How do I report a fake cheque or overpayment scam?
Report to the FTC at ReportFraud.ftc.gov, the US Postal Inspection Service if the cheque came by mail, and your bank. Never send money back for an overpayment before a deposited cheque fully clears.
Last reviewed: 10 June 2026
Explanation
Fake cheque scams work because banks make funds available quickly before a deposited cheque formally clears. The scammer sends a cheque for more than agreed, asks you to refund the difference or forward part of the funds, and by the time the cheque bounces days or weeks later, the money you sent is gone. You are responsible for the returned cheque even though you thought the funds were available.
Report to the FTC at ReportFraud.ftc.gov and, if the cheque arrived by post, to the US Postal Inspection Service at postalinspectors.uspis.gov. Sending a fraudulent cheque through the mail is a federal crime. In the UK, report to Action Fraud and to the bank on which the fake cheque was drawn, if identifiable.
Notify your bank immediately. Explain that you may have deposited a fraudulent cheque and forwarded funds before it cleared. Some banks can reverse transfers from your account if you act quickly. They will investigate the cheque and will advise you on liability.
Never transfer or wire money back to someone who overpaid you, regardless of how convincing the story is. Legitimate buyers, employers, and landlords do not overpay and request refunds. Any such request is a scam.
Common red flags
- You received a cheque for more than the agreed amount and were asked to refund the difference
- A buyer sent 'too much' by mistake and urgently needed the overpayment returned
- A job offer sent a cheque and asked you to purchase equipment and return the change
- The cheque was drawn on a bank in an unusual location or on a business unconnected to the sender
- You were asked to forward funds by wire, gift card, or cryptocurrency before the cheque cleared
- The other party was evasive about why they sent more than the agreed amount
What to do now
- Do not wire or transfer the overpayment — wait for the cheque to fully clear (minimum 10 days)
- Notify your bank immediately if you already transferred funds
- Report to the FTC at ReportFraud.ftc.gov
- Report to the US Postal Inspection Service if the cheque came by post
- In the UK, report to Action Fraud
- Contact the bank on which the cheque was drawn to alert their fraud team
Frequently asked questions
How long does it take for a fraudulent cheque to bounce?
A fraudulent cheque may not be returned for 7 to 14 days, sometimes longer for international cheques. Even though your bank shows the funds as available after one or two days, the cheque has not formally cleared and you remain liable.
What if I already sent back the overpayment?
Contact your bank immediately to explain what happened and request a recall on the outgoing payment. Report to the FTC and local police. Your liability for the returned cheque still stands, but acting quickly maximises the chance of partial recovery.