6 Ways You Can Be Accused of Financial Fraud

financial fraud

There are a number of ways you can be accused of financial fraud. A detailed look at each are discussed below. Keep reading.

Credit Card Fraud

Probably the most common way to be accused of financial fraud is via credit card– you might have stolen someone else’s credit card information, stolen their card itself or filled out a fraudulent credit card application. 

If you’ve been accused of the crime, it’s no joke. In fact, there are lawyers specializing in credit card fraud. Work with the best credit card fraud lawyer, as you could see up to 15 years in prison if you lose the case.

Ponzi Schemes

Certain investment schemes seem too good to be true. This is probably because they are. Ponzi schemes are when you use new investments to pay off the returns for older investments. You’ll keep the fraudulent act going, making it seem like your business is thriving when you’re actually rolling on borrowed funds.

Fake NGOs

The cash charities collect would help certain causes. However, the organizer of a charity may not be using the money for its designated use – they may be pocketing the money instead.

Even organizations that seem credible may not be devoting all the money collected to the cause. You’ll have to carefully research where you’re going to donate to make sure your cash goes where it’s supposed to.

Medical Care Fraud

If you’re a doctor, being accused of medical care fraud is a real possibility. It’s when you make patients undergo unnecessary procedures for you to profit. You could also be accused of medical care fraud if you overcharge patients for specific procedures.

You might have to pay a huge fine and have your medical license revoked, or be incarcerated if found guilty. The charge is very serious.

While on the topic of medical related fraud, you could steal someone else’s health insurance information.

Payroll Theft

Stealing cash from a company’s payroll is also a type of fraud. The most common way to do it would be reallocating the business’ funds to your own bank account. Other examples would be you requesting an advance from your employer but never paying it back.

Business Scams

There are so many ways a business could scam you. For one, a customer may receive a fraudulent check with an amount higher than what the company had to pay – the customer would then have to send the balance back. But as the check was fake, the “balance” would be an extra payment.

A business could also promise a tempting job to an employee, and have the employee fill out personal forms. In the end, they might never receive the job but have their information stolen.

There are many ways you can be accused of financial fraud. The most common would be through credit cards. Whichever of the above you may have been accused of, you’re now in a complex situation. Excellent legal help would be needed. As a doctor, medical care fraud is the most serious thing you could be accused of. You might not only see jail time, but your medical license could be revoked too.

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