Story of An Email Scam Close To Home - This Could Happen To You
The recently elected treasurer in my wife's non-profit organization received an Email from my wife asking that a particular vendor be paid the outstanding balance of $4000.00. My wife included the name and address of the vendor. The treasurer sent the check.
When the officers met for their quarterly board meeting the next day, she confirmed to my wife she sent the payment she had asked her to make.
There was just one problem. My wife didn't send that Email. Also, the vendor listed was not any vendor her organization used.
Panic Stations!
The treasurer leaped out of the board meeting right away and called the bank to place a stop order on that check. She was in time as the check she wrote was only just mailed and the so called vendor had not cashed it yet.
In two days the treasurer got an Email from this vendor directly telling her off for stopping the check as he was now out-of-pocket for the check rejection fee of $49 and asked her to pay him back! The cheek!
This shows how brazen scammers go these days. Clearly they have got safeguards in their system that would make it virtually impossible to find and prosecute them. But this doesn't end there.
These Scammers Have No Bounds
When the treasurer was going over the bank statement she received, she noticed a debit for $700 from an unrecognized source. She called the bank immediately and asked for information about that check. Then bank sent her a copy. When she examined it, the check looked like the check she had put a stop to. However, the number had been altered and the amount reduced from $4000 to $700. This time the bank paid it.
The treasurer pointed the flaws in the check and asked why did the bank not notice them? The bank's response was the signatures looked legit. DOH, it was the same check with the original signatures so they would be legit. But the check was amended and now this was fraud.
Since this was the banks fault in not scrutinizing the check to their standards they refunded the $700. They were told to freeze the account and open a new one. The bank took action to follow up on this fraud and told my wife her organization didn't need to do anything. It was now between the scammer and the bank.
If I hadn't seen firsthand what happened I would have thought this was made up. These things do not happen. Right?
Believe me when I tell you that it did happen. When my wife informed the National HQ what had happened she was told that the organization in other states had experienced the same fraud.
The Danger Of Personal Data Online
It appears that these scammers scour non-profits to find their officers list with Email addresses and the officers home addresses and use that information to conduct their scam. If this data is password protected, they have ways to break into the website hidden areas to get the information they want.
Website Security needs to be given top priority these days. In Affiliate Marketing we manage our own businesses and do not have officers like in the non-profit I discussed.
However, if you are a member of a team and build an online business, the chances are the officers contact information will be located somewhere on the business website. If so, take all precaution to make sure this is safely protected from scammers using the highest level of encryption technology.
VeraCrypt has a great encryption system that can be used for data. It is free for personal use. Business accounts will be charged a nominal fee.
Be Safe Than Sorry
Recent Comments
58
Not much makes me angry but scammers really cause me to steam up. What a terrible thing to have happen. I can't believe the bank didn't notice the check had been changed. Thank you for the warning Edwin. Jim
Hi Jim, we couldn't believe how lax the bank was. At their board meeting next week the officers will be going to a local branch of that bank to finalize their new account and get new checks. The inconvenience this has caused with lost time is another cost. At least they didn't lose any money.
Cheers.
Edwin
Hi Edwin,
Thank you for sharing which provides a reminder to take precautions.
Best wishes
Berenadeta
That’s a horribly amazing story, the fact they nearly got away with it twice is phenomenal.
A real scary reminder
Thank you for sharing 👍
I am sure that they have got away with the $700 doctored check the bank honored. They have fraud insurance and I doubt the bank will spend the money to find that scammer. Goes to show this works for them and they will continue. So brazen.
Edwin
Thanks for a very timely reminder Edwin. It’s so easy to fall victim to these scammers. I worry about my elderly parents who are just getting used to the digital world and maybe wouldn’t recognise a scam.
I’ve been victim of online fraud once and it’s a sickening experience
Me too! Learned my lesson. I hope. These scammers know how to get to people.
All the best to you.
Edwin
Yes, the cheekiness of people know no bounds these days. Thanks for sharing this, and it is really important to have checks and balances in place (no pun intended) to identify these hoodlums and stop them.
We had a similar situation but it involved a recurring payment that a company was no longer authorized to take from the account. When asked, the brazen people showed some bogus piece of paper and said that they would continue to take the money even if not authorized...
Immediately I called the bank and we started a fraud case against the company and individual. His company is registered in the USA but is operating out of India. We will get our money back and the person will have to face a warrant the next time he comes to the USA...
Stay vigilant!
Cheers!
Dave : )
Glad you got that resolved. The banks also need to take some responsibility and glad when they do.
Cheers.
Edwin
Yes for sure...In our case, I had the email exchanges to back up the claim, and now the bank is returning the money and starting a fraud case against the company and individual. It helps that the guy is from Indiana, the same state where this bank is located. The company he operates under in the USA is based n Wyoming...
Cheers!
Dave : )
A neighboring county government was the victim of a very similar email scam. They used an email of a local construction company and a very convincing website in order to collect payment for an outstanding construction job. Only it wasn't the local construction company at all and unfortunately, over $500,000 was made to the scammer. After FBI investigation and tracking, some of that money was returned, but not all of it. Very scary how these thieves are able to fool so many!
WOW! Goes to show that nobody is immune from these scams.
My wife has told her officers if they ever receive an Email from her to pay others, they must call her by phone to confirm before they pay anything.
Cheers.
Edwin
Sounded like a Cheque scam by Frank Abagnale, Jr., Leonardo DiCaprio played that role in the movie “catch me if you can.”
Surprised the banks overlook it. Must be taking things for granted.
It is frustrating that the banks are so quick to charge NSF fees. And they honor doctored checks! Something seems out of whack.
We just need to be more vigilant.
Edwin
Wow, maybe these scammers got their inspiration and know how from that movie! I'll have to check that our. Hopefully it will be available on Netflix!
Cheers.
Edwin
Good reminder, Edwin, thank you.
We all need to be aware.
Created some info@ email accounts, seems to be more than a few fishing emails arriving in the inbox.
No one is immune.
Alex,
Another commenter said that this wounds like the scam in the movie Catch Me If You Can. The scammer was played by Leonardo DiCaprio. I got to see that!
Cheers.
Edwin
See more comments
We are all susceptible to these kind of things, as the scammers, although unscrupulous, are not stupid and will look for any and every vulnerability available.
Thanks for this Edwin, a good reminder that we need to be ever vigilant. Happy that you resolved your issue, stressful though it may have been.
Twack, it certainly was very stressful for my wife! They have another board meeting next weekend and will be discussing this to make sure everyone is aware of the details and to prevent it happening again.
Cheers.
Edwin