What are Some Different Kinds of Check Fraud?
Check fraud is an illegal crime that can take place in a number of different ways. Some of the schemes that qualify as check fraud are very simple, while others are much more complex. Here are a few examples of the different kinds of check fraud and how they work. One of the most common kinds of check fraud employs a technique known as check washing to alter the face amount of the check. As an example, an account holder writes out a check in the amount of a thousand US Dollars (USD) The recipient of the check uses techniques to alter the check so that the payable amount becomes ten thousand USD. Because the check is an identifiable original instrument of the account holder, and the authorizing signature is obviously valid, banks would have no reason to suspect a problem with the check. Assuming that the account has enough funds to clear the altered check, the recipient can then take the money and run. The hapless account holder does not become aware of the fraud until after the fact. A
