Released: June 01, 2006

Bogus checks, but scam victims pay

Source: By Caroline E. Mayer, Washington Post (Free Registration)

Trying to sell his 1968 Mustang online, John Schaefer received what appeared to be a firm offer from an overseas classic-car dealer. The buyer sent Schaefer a check for $14,000 even though Schaefer was asking only $8,000. The buyer said the extra money was to cover shipping and directed Schaefer to wire him the difference.

“It seemed kind of funny, and I had some hesitation,” said Schaefer, who deposited the check in his bank’s ATM over the weekend. On Monday, he asked a teller to see if the check was good. She left her perch, went to the backroom and returned assuring him “there was no problem,” Schaefer recalled.

On Wednesday, “still not feeling quite right,” Schaefer asked the same teller to make sure the check was good. That time, the teller told him the check had been cleared and he was “all set.” Schaefer withdrew $5,000 and wired the money to the buyer.

Four days later, as he reviewed his account online, he discovered the check was not good. Even worse, the bank was demanding that he repay the $5,000.

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