How Do Banks Independent Registries Prevent Counterfeiting of Certificates?
With an easy and self-explanatory verification system (available online and/or by phone), buyers and sellers can know instantly (before a transaction is completed) the validity of any given certificate. The system prevents counterfeiting. In short, by maintaining a chain of custody, the bank keeps good records and verifies certificates. Every certificate is assigned a unique number by the issuing bank. And every time a certificate is about to be used, the seller simply logs on to the applicable bank registry website (or telephone system) listed on the certificate. The system asks for the certificate number, and the buyer’s last name. By this process, the certificate is verified, and as the seller reports the sale to the bank, the certificate continues to be automatically tracked in commerce by the bank. In the event two certificates bearing the same number are ever identified (because of a last name discrepancy), an automatic hold is placed on such certificate number, requiring the bea
