What is meant by kiting?

the practice of drawing cheques on deposits which are already committed, assuming that the delay in clearing the cheque will allow time to replenish the account. Also called: kiting.

What does kiting mean in gaming?

Kiting is a term primarily encountered in MMORPGs referring to a popular method of killing mobs (monsters) or other players by staying at a distance, using ranged attacks, and running whenever the enemy comes near. Similar tactics may be used in other computer and video games.

How does kiting work?

Carried out within the banking system, kiting typically involves passing a series of checks at two or more banking institutions, using accounts that have insufficient funds. … Before that check clears, they then withdraw the funds from the second bank account and deposit the funds back into the first.

Why is it called check kiting?

The term “check kiting” first came into use in the 1920s. It stemmed from a 19th-century practice of issuing IOUs and bonds with zero collateral. That practice became known as flying a kite, as there was nothing to support the loan besides air.

What is kiting in wow?

The act of kiting, is a combat tactic of a player character keeping a mob or another player at a certain distance, usually out of melee distance but within ranged attack, and luring the pursuer toward their direction while dealing damage at the same time.

Is kiting important lol?

In League of Legends, kiting is an essential offensive and defensive technique for all players, but it’s especially important for mid laners and ADCs to master this mechanic. The goal of kiting is to create distance from your opponent while dealing as much damage as possible.

Is kiting illegal?

The consequences of check-kiting

Check-kiting is illegal and is considered fraud. … Sometimes, if the amount of money is paid back, the bank will allow the account holder to keep the account and perhaps remove some features, such as the ability for the account holder to deposit personal checks.

Is check kiting a federal crime?

Check kiting is a form of federal bank fraud. It involves a circular cycle of writing checks and making deposits from accounts that lack sufficient funds. Because of the delay in clearing transactions, the perpetrator is able to withdraw funds that do not actually exist in the account.

Do banks usually prosecute check kiting?

In the United States, check kites are prosecuted under Title 18, U.S. Code Section 1344, which is defined as obtaining the funds of a federal bank under false pretenses. In effect, a check kite is obtaining an interest-free loan from a bank without the bank’s knowledge.

How do you spot kite?

Indications of a potential check-kiting operation include the following: (1) several accounts owned, or controlled, by the same individual, (2) identifiable patterns of transactions, including deposits, transfers, and withdrawals between those accounts, (3) deposits drawn on other institutions by the same holder of the …

What is kiting and how can it be prevented?

Financial institutions lose millions of dollars annually as a result of kiting schemes. The strongest method for deterring or stopping kiting is observant, alert tellers, and the aid of the computer to detail a list of all items presented for payment that are drawn against uncollected funds.

Is kiting illegal in Canada?

The problem be- came prevalent enough that it was made illegal in certain states of the U.S. by the early 1920s. In Canada, there is currently no provision of the Criminal Code (the “Code”) that specifically addresses kiting.