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Posts tagged ‘fraud activity’


Suspected Fraud Activity – Bounced Checks

“I have been in business for over 10 years, and have been with Wells Fargo for 15 years.  I received a check for $15,000 from a client who purchased a product from me. The check cleared immediately since I deposit checks of that amount on a weekly basis.  One week later, all of my accounts were closed and my funds were frozen.  I contacted Wells Fargo and they could not provide much information, stating that I have been placed into ChexSystems and there is nothing that can be done. They treated me like a criminal; I felt like I had no recourse.”

Everyday we get calls from consumers that have had long established relationships with banks which have been closed immediately due to Suspected Fraud. Once you sign the back of that check, you are 100% liable for it.  No matter how much money you have with the bank, if your account is Red Flagged and you are placed into ChexSystems, they will discontinue doing business with you. They may even contact your other Bank Accounts and close those account too.

Once you are a risk, unless you can get the bank to forgive you or drop the case, you will remain in ChexSystems for up to 5 years and be unable to open a checking account with most banks.  That is 5 years of NOT having a bank account.

When you deposit and endorse any check, which is legal tender, you are responsible for the outcome.