Incidents involving mail theft-related check fraud are on the rise, which could impact individuals expecting to receive funds through a check in the mailbox. Since 2021, the U.S. Postal Inspection Service has reported a nearly 400 percent increase in mail theft-related fraud overall, and the Financial Crimes Enforcement Network (FinCEN) has seen an increase in reporting of these incidents by financial institutions, including banks and brokerage firms. This type of fraud often involves bad actors who steal physical checks from mailboxes or U.S. Postal Service (USPS) or other courier collection boxes, then alter or counterfeit the stolen checks for fraudulent purposes.
If you experience this type of theft, you might be able to recover your funds from your financial institution. However, this can take time if an investigation is involved, and you might not have access to your money until after the investigation is complete. If a check payment is stolen, your personally identifiable financial information could be compromised, and your credit score could be impacted.
Reduce Your Risk of Mail Theft-Related Fraud
Taking the following precautions might help you secure your incoming mail and reduce your risk of experiencing mail theft:
- Promptly pick up your mail. Leaving your mail in your mailbox for a prolonged period increases your risk of theft.
- Stay informed about deliveries. USPS offers Informed Delivery, a service that lets you preview your incoming mail and track packages so you can anticipate the arrival of valuable mail items. Most courier services, including FedEx and UPS, also offer tracking or delivery notification capabilities.
- Use mail holding services. If you're traveling or will be otherwise unable to access your mail for a period of time, USPS offers the option to hold your mail at your local post office for up to 30 days, for free. If you'll be gone longer than that, you can sign up to have your mail forwarded to another location. Other parcel carriers typically offer holding or forwarding services as well, though the length of time and other options may vary.
- Secure your mailbox. Consider purchasing a locking residential mailbox, which can deter casual thieves and help prevent theft. You might also consider renting a P.O. box at your local USPS for increased security.
- Opt for electronic payments. When possible, consider requesting to receive online payments, such as e-checks or ACH deposits. While all forms of payment have some risk, electronic payment methods might provide enhanced security and are often faster and more convenient. Always take safety measures to protect online financial accounts.
- Follow up. If you're expecting a check or credit card in the mail, contact the sender if you don't receive it in a timely manner.
You can also take the following steps to protect your outgoing mail:
- Employ extra security measures. Use checks with enhanced security features such as watermarks, holograms or microprinting. Consider using envelopes that conceal the presence of a check.
- Practice good check-writing habits. Always fill out the check completely using indelible black ink, and don't include personally identifiable information, such as Social Security numbers or driver's license numbers. Fill in any unused space on the payee and/or amount payable lines with a horizontal line rather than leaving blank space.
- Use secure drop-offs. Curbside mailboxes or residential outboxes are easier to target and therefore more prone to theft. Using secure drop boxes that are attached to or within USPS or other parcel service locations can deter thieves.
- Use online banking. Consider making payments online rather than by mail. If you do mail a check, use online or mobile banking services to review the check details to ensure it wasn't altered, as well as to regularly review account activity for any unusual transactions.
Where to Go for Help
If you don't receive a check or other expected correspondence from your brokerage firm, report the incident to your firm as soon as possible. You can also file a regulatory tip with FINRA.
Mail theft-related fraud should also be reported to your local police and the delivery carrier. For USPS deliveries, use the Mail Fraud Complaint Form or call (877) 876-2455. You can also report fraud to the FBI via their Electronic Tip Form or by calling 800-CALLFBI (800-225-5324).
Learn more about how to protect your money.
