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Disability Checks Stolen and Cashed: What to do?

Someone stole my retirement disability checks out of my mailbox. The company said they had been cashed. Can they trace the person who cashed them and prosecute?


It's possible that the thief will be caught and prosecuted. However, you have a right to your payments, and you should ask the issuing company about filing a claim of forged endorsements on those checks. You'll need to sign an affidavit (perhaps one for each stolen check), stating that you didn't endorse the checks or receive any benefit from them, and that you don't know who forged them. That should lead, eventually, to their replacement.

The issuing company will then be able to file a claim of its own against its bank, so that eventually the party who cashed the forged checks or accepted them for deposit will bear the loss. That party will be the best equipped to identify the forger and press charges or attempt to recover from the thief.

You don't want this to happen again, so ask the issuing company (if your retirement disability payments will continue) to have your payments direct deposited to your bank account. That way, there's no check to be stolen or forged.

Published on BankingQuestions.com 6/30/10