Beware of Fake Check Scams
We are issuing this Alert to warn the public about "mystery shopper" and "modeling" scams using checks that appear to be from legitimate companies—including FINRA.
In each of these scams, you are sent an authentic-looking check. In many instances, the name of a real company appears on the check as well as real account and routing numbers. You are instructed to deposit the check in your bank account and then transfer a portion of the money to someone else. Days later, your bank informs you that the check was counterfeit and that you are liable for the amount withdrawn, usually several thousand dollars. You’ve been scammed.
We are aware that fraudsters behind some of these scams have created fake FINRA and "NASD Regulations" [sic] checks. (NASD Regulation was a subsidiary of FINRA's predecessor, NASD.) Because it can be very difficult to tell a real check from a counterfeit one, we are urging consumers to be cautious if someone they don't know asks them to cash a check and then transfer the money.
This Alert describes two fake check scams that we’ve identified, offers tips on avoiding these types of frauds, and tells you where to turn for help if you are a victim of one of these scams.
Mystery Shopping Scam
Fraudsters lure victims by posting ads for mystery shoppers in job classifieds, such as on the popular Web site Craigslist (www.craigslist.org). When victims respond to the ads, they are led to believe that they have been hired as mystery shoppers to evaluate the services of money transfer companies, such as MoneyGram. Victims are then sent checks that appear to be from legitimate companies—including FINRA—and instructed to deposit the checks in their bank accounts, then withdraw most of the money and wire it to someone else—often a purported fellow mystery shopper. Victims are told to keep several hundred dollars of the money as payment. When the checks are later discovered to be phony, the banks reverse the deposit and the victims are left liable for the money withdrawn, usually several thousand dollars.
Typically this scam starts out with a victim responding to an online posting—or the victim may have posted information online, such as with a modeling clearing house. Either way, the victim eventually gets "hired" by the fraudsters to model and receives an email with instructions. Similar to the mystery shopping scam, the victim then receives a legitimate looking check and is told to cash the check, wire some portion of the proceeds to a third party—such as a “supervising crew”—and keep the remainder as payment.
How can I protect myself?
To avoid fake check scams, follow these tips:
Where to Turn for Help
FINRA urges victims of fake check scams to contact one of the following organizations right away: