$12.5B
FTC-reported fraud losses in 2024
FTC says consumers reported losing $12.5 billion to fraud in 2024.
cashier's check fraud
Scammers produce convincing counterfeit cashier's checks that initially pass bank verification but are later returned as fraudulent.
“check scam”
↑ 34%Key indicators
Usually targetsSellers
Often hitsSmall business owners
Common regionUnited States
Last updated2026-04-04
Estimated impact
$960
median reported loss
Typical range$60 – $6.0K
Recovery rate~15%
Scam breakdown
1
The scammer sends a realistic counterfeit cashier's check that mimics a legitimate bank's formatting.
2
The victim deposits the check and their bank provisionally credits the funds within one to two business days.
3
Days or weeks later, the bank identifies the check as fraudulent and reverses the deposit, holding the victim responsible.
What to do first
Call the issuing bank directly using a number from their official website to verify any cashier's check.
Related terms
fake cashier's checkcounterfeit bank checkforged official checkCheck and money order scamsMailRisingSellersRentersSmall business ownersSmall business ownersCreators and online sellersReal estate professionals and homebuyersUnited StatesCanadaAustraliafake cashier's checkcounterfeit bank check
Real-world example
How this scam plays out in practice
Based on reported patterns. Names and details are illustrative.
The setup
Steven, 35, a sellers, encountered what appeared to be a legitimate check and money order scams situation while using Mail. The scammer sends a realistic counterfeit cashier's check that mimics a legitimate bank's formatting.
Step 2
What happened next was calculated: The victim deposits the check and their bank provisionally credits the funds within one to two business days.
Step 3
The pressure escalated quickly: Days or weeks later, the bank identifies the check as fraudulent and reverses the deposit, holding the victim responsible.
The outcome
Steven realized something was wrong when buyer insists on paying with a cashier's check from an out-of-state bank. By that point, significant damage had already been done — money sent, personal information shared, or trust exploited.
The lesson
Call the issuing bank directly using a number from their official website to verify any cashier's check. Steven's experience shows why buyer insists on paying with a cashier's check from an out-of-state bank and check amount is higher than expected with a request to return the excess are the clearest early warning signs.
How to identify it
- Buyer insists on paying with a cashier's check from an out-of-state bank
- Check amount is higher than expected with a request to return the excess
- Transaction is rushed with pressure to complete before the check clears
- Pause before paying, clicking, or sharing information. Scammers rely on speed.
- Verify the sender, company, or agency using a phone number or website you already know is legitimate.
- Treat secrecy, urgency, and off-platform payment requests as strong scam signals.
What to do now
- ✓Call the issuing bank directly using a number from their official website to verify any cashier's check.
- ✓Wait a minimum of two weeks before using funds from a cashier's check from an unknown party.
- ✓File a report with the FBI Internet Crime Complaint Center at ic3.gov if you receive a counterfeit check.
What to save before reporting
- ✓Save the message, profile, phone number, email, or URL that was used.
- ✓Keep payment confirmations, receipts, and account alerts before you dispute or delete anything.
- ✓Write down the timeline while the details are still fresh.
How big is this problem
You are not alone — this scam affects millions of people.
These numbers come from government agencies and official reports. If you have been affected, know that this is a widespread problem — not something that only happens to careless people.
FTC 2024 fraud losses
Imposters
Most common FTC fraud category in 2024
FTC says imposter scams remained the most commonly reported fraud category in 2024.
History and evolution
- This scam family tends to persist because the social-engineering pressure works even when the exact scripts, platforms, and payment methods change.
- The specific packaging evolves over time, but the core pattern usually stays the same: create urgency, control the channel, and push action before verification.
- The American Bankers Association reports that check fraud losses exceeded 21 billion USD across U.S. banks in 2023.
Recovery and follow-up
- ✓Save the messages, receipts, account alerts, and transaction details before you block or delete anything.
- ✓Report the scam through the official platform or government channel that best matches where it happened.
- ✓Call the issuing bank directly using a number from their official website to verify any cashier's check.
- ✓Wait a minimum of two weeks before using funds from a cashier's check from an unknown party.
- ✓File a report with the FBI Internet Crime Complaint Center at ic3.gov if you receive a counterfeit check.
