Check Washing
05/08/2024
Check Washing
Check washing has become a common means for criminals to commit fraud. Unfortunately, consumers need to be increasingly aware of how they remit payments or send money to family and friends.
What is Check Washing?
Check washing is when a criminal intercepts a victim’s check and changes the details so they can steal funds. Criminals usually gain access to these checks through the mail. Sometimes the criminal will steal checks left in mailboxes for the postal service. Other times they will take collection box keys from postal workers and then steal checks out of collection boxes. USPS reported more than 25,000 collection boxes had been compromised in the first half of 2023 (USPS). Other times, criminals will strategically fish mail from the collection boxes.
Once the criminal has gained access to these checks, they then “wash” them of their original information. Using chemicals like bleach or acetone, they will remove the intended recipient of the check and even the original amount the check was written for. All the while, they leave the original signature of the victim to make it appear more legitimate.
From there, the criminal can write the check to themselves, a false identity, or even sell the washed check to other criminals. The most common reason people write checks these days is because of high dollar transactions such as construction expenses, car sales, and legal expenses. Criminals rely on the victim either not noticing the change in recipient until the original vendor calls to report non-payment, or simply not noticing the change in amount being drawn from their account.
How to Protect Yourself
With the increase in check related crime, consumers are encouraged to take extra precautions when sending checks. Below are some helpful ways you can protect yourself against check fraud:
Get Mail Quickly Instead of letting your mail sit for days, especially while you are on vacation, make sure you collect your mail as quickly as you can after delivery. If you are on vacation, have the postal service hold your mail at their facility.
Write Checks with Gel Pen Experts say that gel pens soak into paper more and, therefore, may be harder for criminals to remove.
Pay Bills Online Many banks and businesses have easy and effective online bill payment technology. If your vendor allows online payments, consider using these services. Always make sure to verify the website and check for the https:// that denotes an encrypted payment portal.
Deliver Checks Directly to Postal Services As noted before, criminals target postal collection boxes and home mailboxes. Instead of leaving checks in these places for your mail carrier, take them directly to a clerk at your local mail service. This way you know exactly who handles your check.
Monitor Your Bank Account If you have recently paid someone via check, keep an eye on your bank account. Make sure you have a record of who and how much you paid for every check. If you see something that looks fraudulent, immediately contact your bank to report the fraud.
Check fraud is no joke and can sometimes lead to bigger problems, like criminals selling the information on your checks to other criminals. If you uncover fraudulent checks on your account, immediately contact your bank and work with them to secure your account.
Sources:
https://www.uspis.gov/news/scam-article/check-washing
https://www.bbb.org/article/scams/28998-bbb-scam-alert-protect-yourself-from-check-washing