What Does a Fake Check Look Like?

Fake checks pose a persistent threat, often appearing legitimate and difficult to distinguish from genuine instruments. Recipients can face significant financial losses, including overdraft fees, bank penalties, and the responsibility to repay funds spent from a fraudulent deposit. Understanding the deceptive nature of these documents is a primary defense against falling victim to such schemes.

Common Characteristics of Fake Checks

A check’s authenticity can be revealed by several indicators. Poor print quality (blurry logos, uneven ink, misaligned text) is a common red flag. The paper might feel flimsy, have an odd texture, or be discolored, unlike authentic high-quality stock. Genuine checks typically feature at least one perforated edge; fakes may have all smooth edges or irregular perforations.

Bank information provides clues. The bank name might be generic, misspelled, or belong to a non-existent institution. A routing number, a nine-digit code identifying the financial institution, should be at the bottom left of the check and typically begins with 0, 1, 2, or 3. Its structure: first four digits identify the Federal Reserve routing symbol, next four pinpoint the financial institution, and the last digit is a check digit. Incorrect digits, an invalid sequence, or a routing number not matching the bank’s location are strong indicators of fraud.

Payee and payer details expose irregularities. Misspelled names, generic company names, or residential addresses for a large corporation should raise suspicion. The check number, usually in the upper right-hand corner and repeated in the Magnetic Ink Character Recognition (MICR) line, should be consistent. A check number that seems out of sequence, unusually low (e.g., 101-400 for personal checks), or duplicated may indicate a fraudulent item.

Legitimate checks incorporate security features to deter counterfeiting. These include microprinting (tiny text in areas like the signature line or borders, readable only under magnification). Watermarks (subtle images embedded in paper visible when held to light) and security threads are common. MICR line characters, printed with special magnetic ink, should be dull and flat; if shiny or raised, the check is likely fake.

Typical Scams Involving Fake Checks

Fake checks are central to scams tricking individuals into sending money to fraudsters. In overpayment scams, a scammer sends a check for an amount exceeding the agreed-upon sum for goods or services. The scammer instructs the recipient to deposit the check and wire back the “overpaid” difference. This leaves the victim responsible when the original check inevitably bounces, exploiting check clearing delays.

Mystery shopper scams involve individuals “hired” to evaluate money transfer services or retail stores. They receive a fake check, deposit it, and use funds to purchase gift cards or wire money to an associate as part of their assignment. By the time the fake check is identified, the victim has already sent real money to the scammer.

Lottery or sweepstakes scams notify victims of large winnings, sending a check for supposed “taxes” or “fees.” Victims deposit the check and immediately wire these fees to claim winnings. The prize money never materializes, and the victim loses the wired funds plus any bank fees from the fake check.

Online purchase or rental scams use fake checks for payment. A buyer or renter sends a fraudulent check, often for more than the asking price, requesting the seller return excess funds. This tactic targets individuals selling items or seeking to rent property, resulting in financial loss for the seller or landlord.

Job offer scams involve fake checks as “advance payments” for supplies, training, or relocation expenses to new employees. These checks are often for a larger amount than necessary; the new hire is asked to return the surplus via wire transfer. The victim unknowingly sends money to the scammer, believing it is part of a legitimate employment process.

Verifying a Check’s Authenticity

Confirm a check’s legitimacy before acting. Contacting the bank listed on the check is the most direct method. Find the bank’s official contact information independently (e.g., on their website or a trusted directory). Do not rely on phone numbers printed directly on the suspicious check, as these can be fraudulent. Inquiring with the issuing bank about the check’s validity provides crucial information.

Understanding the difference between “available” and “cleared” funds is important. Banks generally make the first $225 of a deposited personal check available by the next business day; the full amount typically takes one to two business days to clear. For larger amounts or new accounts, banks may place longer holds (several business days or weeks) to ensure funds are genuinely available. Spending money from a check before it clears carries the risk of incurring bank fees if the check is later discovered fraudulent and returned unpaid.

Financial institutions offer resources or advice on check verification. This includes checking routing numbers against official databases to confirm correspondence with the stated bank. Some banks have specific policies and cut-off times for deposits, affecting when funds become available. Awareness of these policies and depositing checks during business hours can help streamline the verification process.

Actions to Take When You Suspect a Fake Check

If a check raises suspicions, do not deposit or cash it. Depositing a fake check, even unknowingly, can lead to significant financial repercussions: bank fees and the obligation to repay your bank for any funds withdrawn. Your bank will likely hold you responsible for the full amount of the fraudulent check if it is returned unpaid.

Report the suspicious check to your bank promptly. Informing them allows protective measures and advice on next steps. Your bank can often help identify the check as fake and prevent potential losses.

Reporting scams to relevant authorities helps combat criminal activities. The Federal Trade Commission (FTC) provides ReportFraud.ftc.gov for reporting fraud, scams, and unfair business practices. If received via mail, contact the U.S. Postal Inspection Service (USPIS). For online scams (e.g., email, social media), the Internet Crime Complaint Center (IC3), a division of the FBI, is the recommended reporting channel.

Maintaining thorough records is prudent. Keep the suspicious check and any related correspondence (emails, texts, mailing envelopes). These items serve as evidence, crucial for authorities investigating the scam. Providing comprehensive details to your bank and reporting agencies can aid their efforts in tracking down perpetrators and protecting others.