Why this pattern keeps working
Even when the story changes, most scams still use the same pressure pattern: urgency, authority, and a request to move money or data fast.
The American Bankers Association reports that check fraud losses exceeded 21 billion USD across U.S. banks in 2023.
FBI IC3 2024
Where to report it
If you have been targeted by this scam, reporting it helps authorities track the pattern and protect others. United States has dedicated agencies that handle fraud reports.
ReportFraud.gov
Federal Trade Commission
Central U.S. consumer fraud reporting portal.
File an IC3 complaint
FBI Internet Crime Complaint Center
FBI portal for internet-enabled crime reports.
Start identity theft recovery
IdentityTheft.gov
Official U.S. identity theft recovery plan builder.
Explore further
Understand the bigger picture
Who is most at risk
Who this scam targets
Primary targets
Sellers, Renters, Small business owners
Geographic concentration
United States, Canada, Australia
Primary channel
Mail — Check and money order scams
Why this group is vulnerable
Sellers are particularly vulnerable because this scam exploits trust in familiar brands, authority figures, and time-sensitive decisions. The growing number of reports suggests that awareness among this demographic remains low.
Sources and methodology
How we verify this information
OpenScam tracks scam patterns using a combination of government consumer protection databases (FTC, IC3, Action Fraud), platform-specific fraud reports, and verified consumer complaint data. Each entry is cross-referenced against at least two independent sources before publication.
Severity ratings are based on financial impact potential, reversibility of damage, and volume of reports across multiple reporting channels. Trend velocity reflects the rate of change in report volume over the most recent 90-day window.
This page was last verified on 2026-04-04. Red flags, recovery steps, and reporting resources are reviewed quarterly against current agency guidance.
Evidence and indicators
- The American Bankers Association reports that check fraud losses exceeded 21 billion USD across U.S. banks in 2023.
Source notes
- FBI IC3 2024
Frequently asked questions
Common questions about cashier's check fraud
How does the cashier's check fraud work?+
The scammer sends a realistic counterfeit cashier's check that mimics a legitimate bank's formatting. The victim deposits the check and their bank provisionally credits the funds within one to two business days. Days or weeks later, the bank identifies the check as fraudulent and reverses the deposit, holding the victim responsible.
What are the warning signs of cashier's check fraud?+
Buyer insists on paying with a cashier's check from an out-of-state bank Check amount is higher than expected with a request to return the excess Transaction is rushed with pressure to complete before the check clears
What should I do if I encounter cashier's check fraud?+
Call the issuing bank directly using a number from their official website to verify any cashier's check. Wait a minimum of two weeks before using funds from a cashier's check from an unknown party. File a report with the FBI Internet Crime Complaint Center at ic3.gov if you receive a counterfeit check.
Who is most at risk for cashier's check fraud?+
This scam primarily targets Sellers, Renters, Small business owners. It is most commonly reported in United States, Canada, Australia and typically appears on Mail.
Is cashier's check fraud on the rise?+
cashier's check fraud is currently on the rise with growing reports. It has been reported across US, CA, AU. Last updated 2026-04-04.
Related scams
Similar scams to watch out for
Government impersonation
↑ 121%Tax refund verification phishing scam
A fake refund or filing problem message pressures the victim to verify tax identity through a counterfeit government portal.
What to do first
Go directly to the tax authority website instead of using message links.
Targets
Tax filers
Seen in
U.S.
Smishing
↓ 16%Tax agency refund text link scam
A text says a refund or filing issue needs immediate identity confirmation through a mobile link.
What to do first
Use the tax authority's official website instead of the text.
Targets
Tax filers
Seen in
U.S.
Marketplace fraud
↑ 27%Marketplace rental deposit scam
A fake landlord advertises a good rental deal on a marketplace and pushes for a deposit before any real viewing or lease.
What to do first
Never send a rental deposit before a verified viewing and lease.
Targets
Renters
Seen in
Global
Help someone avoid this scam.
Scammers succeed because people do not talk about it. If you or someone you know has been affected, there is no shame in it — it happens to millions of people every year. Share this page with friends and family so they know what to look for.
Relevant collections