Stop mailing checks and use a special pen when writing checks
If you’re still mailing checks, now would be a good time to go paperless. New reports show that check fraud has doubled in the past year, thanks to organized crime. Things are so concerning that the Financial Crimes Enforcement Network (FinCEN) warns Americans to stop mailing checks completely.
Need a reason or two to start paying bills online? Keep reading to catch up on the latest stats and steps to protect yourself.
The fraud business is booming
In 2022, banks issued around 680,000 reports of check fraud to FinCEN. That’s a significant jump from the 350,000 reports logged in 2021. The USPS reported 300,000 complaints of mail theft in 2021, which was more than double the amount from 2020.
Although the use of paper checks has been on the decline for years, criminals are still targeting the mail to fuel their scams. People might be writing fewer checks, but the amounts on those checks have increased. The current average check amount is $2,652 compared to $673 in 1990 (or $1,602 in today’s dollars).
Smooth criminals
So, how do these crooks get away with it? Criminals go on a little fishing trip to U.S. postal boxes to steal mail or identify information. They typically target envelopes that look like checks being mailed or bill payments.
Check washing is the most common type of check fraud. This is where a crook steals a check from the mail and alters the payee’s name so they can cash it. They often change the amount of money as well.
These days, some criminals are taking it a worrisome step further. They’re taking the data from checks and using it to get even more sensitive or personal data on their unsuspecting victim. Bad guys creating fake identities, opening lines of credit or even starting up fake businesses have all been reported.
Pay safe, stay safe
If you need to write a check, use a security pen, also known as a check-washing pen. Uni-ball 207 Series pens (4 for around $10 on Amazon) use specially formulated ink that gets trapped into the paper, making it difficult for criminals to wash or erase the ink on a check.
Here are more clever steps to take:
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