· Don’t accept a cheque, or bankers’ draft, from someone unless you absolutely know and trust them. Be especially wary when accepting a high-value cheque, for instance if you are selling a car.

· Be aware that, even after the value of the cheque has been credited to your account, there is a risk that the money could be reclaimed if the cheque subsequently turns out to be stolen or counterfeit.

· Always consider other ways of acepting payment for high-value items – an Internet or telephone banking payment or a CHAPS payment. There is a charge for a CHAPS payment but it is a highly secure, guaranteed same-day value payment. If the buyer is unwilling to pay the relatively small cost involved – or to split it with you – then you really do need to be on your guard.

· Keep your chequebook in a safe place, report any missing cheques to your bank immediately and always go through your bank statement thoroughly.

Banks will examine each case of cheque fraud on an individual basis but, generally speaking, if you are an innocent victim of cheque fraud who has had a cheque or chequebook stolen and used fraudulently you will be refunded by your bank. However, if you have accepted a cheque or bankers' draft that turns out to be fraudulent, your bank is likely to reclaim the funds.

If you are a victim of cheque fraud or would like more information, contact your bank for advice or refer to your bank’s terms and conditions. The British Bankers’ Association (www.bba.org.uk) and Metropolitan Police (www.met.police.uk) both have information and facts about cheque fraud on their websites. If you are concerned about the most suitable payment option, your bank should be able to offer you advice.