If I might weigh in with my own experience - we dealt a few years ago with a start up and put together a special program for him - IN order for him to turn and immediately receive cash against the checks (generally foreign) that he deposited, he put up a collateral CD. We asked him not to take checks payable to businesses and no third party checks. We also suggested, but did not require, that he only take checks issued from banks in this area. We showed him how to call banks and check to see if funds were available at the time he was taking the check - etc, etc, etc - I think we also turned him onto an association web-site. Came down to it- his loss rate was actually pretty low - where he got into trouble a couple of times was I think he got 'blinded' by potential fee income on a large item, and got burned - even though he admitted later - 'I knew something was up' - Now for the short version - if you're not familar with dealing with Check Cashing stores, you will probably want to educate yourself before dealing with them - between the large amount of items coming in and the cash they require, it can be a headache - in our situation we (the bank and the store) mutually agreed upon some guidelines and made it work!!!
My comments are absolutely no reflection of, nor influenced by, my employer - take them at your own risk.