Check fraud rose 385% after the pandemic: how to mail a check in a holiday card safely

What's happened

When the American Bankers Association and the U.S. Postal Inspection Service teamed up to fight check fraud in March 2024, they said it had risen 385% nationwide since the pandemic, citing U.S. Treasury figures. Banks filed more than 680,000 suspicious activity reports about possible check fraud in 2022, nearly double the more than 350,000 filed in 2021, the Treasury's Financial Crimes Enforcement Network (FinCEN) said.

The holidays add risk. The Postal Inspection Service says the higher volume of mail and packages in this season "gives greedy thieves more opportunities," and it makes thousands of arrests for mail theft each year.

How check washing works

The Postal Inspection Service says thieves change the payee name and often the amount on a check, then deposit it. Some checks are stolen from mailboxes and soaked in chemicals to remove the ink. Others are copied or scanned to print fakes. Postal inspectors recover more than $1 billion in counterfeit checks and money orders every year.

FinCEN looked at 15,417 reports from 841 financial institutions, covering more than $688 million in actual and attempted transactions, filed in the six months after its February 2023 alert. Of the stolen checks:

• 44% were altered and then deposited.
• 26% were used as templates to make counterfeit checks.
• 20% were signed fraudulently and deposited.

Thieves don't only want checks. FinCEN says they also use personal details from stolen mail for later fraud, such as opening credit accounts.

Who's affected

Anyone who mails a check: a gift tucked into a holiday card, a rent payment, a donation or a utility bill. Postal inspectors say the longer mail sits in your mailbox, the more likely it is to be stolen, and they advise posting outgoing mail before the last pickup.

A worked example

Say you mail your niece a $50 check in a card. A thief takes it from your mailbox, washes off "Emma" and "Fifty," and writes in a new name and $950. If it's deposited before you notice, $950 leaves your account, not $50. The thief also now has your name, address, bank routing number and account number, printed on the check.

What to do now

1. Mail checks at the Post Office. Use the letter slots inside, hand mail to your carrier, or use a blue box before the last pickup. Don't leave outgoing mail in your own mailbox.
2. Use pens with indelible black ink. The ABA and postal inspectors say it makes checks harder to wash. Don't leave blank space on the payee or amount lines.
3. Keep personal details off checks. No Social Security number, card number, driver's license number or phone number.
4. Pay electronically where you can. They suggest e-checks, ACH or mobile payments. If you use a payment app, only send money to people you know.
5. Get your mail promptly. Don't leave it in your mailbox overnight. Sign up for Informed Delivery at USPS.com for daily emails showing what's coming, and ask the Post Office to hold your mail if you're traveling.
6. Check your account. Look at images of paid checks online, including the back. Thieves sometimes deposit a check unaltered, so make sure the endorsement matches the person you paid. Follow up with whoever you sent the check to.

If it happens to you

• Call your bank straight away. Ask for copies of the fraudulent checks.
• Report it to your local police.
• Report it to postal inspectors at uspis.gov/report or 1-877-876-2455. If your camera caught someone taking mail, save the video.
• Protect your credit. A thief with your details may try to open accounts. Our guide to free credit freezes shows how to lock your files.

Questions

Is it safe to mail cash instead? No. Postal inspectors say never send cash in the mail.

Will my bank refund a washed check? Report it as soon as you spot it. FinCEN says financial institutions typically cover check fraud losses, but how your bank handles yours depends on its rules and how quickly you tell it.

Are gift cards safer to mail? A card in an envelope can be stolen like a check. An e-gift card sent by email avoids the mailbox, but only buy from the store itself or a seller you trust.

Ways to save

The ABA and postal inspectors suggest security envelopes, which hide what's inside. They're sold on Amazon, along with locking mailboxes and pens with indelible ink.

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Sources: ABA and USPIS check fraud partnership, ABA Banking Journal, March 19, 2024, USPIS: check washing, checked November 8, 2026, USPIS: Cut Out Crime this holiday season, FinCEN alert, February 27, 2023, FinCEN analysis, September 9, 2024, FinCEN Financial Trend Analysis: mail theft-related check fraud