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Protection of Checks and Funds Transfers

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Support your responses with appropriate cases, laws, and other relevant examples. Cite references

Brittany currently attends college and runs her new business, Pampered Pets, a sole proprietorship she created in her sophomore year. Since Brittany is a student, she does not have much capital and seeks to save money where she can; therefore, she only uses one bank account for her personal and professional funds. Brittany frequently monitors her account using the online portal furnished by her bank. On Friday night, Brittany noticed that $724.43 had been withdrawn from her account on two separate occasions that day. Brittany knows that she did not spend that amount of money one time, much less two times in one day. She is afraid that someone has accessed her account. Assume that the following Monday is a holiday and banks will be closed; however, one branch will be open for four hours on Saturday. On Saturday morning, Brittany discovers two checks have cleared the bank. She is able to view copies and see that the checks were written using another party's name and address, yet the bank account number belongs to her. One check was written for $94.23 and the other for $950.

Provide information for Brittany to implement to help prevent a future occurrence of this type of situation.

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Solution Summary

This solution provides an extensive discussion determining what Brittany should do and the exact course of action that she needs to take in this situation.

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Brittany accesses her account information online, which is a significant point because it is possible that someone has also gained access to her online sign-in information, which would give them even greater control over her account. She noticed that $724.43 was withdrawn twice, so this was either through online access or by somehow obtaining her checking account number and using it, for their purchases. She then discovers that two checks cleared the bank that she didn't write, using another party's name and address. This is also significant -- that it was another party's name and address but her ...

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