Cheque fraud

What is cheque fraud?

Cheque fraud is when someone gives you a cheque, they know you can’t cash and will bounce once in the cheque clearing system. There are several types of this scam including:

Counterfeit cheques

These are made to look real by the fraudster, or forged cheques, which are genuine but stolen from somebody else with a fake signature.

Altered or tampered cheque

These might not be noticeable or visible to the naked eye, but will be rejected by the bank.

Making overpayments to you and then asking for the change

A fraudster will pay you using a fake cheque for more than the agreed value, with an excuse for the overpayment. They'll ask you to send back the difference, in cash or an untraceable money transfer and then the cheque will bounce, and the fraudster will vanish.

A few tips on how to protect yourself from cheque fraud: 

• only accept cheques from people you know and trust
• ask for a different means of payment if it involves a lot of money
• use a pen when writing a cheque - write clearly and put a line through empty spaces