Expert: Shane - 7/21/2009

Question
Can you please tell me the procedure you follow concerning a fradulent check.  A little information:  I took a check to the bank branch to deposit and verify. We had listed the items we selling on Craigs list. It was a large amount.  The bank assistant manager wanted to see the emails we had received concerning the purchase and from this he derived it was a fraud without verifying the organization the check came from or from the bank on the check.  He kept the check.  Is this the procedure?

Answer
generally yes I have seen it go this way.  The reasoning behind that is for loss prevention reasons.  While I am sure you are a respectable person, there are people out there who are in "cahoots" with these online people to cash fraudulent checks, they then split the money.  So a lot of banks have integrated a policy which has them keep the check.  It generally goes to their loss prevention department, also they may turn it over to the authorities to see if they can locate and prosecute whomever sent you the fraud check (no worries, your name wouldnt go anywhere, it would either be the bank or the state pressing charges, if any).  So yes, be rest assured, this is common practice these das.