Unfortunately, the likelihood of falling victim to a scam has drastically increased in recent years. One current scam to be particularly vigilant about is check washing. This deceitful practice involves scammers stealing checks and using chemicals to erase the ink, allowing them to rewrite the checks for fraudulent cashing. Criminals now employ high-quality printers and graphic design software to create convincing counterfeit checks. According to the Better Business Bureau, check washing can add up to approximately $815 million a year in losses.
Who are they targeting? It's everyday consumers, especially those who mail or leave checks in unsecured locations. Small businesses issuing many checks are also at significant risk from these fraudulent activities. Seniors, who often rely more on checks than digital banking and may be less familiar with online security measures, are particularly susceptible. To protect yourself and your finances, it is crucial to recognize the signs of check washing.
Red Flags to Look Out For: Key things to watch out for are unusual account activity, missing checks that you sent but were never cashed, and any tampered mail. Some steps that can be taken to secure your finances include hand-delivering checks in person to avoid postal theft, dropping off your mail at the post office, monitoring your accounts regularly, and using gel pens that are resistant to most washing chemicals.
Go Paperless: Switching to electronic payments and using online banking for convenient and secure online bill payments reduces reliance on physical checks, enhancing your security. And you can utilize online and mobile banking to review your account statements for any unauthorized transactions.
Taking these precautions and utilizing the right digital banking tools can significantly lower the chances of being a victim of check washing and other financial scams. Always stay alert and take steps to safeguard your financial well-being.