Everybody knows that any fraud involves deceiving an individual or a business to gain something. But you need to know the meaning of bank fraud and if it is a misdemeanor or a felony.
If you are currently facing charges against bank fraud, you will need to hire an experienced lawyer and get familiar with some of the facts surrounding bank fraud cases before proceeding.
What is Bank Fraud?
Bank fraud refers to the use of illegal means to obtain assets, money, or any other property held or owned by a financial firm. Also, it includes obtaining money from depositors or investors by fraudulently posing as a financial institution such as a bank.
In most cases, bank frauds are criminal offenses, and the components of specific banking fraud laws vary from one state to the other depending on the jurisdictions. Bank fraud applies to the actions that employ an artifice or scheme as opposed to bank theft or robbery.
The Types of Bank Frauds
There are many ways in which a person can commit bank fraud. Some of the schemes are more difficult and complex, and they affect most people and institutions resulting in harsher penalties compared to others. Here are the primary types of bank fraud.
• Stolen Check: Individuals can obtain jobs that offer access to emails such as mailbox stores, post office, corporate payroll company or tax authority. After stealing the check, they use it to open various bank accounts through the assumed names and deposit the cash.
• Bank Impersonation: Bank impersonation is the process where an individual acts as a financial firm, often by creating fake companies or websites to lure people into depositing money.
• Forgery: This type of bank fraud occurs when an individual alters a check by changing the names or any other information on a face. Individuals can change the amount of a check by adding zeroes to the available figures.