Don't be a scam artist's next victim: know the warning signs and prepare yourself before it happens.
Scams, con jobs, and rip-offs exist everywhere in your world. You can be a victim at church or work, school or the mall, through the Internet or in person: there's really no such thing as a scam-free place anymore.
Worse news: the con artists are getting smarter. Most know that you're onto the old tricks - calling your home and pretending to be a bank representative so you'll give him or her your credit card number, for example - so the tricks are more elaborate now. A very good example is the recent development of "fake Caller ID" technology. For a small fee, anybody can have their Caller ID display reprogrammed (ostensibly as a practical joke on a friend) to display any name and number they want. You can trick your best friend into thinking your phone call is actually from the IRS. Your high-school-aged son's best friend can use it to fake a phone call from the school. You can only imagine what this can do when it gets into the wrong hands.
As scary as that may sound, there are still plenty of things you can do to prevent being victimized by these jerks. They're out to take your money, steal your identity, and con you into forking over all sorts of personal information: your job is to be alert, prepared, and ready to fight back.
These tips will make you harder to victimize, which increases your chances of never having to deal with the repercussions of identity theft, massive debt, or other financial and personal trauma that results from being scammed.
Protect your personal information at all costs. Invest in a paper shredder, preferably a cross-cut model that turns it into confetti. This is more difficult for would-be thieves to reassemble, and it takes up less space in your wastebasket. Use the shredder for old financial statements, bills, inventories, receipts "¦ any- and everything with bank, personal, or identity-related information on it. Even if it's just your name and address, go ahead and run it through the shredder. This only takes a couple of seconds; there's no reason to blow it off.
Never give financial information over the Internet unless you know and trust the site. Even then it's not the most secure transaction: anyone in the world can potentially break in and view all the information you're sending. If you want to order something on the Internet, place the order through the Web site and then call the company's phone number (hopefully it's toll-free) to make your payment.
Only buy from sites you know and trust. Be sure that you've entered the right URL: some scammers will register domains that are VERY similar to the real thing in the hopes that they'll receive business from people who miss their typos.
If something sounds too good to be true, don't bother with it unless you're willing to investigate and ask plenty of questions first. If you see a Web site advertising brand-new computers for $200, you need to investigate before you take advantage of the "great deal." Is the company registered with the Better Business Bureau? What privacy policies do they uphold? Are you guaranteed to be satisfied? Don't hesitate to ask any question that's on your mind: if the company's representative refuses to answer or wants to play the "rush the customer into purchasing" game, tell him or her to forget it and move on. There are plenty of other places to shop.
Speaking of too good to be real: if someone sends you an e-mail promising a cut of his millions and millions of dollars of money to be smuggled out of Nigeria, forward it (including full message headers) to the FBI. Millions of dollars have been scammed out of people all over the world for letters and e-mails like this: don't be the next victim.
Just because somebody calls your home and knows your name, telephone number and bank account number does NOT mean he or she is really affiliated with your bank. If this, or something similar, happens, ask if you can call back - and be sure to get that person's full name and position with the bank, if applicable. If he or she refuses to give that information, it's all right to hang up and call your bank (using the number that appears on your checks or monthly statement) to report potential fraud.
Don't give any information when someone says it's needed "to confirm that we have the correct numbers." If that happens, say, "Read it off to me and I'll tell you if it's right."
One legitimate enterprise, telemarketing, is riddled with fraudulent "companies." These people will tell you anything to make you give them your credit card number. You've won a free vacation - just give the card number to hold the reservation. They have the world's greatest deal on aluminum siding - but if you don't buy within the next five minutes, the price skyrockets and you'll miss out. If you hear things like this, say "forget it," and hang up. Generally, you should never follow through with something if you feel rushed or pressured. There are plenty of legitimate deals out there - and some will be even better than the alleged "sale price" being pitched to you.
Did you know that it's illegal for a company to give you a "free prize" and charge taxes for it? It's true! If you're offered a "free cruise for two - just pay taxes," don't do it: the cruise will never happen. Any legitimate company will know what they can and can't charge (especially when it comes to taxes), so they wouldn't ask for something like this in the first place.
Some low-lifes will even call pretending to be affiliated with a charity. If this happens, ask for literature about said charity before you make a donation. If you aren't comfortable giving your mailing address out for it, ask for the charity's Web site. That's where you'll find the mailing address for the charity as well as financial information that (hopefully) proves their validity and trustworthiness. You can always mail a check or money order if the site checks out - and if you have any doubts, seek more information.
There are plenty of things you can do that will hopefully make it harder for would-be thieves to find and/or target you.
Know the privacy policies of Web sites and companies you patronize. Read the policies before you sign up or give any personal information. In many cases, you should be able to keep your information from being sold to other companies. If you don't see an option on the Web site or forms, write the company a letter stating your wishes. Be sure you sign it and keep a copy for yourself.
Check your credit report at least once a year. Be familiar with what should be on it so you can easily spot things that aren't rightfully yours. You can also call the major credit reporting agencies and request that a block be put on your identity: this way, when any new line of credit is requested, even if it's by you, that creditor will have to get your permission first. This reduces the likelihood that somebody else will successfully impersonate you, and it makes your life easier because you don't have to worry about what other people are trying to do with your credit.
Stay up-to-date on the latest frauds and schemes so you'll know what to expect, and thereby avoid falling for.
Don't hesitate to report potential fraud. If it's an Internet-based scam and you live in the United States, visit the Federal Bureau of Investigation's Internet Fraud Complaint Center at www.ifccfbi.gov. For non-Internet scams, contact the FBI or your local Better Business Bureau.
