What is Qchex?
Qchex simply allows users to send and receive checks electronically. You can have Qchex print and mail a check, or you can simply email a check image. Because actual paper checks are becoming ‘old-fashioned’, all you really need to do to move money is have the information about a given checking account.
A Qchex customer enters information about the account such as a bank routing number and account number. Then, Qchex generates an image which is used to draw funds from the payor’s account.
Is Qchex Involved in Fraud?
Let me emphasize that Qchex is simply a service providor. I don’t know to what extent Qchex enables fraud - if any. Scammers use the service as a tool to swindle others. This happens in a variety of ways:
- A scammer sends a check drawing from a non-existent or empty account
- A scammer creates a check drawing from an unsuspecting victim’s account
Some people use the service for legitimate purposes, however there have been frequent abuses in the past. I’ve noticed that the Qchex website now mentions some verification services. This is a step in the right direction but it won’t help the completely uninformed.
If You’ve Received a Check From Qchex
If you’re holding a check printed from Qchex, proceed with caution. Don’t do anything until after the funds settle. Ask your bank for clarification on when this happens.
Don’t send merchandise to a buyer or count on the funds clearing quickly. Many banks will process these checks more conservatively because of past abuses.
If the payment was for more than the amount due, do not send the excess amount back. This is a common scam, and it will cost you.
In general, take the same steps you would take to avoid cashier’s check fraud. Not all people who use Qchex are scammers, but it’s worth it to take extra care.
