What happens if a check bounces after the account it was deposited in is closed?

Question

I received a check as part of a job offer and deposited it into my checking account. I later learned this check was likely part of a scam. My bank cleared and the funds have been made available, but I suspect the check will bounce and I have been advised not to spend the deposited money. As a precaution, I am considering closing the account the faulty check was deposited into. However, the funds from the faulty check are still in the account.

What happens if I close a checking account, but a check deposited into that account bounces after the account was closed?

_{Note: This question differs from Will I be charged "bounced check" fee if I already closed my account?. That question is about checks coming from an account that has been closed, while I'm asking about closing the account a check was deposited into.}

Answer 1

In addition to what littleadv said, depositing a fraudulent check and then closing the account in an attempt to avoid being forced to pay back the money is participating in fraud. The money you received did not come from the scammer. It came from another victim, and that is why it needs to be returned.

Of course, you didn't know when you deposited the check that it was a bad check. But despite your ignorance in the matter, you now know that the check is fraudulent. If you do get out of paying back the money, you are no longer a victim of this scam anymore - you are part of the scam. As far as the bank knows, you could have created the fraudulent check yourself.

The worst thing you could do is withdraw the money and close the account. That makes you look guilty.

Leave the money in the account, and notify the bank that you now believe the check might be bad. They will tell you how to proceed.

Answer 2

What happens if I close a checking account, but a check deposited into that account bounces after the account was closed?

You will owe money to the bank whether the account is open or closed. The fact that you closed the account doesn't relieve you of any liability. The bank may impose additional charges, if they have any, to reopen the closed account, on top of the overdraft charges and bounced check charges.

In some countries, this situation may lead to restrictions on banking services. In the US, for example, banks report to consumer reporting agencies (similar to credit reporting) and other banks may refuse service to you as the result. In other countries such restrictions may be mandated by regulators.