What Are Check in the Mail Scams?

Check in the mail scams occur when fraudsters send victims physical checks through postal mail, typically accompanied by convincing stories or offers that seem too good to refuse. These checks appear authentic, often featuring legitimate-looking bank information, watermarks, and even security features that make them difficult to distinguish from genuine checks.

The common scenario involves receiving an unexpected check with instructions to deposit it and then send a portion back to the sender or to a third party. What victims don't realize is that while banks may initially make funds available from these deposited checks, they will eventually discover the check is fraudulent—sometimes days or weeks later—and reverse the deposit, leaving the victim responsible for any money they've sent out.

How Check in the Mail Scams Operate

These scams exploit the time gap between when you deposit a check and when your bank confirms it's legitimate. When you receive and deposit a fraudulent check, your bank may make some funds available immediately due to federal regulations requiring prompt access to deposits. This creates a false sense of security that the check has cleared.

The scammer's instructions typically include urgent reasons why you need to wire money or purchase gift cards quickly. Common scenarios include lottery winnings (where you pay 'taxes' or 'fees'), mystery shopper opportunities (where you evaluate money transfer services), overpayment scams (where a buyer sends too much for an item and requests a refund of the difference), or job offers (where you're paid in advance but need to purchase equipment or supplies from specific vendors).

By the time your bank determines the check is fraudulent—which can take up to two weeks—you've already sent real money to the scammer. At this point, the bank will reverse the deposit amount from your account, and you become responsible for any funds withdrawn against that check.

Common Types of Check Scams to Watch For

Several variations of check scams target different vulnerabilities. The lottery or sweepstakes scam claims you've won a prize but must pay fees or taxes via wire transfer before receiving your winnings. The check they send to cover these costs will eventually bounce.

Mystery shopper scams offer employment evaluating retail or financial services. You receive a check with instructions to deposit it, keep some as payment, and wire the rest to evaluate money transfer services. The original check is worthless.

Overpayment scams target sellers on online marketplaces. A buyer sends a check for more than the asking price of an item and requests the difference returned via wire transfer. By the time you discover the original check was fake, your money is gone.

Rental property scams involve potential 'tenants' sending excessive deposits then requesting a partial refund before moving in. Employment scams offer remote work opportunities but require you to purchase special equipment from their 'approved vendors' using funds from an advance payment check that will ultimately prove fraudulent.

How to Protect Yourself from Check Scams

The Federal Trade Commission recommends several strategies to avoid falling victim to check scams. Never spend funds from a check until your bank confirms it has cleared—not just that the funds are available. This verification process can take up to two weeks for some banks.

Be extremely suspicious of any situation requiring you to wire money back to someone who has sent you a check. Legitimate businesses and government agencies don't operate this way. If someone insists you must wire funds quickly, it's almost certainly a scam.

Research unfamiliar companies before accepting checks from them. The Better Business Bureau can help verify legitimate businesses. For sweepstakes or lottery notices, contact the organization directly using information from their official website, not from the letter or check you received.

If selling items online, consider secure payment methods like PayPal or credit cards rather than checks. Never accept checks for more than your asking price. Be particularly wary of checks from foreign banks or that appear to be from foreign lottery organizations, as these take even longer to verify and are often fraudulent.

What to Do If You Suspect a Check Scam

If you believe you've received a fraudulent check, report it immediately. Contact your local police department and file a report with details about how you received the check and any communications with the sender. Report the incident to the Federal Trade Commission through their complaint portal.

If you've already deposited a suspicious check, notify your bank immediately. While you may still be responsible for funds drawn against the check, early reporting can sometimes help limit damages. Preserve all evidence, including the original envelope, any accompanying letters, and all communications with the sender.

For online marketplace scams, report the incident to the platform where the transaction originated. Sites like eBay and Craigslist have specific procedures for reporting fraudulent buyers and sellers. The U.S. Postal Inspection Service also investigates mail fraud and has resources for victims of check scams delivered through the mail.

Conclusion

Check in the mail scams persist because they exploit both human psychology and the technical aspects of our banking system. By understanding how these scams work and recognizing the warning signs—unexpected checks, pressure to act quickly, requests to return money, and improbable scenarios—you can protect yourself from becoming a victim. Remember that legitimate opportunities rarely involve sending you unexpected funds and then requesting money back. If you receive an unexpected check, take the time to thoroughly verify its authenticity before taking any action, and never wire money to someone you don't know. When in doubt, consult with your bank's fraud department or local consumer protection agencies for guidance.

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This content was written by AI and reviewed by a human for quality and compliance.