Remember the old adage "if it sounds too good to be true it probably is".If someone insists on dealing with you at a distance be extremely careful and make sure you know with whom you are dealing.
Be aware of two popular types of cheque fraud:
Overpayment:
A fraudulent buyer may offer to give you a cheque in an amount greater than your asking price and asks you to refund the difference. If you send a cheque back, the buyer has your money and you're left with a cheque that is likely counterfeit.
Do not accept a cheque for more than your selling price.
Never send a buyer money to refund an overpayment.
Never accept third-party cheques regardless of how "real" they seem.
Avoid payment plans that seem complicated, such as one that requires multiple steps or paying through a friend or agent of the buyer.
Be aware of individuals posing as a representative of a client.
Take precautions when dealing with individuals/companies from outside Canada.
Be more suspicious if you are requested to handle a transaction through a wire transfer.
Watch out for individuals who only want to communicate via e-mail.
Counterfeiting:
A fraudulent buyer may offer to pay with an apparently legitimate bank draft, cashier's cheque or money order. You deposit the funds which post to your account within 48 hours.However, up to 21 days later you're notified that the cheque was counterfeit. The buyer has your vehicle and you're responsible for refunding the bank for any withdrawn funds.
Confirm the buyer's name, street address and telephone number and ask to see their driver's license.
Even if the cheque appears legitimate and you've confirmed the funds are posted in your account, do not turn over your vehicle and title until the issuing bank has cleared the cheque.
If you accept a cheque, ask for one drawn from a bank with a local branch and visit or call the branch to determine if it is legitimate.
How to report scams and fraud:
If you are the victim of fraud, inform your local police service. As well you may want to contact the following other services:
