Bank Scam Involving Stolen Cheque?
Discussion
Hi,
I know this is a scam, but still have a question.
On Friday 28/1, I quoted a new customer and they wanted to order, so I sent a pro forma invoice for £5200.00. Today I look at my business online banking and a cheque has been paid in on Friday for £15,838.00.
The customer emails this morning explaining "that their accounts department paid the wrong invoice" and can they have refund of the extra!!
Customer claims to be in Hull, but English isn't their first language.
I suppose this one works by hoping that the victim will make a quick refund of the extra £10k, and then cancel the cheque as stolen?
Does anyone know how long after paying in a cheque, it can be cancelled? I called HSBC and they don't have a timescale for this.....
Thanks
I know this is a scam, but still have a question.
On Friday 28/1, I quoted a new customer and they wanted to order, so I sent a pro forma invoice for £5200.00. Today I look at my business online banking and a cheque has been paid in on Friday for £15,838.00.
The customer emails this morning explaining "that their accounts department paid the wrong invoice" and can they have refund of the extra!!
Customer claims to be in Hull, but English isn't their first language.
I suppose this one works by hoping that the victim will make a quick refund of the extra £10k, and then cancel the cheque as stolen?
Does anyone know how long after paying in a cheque, it can be cancelled? I called HSBC and they don't have a timescale for this.....
Thanks
Many moons since I worked in banking, but there's no time limit. If a 'crime' has been committed, the bank has to do everything in its power to put things 'right' and recover the money no matter when they are told of such activities.
This is not (usually) about a cheque bouncing through insufficient funds in the account, the cheque will likely clear and be subsequently reported stolen (unless they are real chancers hoping for a refund before a bounce). If you stall "our payment cycle is 29th of the month" (or as long from now etc) or "it's been flagged by fraud" then the customer may also sit and wait their end for it to apparently be cleared and then miraculously discover the cheque was stolen.
It will probably cost you a few quid, but a copy of the cheque can be requested which might give you some insight (or if written by an unrelated company - could contact them). You could offer to refund to the account details on the cheque - probably rule out 90% of this type of scam (do not do this, but it might call their bluff).
Sometimes the cheques are drawn on international banks (but in sterling) as this takes longer to get through the system, but your bank may show as cleared before the full process.
Again I'll just add it's been a l.o.n.g. time since I worked in the sector.
ETA: Just tell them to cancel it from their end, and make a bank transfer for the correct amount. Or maybe ask for a bank transfer of the correct amount and then you'll refund the original deposit (of course you won't).
This is not (usually) about a cheque bouncing through insufficient funds in the account, the cheque will likely clear and be subsequently reported stolen (unless they are real chancers hoping for a refund before a bounce). If you stall "our payment cycle is 29th of the month" (or as long from now etc) or "it's been flagged by fraud" then the customer may also sit and wait their end for it to apparently be cleared and then miraculously discover the cheque was stolen.
It will probably cost you a few quid, but a copy of the cheque can be requested which might give you some insight (or if written by an unrelated company - could contact them). You could offer to refund to the account details on the cheque - probably rule out 90% of this type of scam (do not do this, but it might call their bluff).
Sometimes the cheques are drawn on international banks (but in sterling) as this takes longer to get through the system, but your bank may show as cleared before the full process.
Again I'll just add it's been a l.o.n.g. time since I worked in the sector.
ETA: Just tell them to cancel it from their end, and make a bank transfer for the correct amount. Or maybe ask for a bank transfer of the correct amount and then you'll refund the original deposit (of course you won't).
Edited by 22 on Monday 30th January 10:51
jbswagger said:
Thanks,
So it doesn't have to be a stolen cheque? Could just be a legit one, but bounce?
Oh sorry, term of phrase.So it doesn't have to be a stolen cheque? Could just be a legit one, but bounce?
I believe it can clear then be reported as stolen, fraudulant, that sort of thing.
Years ago, my old man was selling a car. Very interested punter from abroad. Asked all the right questions that implies he's legit. All contact via email, with 1 phone call (in good German English).
At last minute, he says business commitments can't fly over, can we ship. Sends payment through with additional 500 quid to give to the shipping company, they'll handle the rest.
At this point, the alarm bells are ringing big time. Old man contacts the bank - payment is fraudulant from a company the scammer seems to work for. They say leave it well alone and it'll come out of your account; don't do ANYTHING yourself then your risk is 0.
Sure enough, that payment went in about 2-3 weeks..
jbswagger said:
Well had a letter from HSBC stating that the cheque had been cancelled, and I was being charged £4.00 for it!!
The copy of the cheque in question has stamped on it "suspected fraudulent counterfeit cheque".
That's a scam in itself. £4 for doing nothing but be prudent. Thanks for the update OP. The copy of the cheque in question has stamped on it "suspected fraudulent counterfeit cheque".
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