Demand Deposit Account (DDA) Fraud

Demand Deposit Account (DDA) fraud refers to any fraudulent activity that is carried out on a demand deposit account, commonly known as a checking account or a current account. A demand deposit account is a type of bank account where funds are deposited and can be withdrawn at any time without advance notice. DDA fraud includes various deceptive practices aimed at unlawfully obtaining funds from a person’s checking account or exploiting the account for personal gain.

Examples of DDA fraud include check fraud, where counterfeit or stolen checks are used to withdraw money from the account, or the manipulation of account information to create false balances or unauthorized transactions. Other forms of DDA fraud involve phishing scams, where individuals are tricked into providing their account information to cybercriminals, who then gain access to and exploit the account. DDA fraud is a serious offense that can result in financial loss for individuals, damage to banks, and severe legal consequences for the perpetrators.