What are standard precautions when accepting cash as payment for services rendered?

Precautions of the issuer

When issuing a cheque, bank customers must:

• Check that the account has sufficient funds available to pay the cheque;

• Check that the cheque is within the validity period printed on the cheque book;

• Observe the pre-printed mentions on the cheque;

• Write only in the spaces that are to be filled in, without going outside these spaces;

• Write out the check without erasures or overwriting;

• Always indicate the place of issue;

• Always write the date of issue (year, month and day);

• Write the name or denomination of the entity to whom the cheque is being issued;

• Always write the value of the cheque in full, with the full indication of the value expressed in figures, writing euros and, where appropriate, cents;

• Always cross out the squares and unfilled spaces with a continuous horizontal line;

• Write the words ‘não à ordem’ (‘not to order’), before or after the name of the payee, thus preventing the cheque from being paid to an entity other than the one indicated on the cheque in the event of theft or loss;

• Sign the cheque, with the same signature as on the customer account opening form;

• Avoid sending cheques by mail – mailed cheques can be stolen. However, if absolutely necessary, customers must write out crossed cheques and always write the name of the payee, followed or preceded by the words ‘não à ordem’ (‘not to order’).

It is important to note that:

• Cheques filled in without indicating the amount in words can be changed to a higher amount – in case of divergence, the credit institution will pay the amount in words since, by law, the amount in words shall prevail;

• Cheques without the name of the payee can be paid by credit institutions to any person who presents them for payment.

In addition to the care taken when filling in the cheque book, the issuer should also bear in mind that:

• Cheques should only be issued on funds that are available;

• If there are no funds available in the account, cheques will be returned for ‘lack of or insufficient funds’;

• Writing out a cheque when there are lack of funds in the account may constitute a crime punishable by imprisonment;

• Not settling returned or paid cheques, under the legal obligation to pay cheques in the amount of €150 or less, prevents issuers from using cheques for a period of two years and implies their inclusion on the List of Cheque Defaulters.

Precautions of the payee

Payees are not obliged to accept cheques as a means of payment, and may therefore stipulate the conditions under which they will accept a cheque from a given person, in particular if the person is unknown, and may ask to see the identification of the cheque issuer.

In addition, payees must:

• Check if the cheque has been filled in correctly, namely if there are any erasures or overwriting, if the date of issue is the day on which it is issued, if the cheque is issued within the period of validity of the respective cheque book (in cases in which it has a pre-printed expiry date) and if the currency indicated in writing matches the pre-printed currency;

• Present the cheque for payment during the presentation period (as a rule, eight days).

Can people catch the COVID-19 virus from cash? It’s a hot topic on search engines around the world now that everyday tasks like grocery shopping and re-fuelling the car have become a source of anxiety.

There are no known cases of COVID-19 transmission via banknotes or coins, but fear has prompted some businesses to discourage cash payments altogether. For those accustomed to tap-and-go this is business as usual, but cash still remains a preference for other community segments.

In fact, cash is the most common payment method for lower income households and people over 65. Not accepting cash excludes those without access to digital payment methods.

So is it reasonable to fear cash?

According to general scientific studies, the coronavirus can survive for up to four hours on copper and 24 hours on cardboard. On plastic and stainless steel, it could last for six days.

So technically yes, the virus can last on coins and banknotes. But the same goes for debit and credit cards, digital payment terminals and PIN pads. Not to mention plastic bags, petrol pumps and mobile phones.

Fortunately, there’s no evidence that coronavirus can spread by penetrating the hands. Getting COVID-19 on the hands can only lead to infection if it transfers to the mouth, nose or eyes.

Whether shopping for food or fuel, the best preventative measure is common sense. Take standard flu hygiene precautions and wash hands with soap after using any form of payment – cash, smartphone, credit card or payment terminal – to reduce the risk of infection.

Most retailers accepting cash payments are taking extra precautions. Staff wear gloves and take notes and coins from customers with minimal contact, or accept cash in restricted lanes that pay particular attention to sanitisation.

Linfox Armaguard Group is also taking steps to help slow the spread of COVID-19 while maintaining service continuity for the community.

“Linfox Armaguard Group has been endorsed with essential services status by the Reserve Banks in Australia and New Zealand, and we are working closely with central and major banks to ensure cash remains available to the community.” said Annette Carey, CEO of Linfox Armaguard Group.

“Cash handling and personal cleaning disciplines have been reinforced to maintain clean working conditions, with additional sanitisation and protective clothing for road crew, service technicians and cash handlers. Shifts are staggered to reduce contact between team members in repair and service centres, and the majority of non-operational team members are working from home.

“Our transport crew are taking extra hygiene precautions – wearing gloves, sanitising vehicles and ATMs, and maintaining social distancing requirements,” Annette said.

The good news? There is no evidence that cash is transmitting the novel coronavirus. The World Health Organisation has advised that touching and handling cash and ATMs in public areas is low risk.

In this challenging time, cash should be treated the same way everything is treated. With good hygiene and sanitiser.

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