Our Returned Checks Audit Work Program provides a structured framework for effectively auditing returned check processing. This tool delivers detailed steps for planning, fieldwork and reporting, ensuring robust oversight and adherence to best practices. It guides you in assessing controls and procedures related to debits, overdraft prevention mechanisms, compliance with relevant legal requirements, and the accurate application of charges to returned checks.

Within this tool, you will find procedures for reviewing both outward and inward returned checks, verifying authorized approvals, scrutinizing accounts with frequent issues, and ensuring timely client notification of unpaid checks. It can also help you drive compliance with management guidelines for fund availability and unusual transaction monitoring and create more comprehensive audit reports and conduct closing meetings with management. By providing structured steps and evaluation criteria, this tool assists in identifying risks, improving processes and ensuring continuous compliance.

Audit steps include:

• Create summary scorecards for each process reviewed.
• Create the internal audit report (including a compilation of findings resulting from the work performed) using the standard report template.
• Hold closing meetings with key company management to review draft internal audit reports and findings.
• Publish and distribute a final report.