Paper hanging and similar redirect here. They can also mean applying
wallpaper to a wall. Check (or cheque) fraud refers to a category of
criminal acts that involve making the unlawful use of one or more
check or
checking accounts in order to illegally acquire or borrow funds that do not exist within the account balance or account-holder's legal ownership. Most methods that are used by violator involve taking advantage of the
float (the time between the negotiation of the check and its clearance at the check-writer's bank) to draw out these funds. Such acts are often colloquially referred to as
check kiting or paper hanging
[1].
See more at Wikipedia.org...
Occurs when a depositor with accounts at two or more banks draws checks against the uncollected balance at one bank to take advantage of the float-that is, the time required for the bank of deposit to collect from the paying bank; and the depositor initiates the transaction with the knowledge that sufficient collected funds will not be available to support the amount of the checks drawn on all of the accounts.
Free Download Now!
