THIS NEW FRAUD WAVE IS SPREADING – SOME THOUGHTS

If you're still mailing checks to pay bills, read my warning and get a special pen you only use when writing checks. Why? Check fraud had doubled in the past year. It's so bad that the U.S. Department of the Treasury's Financial Crimes Enforcement Network (FinCEN) wants Americans to stop mailing checks entirely. 

Fraud business is booming: Last year, banks issued around 680,000 reports of check fraud to FinCEN. That's a significant jump from 350,000 in 2021. The USPS received 300,000 complaints of mail theft in 2021, more than twice the 2020 total. 

The new check mafia: Checks are old school, but these fraudsters are sophisticated. Criminals get into U.S. postal boxes and pick up envelopes that look like checks or bill payments. Through check washing, a crook then alters the payee's name so they can cash it for themselves. 

Some criminals take things a step further and use data from checks to find more information on their victims. They create fake identities, open credit lines, or even start bogus businesses. 

There's a low-tech trick that works: If you need to write a check, use a security pen, aka a special check-washing pen. The Uniball 207 Series pens use formulated ink that bonds to paper, making it difficult for criminals to erase it from checks. This is the only pen I use when writing checks. 

Other smart steps to take…

• Monitor your accounts

• Be direct

• Secure your personal information

• Limit the amount of information on your checks

• Use digital money

• Secure your mail

This document is designed for general information only. The information presented in this document should not be construed to be formal legal or tax advice nor the formation of a lawyer/client relationship. 

For more information on this and other topics, please contact Kevin via any of the channels listed below:

📧 kevin@kmckernan.com  | 📞 718-317-5007