Know the scam before the scam gets to know you – Part 1

As consumers or businesspeople, we are directly targeted by scams more often than most of us realize. The criminals behind these scams are nothing if not creative; the tactics and technologies they employ in their mission change at a dizzying pace. 

Here are some of the most active scams in current operation (and we will provide more in a future article):

“Make Money from Home”

Mom was right when she said “if it sounds too good to be true, it probably is.” There are endless “opportunities” targeting people who want to make great money in little time without leaving the house. Among them: 

• A company asks that you process payments or accept checks/money orders for them into your own account or an account you have set up for them. This is almost always a scam. Most often they will tell you to deposit the money order in your own account and immediately forward the money to them electronically or via a money order immediately. By the time you find out the money order you got from "the customer" bounced, they will have already removed the money from the account leaving you holding the bag. Assuming you are even paid the promised “commission”, that act can actually implicate you in the crime. Since account holders are ultimately responsible for what they deposit, you will be held liable for the lost money and resulting charges, no matter how high the amount.
• You are asked to sell a product to a person who sends you more money than needed and asks that the extra money be returned. That check or money order is probably bogus. Not only will you be out the product but the money you sent as well.
• You are asked to reship a product for an "out-of-country" company. Never accept, especially if you don't know what you are shipping. It could be stolen goods, drugs, or firearms, to name only a few possibilities.

Credit Card Companies “Looking Out” for You

You get a phone call from a supposed VISA or MasterCard “employee” attempting to confirm unusual spending activity AND asks for the security code on the back of your credit card. Never give that number out. End the call and stop the scam from snaring you. 

“Phishing” for Dollars

For several years, scammers have purchased Internet domain names that are similar to those of legitimate companies. They may take the name of a real company and modify it to look legit. Apple.com is the domain for doing business with Apple. If it were available, a scammer could reserve apple-billing.com or apple-customerprotection.com. These sites have just one thing in common with Apple Computer: 5 letters. Con artists then send out millions of emails asking consumers to verify account or SSN information. Obviously, there is a significant pool of people who have bought something from Apple. If you are asked to provide any info, always check with the company directly and see if the email originally was sent from them. In almost all cases, you will be told that it is a scam.  

Companies whose names are being used most right now? eBay, Best Buy, Discover Card, e-gold.com, amazon.com, PayPal. AOL, MSN, EarthLink, Bank of America, and Wells Fargo.