Types of checks that require two signatures include business checks used for cash disbursements, according to Kreischer Miller. It is also possible to set up personal joint checking accounts featuring checks that require two signatures, says Bankrate.
Oftentimes, dual signatures are only required if the amount of cash disbursed goes over a specified threshold, such as 5,000, says Kreischer Miller. Although dual signatures is a useful tactic for preventing fraud, banks generally don’t check to make sure the dual signature requirement is met, says Olsen Thielen. Banks typically do not accept the liability associated with verifying dual signatures. Therefore, banks consider signature rules to be internal arrangements only subject to internal company or personal oversight.