Watch out for ‘overpayment’ scams. — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily

Watch out for ‘overpayment’ scams.

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in Small Business Tax

They are rampant, according to the Better Business Bureau. How they work: A company receives a large order along with what appears to be a cashier’s check for a large amount. Later, the customer calls to reduce the order and request a partial refund. The business ships the order and the partial refund, losing its merchandise and thousands of dollars. It takes up to two weeks to discover the check is a fake, because electronic verification of a cashier ’s check takes longer. Advice: Verify exceptionally large orders, especially those from new customers. Ask your banker to verify checks for large amounts that are unfamiliar.

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