What are some reasons a customer would suffer a loss with a substitute check if the substitute check has the legal equivalent of the original? I am having a hard time coming up with scenarios on this, other than posting the original plus the IRD.

Here are a couple:
- What if the audit trail information is lost during IRD reconversion? You know the returned NSF check was deposited to your commercial customer's account but the customer can not make out a stamped endorsement or dot matrix audit trail that they placed on during their posting process.
-Security issues (that are best discussed in another forum).
-What if the image is bad (or worse yet missing) from the IRD? Now your customer needs proof of payment for the IRS

I am sure there are more so it will be interesting to see other responses.

An incorrect amount for the item could be transmitted.