Top Ten Scams - Top Ten by dfsdf224s

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									             Top Ten
             SCAMS
           Economic Downturn Scams
   1
                                                                       Business Opportunities

           Tough economic times often bring out the
           bad guys. During a credit crunch, you may
                                                              3          Your good friend or family member may
                                                                         have invited you to attend a presentation
           turn to new sources to help with your
                                                            involving an investment opportunity. You don’t know
finances. While it may not be called a “loan” in the
                                                            anything about the company, and are desperate to hear
marketing, there are small business cash advances which
                                                            that it is legit. These investments appear lucrative, but
o er thousands of dollars for business ventures despite
                                                            often are more hype than substance. The promoter
your credit rating. These types of opportunities often
                                                            convinces investors that they can be part owners of
come with up-front fees, and excessive interest charges.
                                                            investment portfolios if they enlist new recruits, maybe
In some cases, it may even be attempts to gain
                                                            promising commissions in cash and bullion.
information for identity theft. Before you jump up and
send in that processing fee or security deposit, be
warned that this is likely a scam. You should never have
to pay cash in advance for a loan.                           QUICK TIP: In reality, this is most likely a pyramid
                                                             scheme. The new capital brought on by new
                                                             investors is keeping this imaginary investment
 QUICK TIP: Never pay money to get money. If it is a         afloat. Get the facts. If you do go to an information
 legitimate loan or lender, the fee will be added to the     session, collect business cards, promotional
 total amount owed on the loan as required by BC             materials, and ask questions such as, who are the
 consumer protection laws. For information about             principals of the company? When did the company
 disclosure requirements when you are applying for a         get started? How much is the start-up cost?
 personal loan in BC, contact Business Practices and         Gather as much information as possible, before
 Consumer Protection Authority (BPCPA) of BC toll            agreeing to anything. To report misleading
 free at 1.888.564.9963 or visit www.bpcpa.ca.               advertising     and/or     deceptive      marketing
                                                             practices contact the Competition Bureau at:
                                                             www.competitionbureau.gc.ca            or      1.800.
                                                             348.5358. Go to the BC Securities Commission’s
          Home Repair Rip-O s
2
                                                             www.investright.org website for information on
                                                             how to select an advisor and what to look out for
           Home improvements may be on your agenda,          when choosing to invest.
           but finding a contractor with reasonable costs
and availability may be a challenge. During the spring
thaw, unscrupulous and unqualified people often show
up at homes with o ers to do everything from
landscaping to roofing. Some may o er to pave your
driveway with leftover materials, or even remodel your                  Bogus Online Ads
home for a low price. These fly-by-night operators come
into communities for a short time and do shoddy work
that often results in having to be redone.
                                                              4         Online classifieds can be an e ective way
                                                                        to hunt for shopping bargains and find
                                                            those hard-to-get concert tickets. While those
 QUICK TIP: Get the name and address of the com-            classified websites o er free access to hundreds of
 pany the vendor claims to represent and check it with      ads, beware that those listings are rarely vetted prior
 the Better Business Bureau and the city-licensing          to posting. The seller may not be legitimate, so there
 o ce. Get all the details of the work put in writing and   may not be concert tickets coming to you in the end.
 make sure that you understand everything in the
 document. Verify the individual is licensed, bonded,
 insured and has registered with WorkSafeBC                   QUICK TIP: Do not ever wire money to complete
 (Workers’ Compensation Board). If youare entering            an order you have purchased from a stranger.
 into a contract with a contractor who came to your           This money will be impossible to recover if the
 door to sell their services, find out about your cancel-      product you purchased does not arrive. If you are
 lation rights. Contact the Business Practices &              meeting the person, try to meet in a neutral
 Consumer Protection Authority (BPCPA) toll free at           location. Avoid purchasing things like gift
 1.888.564.9963 or visit www.bpcpa.ca to find out              certificates and gift cards from online classifieds.
 more about consumer contracts. Remember, price is            If the person o ers the gift card for less than the
 not everything because in the end it may cost you            value, the card may be either stolen or a fake.
 more than you planned.
                Top Ten
               SCAMS                            Continued...


