CONTENT

  DEPARTMENTS



  DETAILS
Legend for Icons
 Article    Q&A

 Podcast  Video

 Blog  Discussions

PDF    Powerpoint
BankingQuestions.com Web

  Home >> Scams/Fraud  
Fraudulent Check in My Account: Who is Liable?

Someone illegally deposited a fraudulent check into my account and I unknowingly withdrew it. Am I liable?


We think you are or should be liable. If the scammer deposited a bogus check to your account and withdrew the funds without your knowledge, your bank should not hold you liable, since you obtained no benefit from the fraud. However, in this case you state that you withdrew the funds from your account.

You don't get to claim that you've been victimized and profit from the fraud. You ought to have known that the funds weren't yours to take if you responsibly reviewed your account activity, as required by your deposit account agreement and the law. You've described something the law calls "unjust enrichment," and others might refer to as a "free lunch." Pay the money back. It's not yours.

Published on BankingQuestions.com 5/04/09