The Quality Inspector and the $4,200 Wire
At 3:10 p.m., a 22-year-old customer, Ms. Tran, presents a $6,850 official check drawn on a credit union in another state, payable to her, and asks to deposit it and immediately wire $4,200 to a person in another country. She explains that she was hired online as a “quality inspector”; the check covers her first assignment's supplies plus her fee, and the leftover is hers to keep. The check is crisp, the routing number is valid, the credit union's name is spelled correctly, and the account number is ten digits. Her account is eleven days old and has had three small deposits totaling $212. She has already sent the “employer” a photo of her driver's license and her online banking login. She is polite but insistent that the wire go out today because “the supplier closes at 5.”
1. List the fraud indicators in this scenario and explain what the teller must avoid saying.
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Indicators:
- Overpayment structure. A check for more than the work is worth, with an instruction to forward part of it, is the core of the fake-check/advance-fee pattern. The “employer” is never out of pocket until the victim's real money is gone.
- Irreversibility plus urgency. A wire leaves the bank and cannot be recalled; the 5:00 deadline exists to prevent verification.
- Official check as the bait. Cashier's and official checks are the most counterfeited instruments in these schemes precisely because tellers give them more trust and faster availability. A valid routing number and correct spelling prove nothing.
- Account profile mismatch. Eleven days old, $212 in activity, and now a $6,850 item - the deposit is inconsistent with the account's history.
- Credential compromise. She has handed over her license photo and online banking login. Even if the check were good, her account is exposed to takeover.
What not to say: do not declare “this check is fake” as a fact before verification, and equally do not say “the funds are good” or “it's probably fine.” Do not promise a wire will go out. Do not tell her what the bank may report, and do not lecture or imply she is a criminal - she is the most likely victim in the room, and a defensive customer stops cooperating.
2. What should the teller do, step by step, including the funds-availability handling?
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1. Slow the transaction without creating a scene. Keep the check, do not initiate the wire, and move the conversation to a desk or the manager's office. The wire cutoff is not a reason to skip steps.
2. Ask open-ended questions. How did she find the job? Did she interview in person? Who is the supplier and has she spoken with them? Who sent the check? The details usually collapse quickly, and the answers belong in the record.
3. Explain the mechanism, not an accusation. “Official checks can be counterfeited, and even when we deposit one, it can come back unpaid weeks later. If that happens after a $4,200 wire has gone out, the debit lands on your account.” That is accurate and it is the argument that reaches customers.
4. Verify independently. Call the issuing credit union at a number looked up from a published source, never one supplied by the “employer,” and ask whether the item is valid.
5. Handle availability correctly. Under Reg CC, the first $5,000 of an official check is generally available next business day, and the remainder may be delayed under the new-account and large-deposit rules. Because there is reasonable cause to doubt collectibility, the branch may place an exception hold - generally no later than the seventh business day - and must give written notice stating the reason and the date funds will be available.
6. Escalate and protect her. Notify the manager and the fraud/BSA team, help her change her password and secure the account, and point her to the FTC and IC3 for reporting.
3. Ms. Tran becomes angry, says the bank is treating her like a criminal, and threatens to withdraw everything and wire the money from another bank tomorrow. How should the teller respond, and what must be documented?
Read the worked answer
Stay calm, stay specific, and do not argue about whether she is a victim. A workable response: “I understand why this is frustrating, and I'm not accusing you of anything. My concern is that if the check comes back after the wire is gone, the loss is yours. I'd rather you be angry with me today than lose $4,200.” Give her the hold notice in writing and explain the date the funds become available. She is free to bank elsewhere; do not threaten her, and do not promise the bank will stop her.
What must happen behind the window:
- Document the conversation, the hold, the verification attempt and its result, and the wire request that was declined, in the account notes and in the fraud referral.
- Notify the manager and the BSA officer the same day. A customer depositing what may be counterfeit items and forwarding proceeds is a potential unwitting money mule; a SAR determination belongs to the BSA officer.
- Consider account restrictions on outbound wires and a password reset, since her credentials are compromised.
- Recognize that a hold and notes follow the account to every branch. If she tries another branch tomorrow, the note is what prevents the loss - not a warning called ahead.
If the check later returns unpaid, the debit is handled under the account agreement and collections policy, and the file is closed out with the outcome recorded.