- What is a fake check scam?
- What are the warning signs?
- What are the most common types of fake check scams?
- How can I tell if a check or money order is counterfeit?
- How do the scammers find victims?
- If I can get the cash, doesn't that mean the check or money order is good?
- Why can’t my bank, credit union, or check cashing service tell if the check or money order is good?
- Why do the scammers want cash to be sent using a money transfer service?
- How much could I lose in a fake check scam?
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7. Why can’t my bank or credit union or the check cashing service tell if the check or money order is good?
- When you deposit a check or money order, federal law requires you to have access to the funds within one to five days, but the actual processing takes longer.
- Banks, credit unions, and check cashing services accept checks and money orders based on your identification. They don’t have any information about the source.
- Because the check or money order goes back to the source, it can take a while for counterfeits to be discovered. For instance, if a check seems to come from a business account, the business may not learn about it until it appears on its next bank statement.
- You’re responsible because you’re in the best position to determine the risk of accepting the check or money order – you dealt with the person who gave it to you.
