What is check kiting and what can I do if I am accused for it? 25 Answers as of September 05, 2012

I work for a bank. Friday, I was contacted by an internal investigator and informed I was being investigated for check kiting. I had no idea what it was. He said that on three separate occasions in the past year I had deposited a check from my checking into my savings and withdrew cash. All amounts were under $100. They were usually done before the day of payroll. He said I was facing being fired or worse. I work in the mortgage section but since my accounts are with the bank, they were flagged. I am scared and clueless as what happens next or could happen. I need advice on what to do. They took a written and verbal statement where I indicated I did not know it was against policy or illegal. They said they would let me know Tuesday after they spoke with upper management and counsel.

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Steven Alpers | Steven Alpers
Fraudulent check activity.
Answer Applies to: California
Replied: 9/5/2012
Law Office of Mark Bruce
Law Office of Mark Bruce | Mark Corwin Bruce
Check kiting is when you write checks against an account which appears to have enough funds to cover the check but which does not due to other checks written on the account. You should hire yourself a lawyer to get through this process, as even a misdemeanor for this charge can affect your future chances of getting a new job.
Answer Applies to: California
Replied: 9/5/2012
Law Office of Richard Southard
Law Office of Richard Southard | Richard C Southard
Hire an attorney to speak on your behalf. Anything you say without an attorney can be used against you if they decide to prosecute you.
Answer Applies to: New York
Replied: 8/30/2012
Natty Shafer Law
Natty Shafer Law | Nathaniel Shafer
Hire an attorney and don't answer any more questions without your attorney present. Check kiting involves writing checks with insufficient balance and then putting money in the bank from another checking account, before the original check can clear. Ignorance of the law will not keep you from being convicted so don't tell the bank that you didn't know.
Answer Applies to: Utah
Replied: 8/30/2012
William L. Welch, III Attorney | William L. Welch, III
Your statements might be used as evidence against you, regardless of what you believe that they mean. Check kiting is issuing checks when the money to pay them is not yet in your account.
Answer Applies to: Maryland
Replied: 8/30/2012
    Larry K. Dunn & Associates | Larry K. Dunn
    "Kiting" usually refers to writing checks before funds are available. In essence, "kiting" is intentionally writing bad checks which could be criminally charged as a misdemeanor if the amount is under $100 or if there are multiple checks, the amount could be combined and charged as a felony.
    Answer Applies to: Nevada
    Replied: 8/30/2012
    Law Office of Phillip Weiser
    Law Office of Phillip Weiser | Phillip L. Weiser
    Depositing a check which is not good and withdrawing funds prior to the check clearing.
    Answer Applies to: Kansas
    Replied: 8/30/2012
    Lawrence Lewis
    Lawrence Lewis | Lawrence Lewis, PC
    You work in a bank and do not know that check kiting is? You need to retain an attorney immediately.
    Answer Applies to: Georgia
    Replied: 8/29/2012
    Nelson & Lawless
    Nelson & Lawless | Terry Nelson
    Kiting is timing deposits and transfers to improperly cover bad checks, or to steal money. What can I do if I am accused? Accused by your employer? Nothing except present your defense and facts. Expect to be fired unless you can prove it didn't happen. Ignorance is no excuse, and frequently claimed by those caught. If law enforcement gets involved, a little free advice: exercise the 5th Amendment right to SHUT UP and do NOT talk to police or anyone about the case except with and through an attorney. When questioned, threatened, arrested or charged with any crime, the proper questions are, can any evidence obtained be used against you, can you be convicted, and what can you do? No amount of free 'tips and hints' from here or elsewhere are going to effectively help you in your legal defense. If you don't know how to represent yourself effectively against an experienced prosecutor intending to convict, then hire an attorney who does, who will try to get a dismissal, charge reduction, diversion, program, or other decent outcome through motions, plea bargain, or take it to trial if appropriate.
    Answer Applies to: California
    Replied: 8/29/2012
    James M. Osak, P.C.
    James M. Osak, P.C. | James M. Osak
    It's ILLEGAL. So why do it for such a small amount? You CANNOT write a check when you have no or insufficient funds in the account. Exception . . . if it's a "postdated" check.
    Answer Applies to: Michigan
    Replied: 8/29/2012
    Law Offices of Mark L. Smith
    Law Offices of Mark L. Smith | Mark L. Smith
    I guess you will have to wait and see.
    Answer Applies to: Rhode Island
    Replied: 8/29/2012
    Freeborn Law Offices, P.S.
    Freeborn Law Offices, P.S. | Steve Freeborn
    Check kiting is a form of check fraud, involving taking advantage of the float to make use of non-existent funds in a checking account or other bank account. More specifically, it is the intentional writing of a check for a value greater than the account balance from an account in one bank, then writing a check from another account in another bank, also with non-sufficient funds, with the second check serving to cover the non-existent funds from the first account. The purpose of check kiting is to falsely inflate the balance of a checking account in order to allow written checks that would otherwise bounce to clear. Depending upon how much money is at issue, you could be charged with a felony. You say you gave a statement to an investigator. From what you tell me, it sounds like you may have incriminated yourself. My advice to you: hire an attorney.
