Check Fraud Spikes 400% in 2023—Here’s How Thieves Are Stealing Billions From Your Mailbox

Financial experts are reporting an alarming rise in check fraud scams this 2023. At the time, crime rates in such instances increased to 400%. Thieves siphoned off a staggering $26.2 billion from unsuspecting victims across the United States.

Despite the increasing incidence of high-tech scams like crypto catfishing and AI deepfakes, old-school check fraud has proven just as effective – although more catastrophic in its impact on individuals and banks.

The Evolution of Check Fraud


Check Fraud Spikes 400% in 2023—Here’s How Thieves Steal Money

Money Knack/Unsplash

It is hard to imagine how something as old-fashioned as check fraud could resurface and make a major comeback, but fraudsters have found new ways to exploit these old-school methods. According to the Financial Crimes Enforcement Network or FinCEN, one tactic that criminals are using is to purchase universal keys that can open any USPS drop box or purchase books of blank checks from the Dark Web.

Others just target unsuspecting victims by swiping checks directly from their mailboxes.

Once they have the checks in hand, criminals use household chemicals such as acetone to remove the original ink so that they can rewrite their own checks with enormous amounts. They either put the changed checks in an ATM or deposit them using bank apps so that money goes into their account instantly before the bank can trace any possible fraudulence.

Once the money is available, fraudsters are off and running, using the embezzled cash to purchase everything from luxury goods to real estate investments.

Read More:
Humane’s AI OS, CosmOS, Promises to Change Your Smart Devices Forever– Will It Live Up to the Hype?

What Are Banks to Combat Check Fraud?

As check fraud becomes more rampant, banks are stepping up their efforts to fight back. To prevent fraud, many financial institutions have implemented stricter deposit policies, including longer hold times on deposited checks.

This means that if you’ve noticed that your funds are taking longer to clear, it’s likely due to banks taking extra precautions to verify deposits and ensure they aren’t fraudulent.

Recently, a glitch on TikTok exposed how vulnerable J.P. Morgan’s instant access is, and bad checks were deposited fraudulently, leading to lawsuits. It shows how check fraud has grown and is in a constant evolution, including that between banks and criminals.

Practical Ways to Defend Yourself from Check Fraud

Fortunately, there are some simple, effective steps you can take to avoid falling victim to check fraud, according to USA Today.

  • Invest in a USPS-approved locking mailbox that protects your sensitive mail from opportunistic thieves. A locked mailbox may give an extra layer of security, ensuring criminals don’t even bother trying to steal your checks before they get to you.
  • Keep tabs on suspicious activity by setting up notices on transactions. Alerts on large withdrawals or unexpected charges can inform you about potential fraud early enough, giving you the necessary time to act.
  • Send checks through Zelle, Venmo, or PayPal, or use an ACH transfer for repetitive bills, and reserve your USPS mailbox for emergency mail. In the event, you really need to send a paper check, mail it from an inside post office, not from your mailbox.
  • Sign up for USPS-informed delivery. This free service from USPS lets you track your incoming mail and receive advance notifications of when it is scheduled to arrive. It’s a great way to catch missing or tampered mail before it becomes a bigger issue.
  • Use fraud-resistant pens. These fraud-resistant pens are specifically designed to prevent criminals from altering the ink in your personal checks.
  • Related Article:
    International Botnet Scheme: Chinese National Charged in Global Cybercrime Network

    Rate article
    Add a comment