number and birth date match the information on the face of the card?

• When a card with a bar code is read by a laser scanner, does the DL/ID card number match the number on the front of the card?

On cards issued beginning in Spring 1999: Look at the photo on the DL/ID card and compare it to the ghost photo and the person it identifies. Is it the same person?

Provisional and Age 21 are highlighted with blue or red color bars respectively. DL/ID cards issued to persons under the age of 21 have the photo on the right side of the card. The provisional driver license includes the interim issue date.

On a DL/ID issued between July11, 1994 and June 30, 1999, a laminate containing holographic images of the California State Seal and the DMV logo are visible at certain angles. The phrases "Provisional" and "Age 21" are highlighted in blue or red color bars respectively. DL/ID issued to persons under age 21 has the photo on the right side of the card.

Photo Receipt:
The DMV is issuing a "photo receipt" to applicants applying for driver licenses and identification cards. This photo receipt is used for DMV purposes only and must not be used as a license or permit and is not a verified identification.

Detecting alterations in the holograms may include visible lines or breaks in the holographic image or missing and mismatched portions of the image. Attempts to lift and replace the laminate result in clearly visible checkerboard patterns in both the card surface and the laminate.

When you cannot verify an identity:

• DO NOT attempt to detain or pursue the person.
• Immediately write down a complete description of the person. Include estimated height, weight, color of eyes and hair, complexion and appearance.
• If the person leaves in a car, try to get the vehicle license plate number and description of the car.

Important!

It is against the law to alter a license or identification card. Whenever someone gives you an altered license or identification card, contact your local law enforcement agency or a DMV investigator.

Counterfeit Money

With advances in quality and the lower costs of color photocopies, counterfeiting has become easier and is now a daily concern for businesses.

The most commonly copied bill is the $100 bill. Redesigned $100 notes were issued in 1996, new $50 bills in 1997, and the new $20 bill in 1998. The newly redesigned $10 and $5 bills were issued in 2000. No plan exists at this time to redesign the $1 bill.

If you have any suspicions, look for the following and compare the bill to a known, genuine bill:

• Red and blue fibers are scattered throughout the paper, which can be removed.
• Raised or embossed printing is detectable on the words "United States of America" on the front of the note.
• The portrait is sharp and lifelike in appearance (three-dimensional). Ink on the portrait is raised and can be felt with your fingernail - especially on collar and coat.
• If it is a Federal reserve note, the first letter of the serial number will be the same as the large letter inside the Federal Reserve seal.
• No two bills of the same series and denomination will have the same serial numbers.
• A Security Thread will appear vertically through the bill and read 'USA 100' or 'USA' along with whatever denomination number the bill represents. To observe the Security Thread the bill must be held up to light and will appear on newer series $20, $50 and $100 bills. The number in the thread will always correspond to the denomination.
• Microprinting appears around the presidential portrait reading The United States of America. Microprinting appears in different areas on 1996 series and newer bills.
• The Treasury Seal is the only place on the bill where two colors, the "black" denomination number and the "green" treasury seal will appear together. The seal and the denomination number will be crisp and clearly printed even though they overlap.
• All 1996 series and newer bills $20, $50 and $100 bills have a watermark of the portrait in the blank space to the right of the portrait.
• All newer series $10, $20, $50 and $100 bills have color shifting ink on the denomination located on the lower right corner of the front of the bill. Color will change from green to black when viewed at different angles except on the 2000 series $5 bill that has no color-changing ink.

• Do not put yourself in danger.

• Do not return the bill to the person who passed it to you.

• Delay the passer with some excuse if possible, without risking harm.

• Telephone the police or the U.S. Secret Service.

• Observe the passer's appearance and that of any companion.

• Note the license plate number and model/make of the passer's car.

• Write your initials and the date on an unprinted portion of the bill and surrender the note only to police or Secret Service.

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