    Answer Applies to: Washington
    Replied: 8/29/2012
    Andersen Law PLLC
    Andersen Law PLLC | Craig Andersen
    Check kiting is when you write a check when you lack sufficient funds to covet the check or withdrawal. The usual expectation is that a deposit will post to the account before the check is presented for payment. You should remain silent and hire an attorney.
    Answer Applies to: Washington
    Replied: 8/29/2012
    Law Office of Richard Williams
    Law Office of Richard Williams | Richard Williams
    Check kitting is normally where a person deposits money in two or more banks, or two or more accounts in one bank, where the checks or deposits are not covered by sufficient monies to cover the checks. The person is counting on the accounts not clearing before a deposit is made that may cover the checks. Professional check kitters secure accounts in several banks with checks floating between several banks, withdrawing or cashing checks for large sums of monies and then closing all accounts and moving away from the community, leaving the banks holding all of the bad checks. What you have done does not sound serious enough for you to be charged. I hope it is not so serious as to cost you your employment. Sounds pretty innocent and petty to me.
    Answer Applies to: Alabama
    Replied: 8/29/2012
    Law Offices of John Carney
    Law Offices of John Carney | John Carney
    When you are approached by the police or an employer you should say,"I would be glad to answer all of your questions as soon as I call my lawyer and he is present". They will be disappointed and try to manipulate you. They will make false promises or threaten you, but whether you are guilty or not you should just keep insisting that the questioning stop until your lawyer is present. Then you will be one of the 1% of people smart enough to let a lawyer protect their rights, investigate the matter, and advise them as to how to handle the matter. Criminals are usually not very bright and are not sophisticated. They are cheap and poor and don't even know a lawyer or have the money to retain one. That is not a problem since the court will appoint one, but you may have to call Legal Aid or wait until you are in court. The police and prosecutors get almost everyone to either confess or make statements that incriminate the defendant. Employers often suspect a theft but cannot prove it. They hope the employee will admit it, but if they do not get the confession all they can do is to fire them. If you violated some internal rule or took money that did not belong to you retain an attorney. If you did nothing wrong they should not be able to prove that you committed a crime.
    Answer Applies to: New York
    Replied: 8/29/2012
    Palumbo and Kosofsky
    Palumbo and Kosofsky | Michael Palumbo
    Kiting is writing check or taking withdrawals on uncleared funds. I really do not understand what the big deal is given the amounts, but you need to consult with an employment attorney.
    Answer Applies to: New York
    Replied: 8/29/2012
    Leonard A. Kaanta, P.C. | Leonard A. Kaanta
    Check kiting is writng a check that for money that into the account.
    Answer Applies to: Michigan
    Replied: 8/29/2012
    Michael Breczinski
    Michael Breczinski | Michael Breczinski
    Check kiting is writing checks against an account when there is not enough money in the account to cover it. People often try to do this in anticipation of deposits coming in to cover the check.
    Answer Applies to: Michigan
    Replied: 8/29/2012
    Connell-Savela
    Connell-Savela | Jason Savela
    Check fraud can be a felony, do not talk to anyone but an attorney about this accusation - get an attorney.
    Answer Applies to: Colorado
    Replied: 8/28/2012
    Law Office of Brendan M. Kelly
    Law Office of Brendan M. Kelly | Brendan M. Kelly
    Sounds like you may need an attorney. No real crime called check "kiting". Never talk to the police or investigators without a lawyer.
    Answer Applies to: Nebraska
    Replied: 8/28/2012
    Myles Hahn III Attorney at Law | Myles Hahn III
    You have done a good job of describing the situation. Nonetheless, an attorney would want to see all of the transactions, all paperwork, etcetera before offering commentary. Your employer will advise if they are firing you. You have made their case stronger by admitting it in the statements. Hire an attorney.
    Answer Applies to: Illinois
    Replied: 8/28/2012
    Mary W Craig P.C. | Mary W Craig
    Check kiting is getting money from an account before the money is actually there. What you indicated you did was move money from checking into savings before your paycheck was deposited, and then withdrew cash from the savings account. You were taking cash that didn't exist. Many of us write a check at the grocery store on Thursday night knowing the check will deposit on Friday. The danger, of course, is that for some reason the check won't deposit, and then we've written a bad check. If a customer did this, the bank would assess an insufficient funds charge and try to collect the check. Hire a lawyer.
    Answer Applies to: Alabama
    Replied: 8/28/2012
    Beaulier Law Office
    Beaulier Law Office | Maury Beaulier
    It refers to transferring funds from one account to another so that one account is deficient funds to cover checks paid. You should retain counsel before you ever speak with police.
    Answer Applies to: Minnesota
    Replied: 8/28/2012
    Law Office of William L Spern | William Spern
    Check kiting is writing a check when on the date of the check there was insufficient funds in the account to pay the check.
    Answer Applies to: Michigan
    Replied: 8/28/2012
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