What happens if I cash a fake money order?

One of the things most people are generally scared of is cashing a fake money order and maybe getting arrested by the authorities. But what happens if I cash a fake money order?

If you cash a fake money order, the cashing institution will require you to refund if you receive money or value for the transaction. In extreme situations, you could be slammed with fines or any legal penalty meted on you for cashing the fake money order.

However, if you do not know that the money order is fake and can convince the cashing institution somehow, you will only be responsible for repaying the cashed money without a fine or legal penalty.

Someone can cash a fake money order. This is completely illegal, and such persons usually repay the money or are fined if they knowingly cashed the fake money order.

What Happens if I Cash a Fake Money Order?

A money order is one of the most reliable forms of receiving payments paid for upfront. Typically, a money order is not linked to a bank account, meaning that it can serve as an anonymous way to receive money from people, but not exactly anonymous like buying Bitcoin with your card.

However, this method of receiving payments is also open to scams, including cashing a fake money order. Dishonest people do not easily get away with cashing fake money orders, which is why it is still a reliable way to receive money.

If you cash a fake money order at a check-cashing store or any financial institution, you will be required to return the money. Various associates from financial institutions, including Wells Fargo, Huntington Bank, and Walmart, say that when someone cashes a fake money order, the cashing institution contacts them to request a complete repayment of the funds.

Read Also: how people cash fake checks at Walmart.

Suppose you cashed a fake money order without knowing. In this case, the cashing institution might block you from cashing money orders and even checks in the future across their various locations. In a situation where you fell victim to a money order scam and cashed the fake money order, you want to request the individual or organization you sent the money to resend the fund. If you have not already paid out or used the cashed funds, you must pay it back to the cashing institution.

Unfortunately, whether you can recover the cashed funds or not, you are responsible for repaying it to the cashing institution.

FAQs

Where can I cash a fake money order?

Like legitimate money order, you can cash a fake money order at stores like Walmart and most banks. Meanwhile, you might be interested in cashing money order without a bank account. If a rural carrier has enough money in hand, you can also cash it with them.

However, if the cashier detects that the money order is fake, you will not receive funds. Some crooks even hide their identity to cash a fake money order and get away with it using a fake ID and name. If you were sent a fake money order, and you know about it, the cashing institution will contact you to refund the money even after cashing it.

Will you go to jail for cashing a fake money order?

The simple answer is yes; you can go to jail for cashing a fake money order knowingly. Cashing a fake money order does not give an immediate ticket to jail. When the cashing institution finds out that you cashed a fake money order, they will notify you to repay the money. If you refuse to be responsible for the transaction, they will report the fake money order to the Federal Trade Commission (FTC). Of course, they will pursue charges if you knowingly cashed the fake money order. In essence, if you cashed a fake money order knowingly, you can be fined or jailed. But if you cashed a money order without knowing, you only have to pay back the money order amount.

How to Avoid Cashing a Fake Money Order

According to USPS, the best way to avoid cashing a fake money order is to “make sure it is real.” Unfortunately, it is your responsibility to avoid receiving a fake money order. Watch out for possible scams like Craigslist-related scams when accepting a money order from a stranger.

• Do not accept a money order with an excessive amount of money that you bargained. If the money order you receive is more than the amount you are owed or bargained, it could be a scam. This is rampant in Craigslist scams.
• Do not cash a money order for someone. A scammer can have you cash money order in your name. Refuse this offer regardless of the reason unless you trust the person.
• Verify the money order. You can ask the cashing institution to verify the money order you receive before cashing it.
• Inspect the dollar amount. Make sure the dollar amount is not discolored. This could be mean that the dollar amount was tampered with, including being erased for fraud. Look at the imprint also. If the dollar amount is imprinted twice, it is a fake money order. Is the dollar value too large? If yes, do not accept it.
• Paper inspection. An authentic money order uses a special mark, imprint, and designs to prevent fraud. Hold up the money order to light and check if you can see Ben Franklin’s watermarks on the left side. Do the same from top to bottom. The right side of the Ben Franklin watermark has a vertical, multicolored thread with “USPS” weaving in and out of the paper.

Final Thoughts

• Make sure the domestic money order you receive is not more than $1,000.
• Also, if it is an international money order, it must not exceed $700.