Types of Cashier’s Check Scams

Some common cashier’s check scams that have recently been done is getting someone to deposit a fake check and wire transferring the money back to the scammer. Here are the common scams to look out for:

• Mystery Shopper Scams: The mystery shopper scam is when someone says they will pay mystery shoppers to make purchases and promising to wire transfer money to a third party user. Be aware of phone calls from unknown recipients.
• Craigslist Scams: Craigslist scams is when someone offer to purchase a product or service from you through a deposit using a cashier’s check. These cashier’s check may be  fraudulent so be aware of people trying to pay using this method.
• Work-From-Home Scams: Be aware of any home-based jobs that offer to pay you money directly to your account. For these common scams, the scammer will typically send the remote worker a check and asks the worker to deposit it into their personal account and wire the additional money to the scammer or a third party.

Are Cashier’s Checks Safe?

Most of the time, cashier’s check are a safe bet. In fact, they’re usually a preferred method of  payment for large transactions like real estate or cars. They’re also useful for transactions with individuals you haven’t done business with before.

Because cashier checks are safe, they can be used for fraud since people trust them so much. Be sure to verify the bank and the person that is sending you money. If someone is offering or asking for something unusual, then the check has a good chance of being fraudulent.

How To Verify a Cashiers Check

To avoid becoming a victim of fraud there are several steps you can take to protect yourself such as:

• Do not accept check if it is over the purchasers price
  • A common cashiers check scam results from someone overpaying for online purchases, if you receive a cashiers check for more than the purchase price do not accept.
• Check for watermark, micro-print, or other typos
  • Generally cashier checks include specific features regarding the bank, so if its missing the check may be a scam.
• Check with the issuing bank and verify with sender

You can read about what a Cashiers check is here.

How To Report Cashier’s Check Scams

If you become a victim of a Cashier’s Check Scam, it is best to notify your bank as soon as possible.

In addition, the Federal Trade Commission recommends filing all scams or frauds with:

• The FTC
• Your state attorney general
• The U.S. Postal Inspection Service

Conclusion

Verifying your a cashiers check is important before you cash it, and there are variety of ways to check. This is a good way to learn how to protect your money.

Let us know in the comment section below if it did! If you don’t have a savings account, see our best savings account section. Looking to add a little extra income each year? If so, see our list of the best bank deals!