Legal & Law

What is Banks Fraud? How To Hire An Attorney For It

A man wearing a suit and tie

Society cannot do without banks. People (consumers) and businesses (small and large) require banks to conduct financial transactions and store financial assets. Banks are trusted with public money, and it is believed that they will act in the best interest and within the confines of laws that govern the state.

If banks breach this trust, provisions exist for the violated to take legal action against the offender. Bank fraud may also be committed if someone pretends to be a bank or financial institution to collect money. Bank fraud is differentiated from a robbery because the perpetrator, in this case, usually keeps the offence secret until he can escape.

How to attract investors?

Inflating figures or assets to attract investors when the company could be facing losses are committed by both small and large organizations. Such frauds could be committed over one instance or a period involving several individuals/departments.

Such instances happening all over the world bring to light the sorry state of affairs in corporate governance. Several governments have woken to the fact that the Sarbanes Oxley Act of 2002 came into being. These cases are punishable under Federal and State laws. Though liability is traced to the accountant, it is mostly seen that he or the department would have done so in connivance with the company’s authorities and not in isolation.

Hire lawyers for bank fraud

Banks conduct several types of business transactions. Crimes committed hence also can be of various types. These are usually listed in the book of the law. Class Action suits may be filed if there has been such offence in the state of occurrence. Laws vary from state to state. Hence a lawyer needs to be consulted to determine which laws apply and the circumstances. A bank fraud lawyer is professionally qualified to deal with such cases and consulted when in doubt.

Banks use fees, fines, extra charges, APR misrepresentations etc., to mislead and misguide customer’s money for financial gains. Customers need to be aware of their rights and, when not sure, consult a lawyer if they have reasons to believe they have been possibly cheated out of their money.

Benefits of hiring the attorneys

Often, fake companies (an individual or an organization) posing as a bank collect personal, financial information from consumers or convince people to deposit money they then run away with. Forgery, stolen checks, withdrawing money using customer’s information either from their account or credit card, fraudulent loans, and frauds committed using the internet are some examples of bank frauds.

Several conditions apply. It has to be seen if the crime was committed against a protected class of person, the amount involved, and whether the crime can be classified as a state or federal crime.

Most banks are covered by the Federal Deposit Insurance Corporation (FDIC) program. Bank frauds are mostly classified as federal crimes and dealt with accordingly. Consumers are protected too and should be aware of their rights.

It is the U.S Secret Service that is entrusted with the responsibility of overseeing the maintenance of integrity and stability of the financial framework of the country.