I deposited several checks/money orders that were fraudulent or did not clear. The bank took the money from my checking account and then froze and/or closed my account. Can it do this?

Yes. Depending on the circumstances, you may be held responsible for the entire amount of the fraudulent check or money order that you cash at the bank or deposit into your account. Generally, banks may close accounts, as […]

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I cashed a check at my bank that was found to be fraudulent. Doesn't the bank have insurance to cover the loss so that I don't have to repay the bank?

No. Federal Deposit Insurance Corporation (FDIC) deposit insurance does not cover losses due to theft or fraud. Depending on the circumstances and your state's laws, you may be held responsible for the entire amount of a […]

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I was passed a fraudulent cashier's check. What should I do?

Contact your bank immediately. You should also report the fraud to the appropriate authority. Cashier's checks have become an attractive vehicle for fraud when used for payments to consumers. It may take weeks to discover […]

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I deposited a check/money order into my account, but the bank later told me it was fraudulent. I had already used some of the funds, and now my account is overdrawn. The bank says that I am liable for the entire amount. Is this true?

Not necessarily. Generally, if your bank credited your account, it can later reverse the funds if the check is found to be fraudulent. You should check your deposit account agreement for information on the bank’s policies […]

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A company sent me a check that supposedly was for lottery winnings. The company told me to cash the check and to return some of the money to cover processing fees. I deposited the check, but it turned out to be fraudulent; the bank then stated that I had to repay them. What can I do?

If your bank gave you credit for a check that is found to be fraudulent, the bank can reverse the funds from your account. As the payee of the fraudulent check, you must pursue the maker of the check if you wish to seek […]

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I received correspondence or a solicitation from a company (non-banking company not affiliated with a national bank or federal savings association). How can I tell if this company is legitimate?

We suggest that you contact your state's attorney general or financial services regulator, the Federal Trade Commission (FTC) at (877) 382-4357, or the Consumer Financial Protection Bureau (CFPB) at (855) 411-2372. The […]

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Can the Office of the Comptroller of the Currency (OCC) check my Social Security number for fraudulent credit activity?

No. The OCC does not monitor individuals' consumer credit information for fraudulent activity. If you have specific concerns about fraud related to your Social Security benefits, visit the Social Security Administration's […]

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What is check washing?

Check washing is a form of check fraud. It involves the use of chemicals, such as bleach or acetone, by a thief to “wash” a check or money order stolen from the mail to change the amount and payee to steal money from your […]

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What else might happen after the check fraud occurs?

Criminals can use your personal identification information to open accounts, including loans and lines of credit, using a fake name.  The thieves can sell the blank signed check.  

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How did the criminals get access to my check?

Criminals target U.S. Mail blue collection boxes, residential mailboxes, and cluster boxes found at apartments, neighborhoods, and commercial buildings.

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Is check washing done by an individual or a group?

The thief or thieves may be individual or a larger organized crime group.

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Where can I obtain more information about check fraud or check washing?

For more information, view our frequently asked questions about fraud.

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Am I liable for a washed check?

Your bank would need to review your claim to determine liability. Be sure to report suspected fraud as soon as possible. Review your account agreement for your bank’s policies and reporting timeframes.

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What steps can I take to reduce the risk of being a victim of check washing?

You can: Drop mail inside of the post office instead of a mailbox. Follow up with the payee to confirm that they received your check. Join identity theft protection services. Make payments online using other means, […]

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What type of checks are being stolen?

Criminals generally target the U.S. Mail to steal personal checks, tax refund checks, government checks (such as Social Security or unemployment), business checks, and money orders.  

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What information does the U.S. Postal Inspection Service have on check washing?

Information that explains how to protect yourself from check washing and how to report a scam is available at Check Washing – United States Postal Inspection Service (uspis.gov).

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How do I make a claim of identity theft?

Contact your bank, the credit reporting agencies, and your local police. Review information about ‘Identity Theft’ at HelpWithMyBank.gov – Get Answers to Your Banking Questions. You can also file your complaint with the […]

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What should I do if I’m the victim of check fraud?

Contact your bank immediately and file a police report. Consider placing a fraud alert and security freeze on your credit report by contacting the credit reporting agencies (Experian, TransUnion and Equifax). Contact your […]

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Where else can I report fraud?

 You can report fraud to the Federal Trade Commission, the U.S. Postal Inspection Service, and your state’s Attorney General.

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