From Wikipedia:
A scandal erupted in the United States in 2003 where some mutual funds "secretly" allowed select investors to rapidly trade the portfolio despite statements banning the practice in the prospectus. The scandal did not involve market timing per se, and market timing is not itself illegal. The scandal involved permitting selected investors to make frequent and repeated trades during the day while permitting general investors to trade only at the close of business, which permitted the favored investors to take advantage of market timing strategies. A double standard that favors one investor at the expense of another is illegal and undermines the credibility of the industry"[5] In this instance, the market timing frequently involved predictions of the performance of how international markets would respond to the day's trading in the US. This scandal also involved late trading.
You sure the check is genuine?
Remember, if you cash that check you are also giving up any claim on future litigation against them. Check w/ your attorney and/or accountant.
I get checks from Household Bank all the time. The fine print on the back of the 9.99 check lets them sign me up for a buyers club for only $79.00 a year (virtually pennies a day!).
Read any fine or light-ink print that may be on the front or back.
Sometimes businesses print ‘conditions’ that could be a subscription or similar cost on the check. Then, if you endorse it, that becomes the signature for the product/service and period fee.
Yes, got one of those yesterday myself. I believe it is a settlement from a mutual fund for trading practices; think I got some info on this in the past. I put it aside to go through my files and see. IIRC, it was a PBHG fund.
Might be a scam.
Much like the fake checks sent out by ‘secret shoppers’ scammers.
If you didn’t have dealings with Bear Stearns, doubly obvious there is something fishy.
Got a check from them for $85 reference Kinetics Internet Fund. No idea why. Probably should be for $85 million at least.
I think it’s part of Bambi’s free money.