A new study by the Better Business Bureau shows how fake check scams bait consumers. It looks into the scope of the problem and who is behind it. It also looks at the need for law enforcement and consumer education.
The study is entitled: “How fake check scams bait consumers.”
“Fake check scams are on the rise. They’re used in a variety frauds, ranging from employment scams to prize and sweepstakes frauds.”
That’s John Masterson, Director of Marketing Better Business Bureau of Western Michigan. He says the Better Business Bureau’s new study shows younger adults are victimized more than others… he says the scams generally start with a mailed letter.
“In all cases the victims deposits the check send money back to the scammer. That’s when the money disappears and so does that scammer with that money.”
Masterson says their study is an effort to raise awareness among consumers.
“Just because someone says you won something, or they’re paying you, you’re still receiving this payment from an unknown source and typically these checks are fraudulent, and are intended to get you, the consumer to deposit them, send out money and then you’re on the hook both for the fake check and the money you sent out to the scammer.”
Masterson also says if it’s a cashier’s check or money that doesn’t mean it’s a safe bet. He says reports shows that you could still be liable if in a week or so, the check bounces. Per the study, consumers between 20 and 29 are the biggest victims… For our part, Masterson says we should keep our eyes peeled for random checking or routing numbers, misspellings and the like. And make sure the checks clear. He adds the study reveals more enforcement is needed.
“We’re calling on international, local and national authorities to realize this is an issue, going semi unchecked and it’s something that we can really be proactive about helping to stop.”
