Primary source example MSGCU Scam Alert — July 2026 Impersonation Scams and parallel bank “fraud watch” guidance on check and APP fraud.
1. The scheme in plain language
- Scammer poses as a company, contractor, or “employer.”
- Victim receives a large check (mobile deposit / branch).
- Victim is told to buy materials, pay a subcontractor, or wire a “fee.”
- Victim sends real funds from available balance.
- Original check is counterfeit or drawn on a closed/stolen account — bank reverses the deposit.
- Victim is left owing the bank the full amount.
2. Why construction / home improvement?
It is a believable cover story: large tickets, urgency (“crew starts Monday”), and victims already expect to move money for renovations. Fraud alerts note the cover story is often planted by the scammer.
3. Red flags
- Check amount far above normal activity
- Pressure to move funds before the check fully clears (clearing ≠ “good funds”)
- Out-of-area company you never met in person
- “Overpayment — wire the difference back”
- Job offer that starts with a check and a shopping list
4. What to do
- Ask your bank for a hold / verification before spending any of the deposit
- Never wire “change” from a deposited check to a third party
- Verify the company via independent phone numbers, not the check memo
- Report to the bank fraud team and local law enforcement
Related: CF-038 deepfake bank calls · CF-002 advance fees.
Standards: Summary of public official sources. Not legal advice. Tips: tip desk · About · archive.