I think the article glosses over the fraud aspect a lot. I would expect these places to be prime targets for all kinds of fraud. I'm surprised personal checks a

I think the article glosses over the fraud aspect a lot. I would expect these places to be prime targets for all kinds of fraud. I'm surprised personal checks are accepted at all and (if the example in the article is realistic) so cheaply. They have to manage that somehow beyond a reputation system. Part of it might be the legal system - I believe check fraud is seen as more serious, with much higher penalties, in many countries, specifically because the system of checks wouldn't work without it.