             Cure-All Health Products                                     Prize O ers: You Don’t Have to Pay To
  5         Fraudulent “cure-all” health products                7        Play

            promise quick cures and easy solutions                         You may have attended a trade show and
to a variety of problems, from obesity to diabetes             entered a draw for a free trip, and several days later you
and cancer. Any product that claims to be a miracle            get a call you have won. Or, you received a letter that
cure may be a fraud that could cheat you out of time,          states that you have won an international lottery or
money and most importantly, your health.                       fabulous prize. The common trait to both these ‘winnings’
                                                               is that thing is that you must send them money, be
                                                               available for a home delivery or a special presentation, or
 QUICK TIP: Beware of ads that promise too                     provide them with some very personal information such
 much. Think twice before buying a product that                as your bank account or credit card number.
 claims it can do it all. Steer clear of a product that
 claims to be a “scientific break through.” If the
 first or only place you learn about a new                       QUICK TIP: If there’s a catch or condition, you
 treatment is through an advertisement on the                   haven’t won. If it sounds too good to be true, or
 Internet, be suspicious. Consult your health care              you’re not sure, check the o er out further. Contact
 practitioner before trying any new treatment. For              your BBB at 604.682.2711 or 1.888.803.1222. If you
 further information on health fraud, go to the                 think it's fraud, call the Canadian Anti-Fraud Call
 Competition Bureau’s website:                                  Centre, PhoneBusters, at 1.888.495.8501. To be
 www.competitionbureau.gc.ca/healthfraud                        removed from telemarketing calling lists contact the
                                                                Canadian Do Not Call List: 1.866.580.DNCL or go to:
                                                                www.lnnte-dncl.gc.ca.
             Guaranteed Vehicle Brokers
  6           After listing your used vehicle for sale in                  Bogus Cheques & Overpayment
              the classifieds, you receive a phone call
from a company advising you that they have a
purchaser for your vehicle. The caller asks for a fee
                                                                 8         Schemes

guaranteeing that the purchaser will pay more than                         In this scam, fraudsters typically target
the vehicle is advertised for. They promise that if you        people selling a product through classified ads, online
list your vehicle on their classified site and the vehicle      bulletin boards or people looking for work on
is not sold within 90 days, you will get your money            employment postings. The scammer sends a cheque for
back. Unfortunately, your vehicle is not sold, the             the listed product or service that is more than the
guarantee is not honoured, you can’t reach the                 negotiated price. The original cheque is usually stolen or
company and you are out of pocket the funds you                is a fake, and by the time the victim has cashed and
have given this company.                                       returned the excess funds, the scammer has disappeared
                                                               with the money and the product.

 QUICK TIP: The BBB advises consumers to be                    In reality, the company sends you information on how
 wary of brokers who “guarantee” auto sales with               you can lower your interest rates by contacting your
 prearranged buyers. Ask detailed questions such               credit card companies directly and negotiating. In some
 as: is the buyer specifically interested in your               situations, the consumer is not even eligible or able to
 vehicle, rather than a range of similar vehicles?             use these services.
 Always understand telemarketing o ers and ask
 for additional documentation. Certain telemar-
 keters must be licensed in BC. You can check to                QUICK TIP: Never accept payment for more than
 see if the telemarketing company is licensed                   your selling price. Never agree to refund the excess
 through the Business Practices and Consumer                    to a buyer or wire-transfer money to another
 Protection Authority of BC at www.bpcpa.ca or                  location. A legitimate buyer or employer would never
 1.888.564.9963.                                                ask you to do so. Consider using an independent
                                                                online payment service. Speak to your credit card
                                                                service provider to determine what avenues it has to
                                                                guarantee payment processing.
               Top Ten
               SCAMS                        Continued...


            Eco Cons: Are You Buying It?
  9         There are a number of products on
            supermarket shelves that are “green”,
 “eco-friendly”, “all natural” or “environmentally
 safe.” A study by TerraChoice Environmental
 Marketing found evidence of Greenwashing --
 making false or misleading green marketing claims –       For more information
 in 99% of products checked.

                                                                             Better Business Bureau
  QUICK TIP: Look for EcoLogo or Green Seal                                  of Mainland B.C.
  symbols that show third party testing of                                   Suite 404, 788 Beatty Street
  products. Be skeptical of marketing promotions                             Vancouver, BC V6B 2M1
  that o er to support environmental processes                               Tel. 604 682 2711
                                                                             Toll Free. 1 888 803 1222
  without proof the processes are subscribed to
                                                                             Email: inquiries@mbc.bbb.org
  and are e ective. Canada has guidelines for                                www.mbc.bbb.org
  green advertising that can be visited at the
  Competition Bureau website:                                                Better Business Bureau
  www.competitionbureau.gc.ca                                                of Vancouver Island
                                                                             #220-1175 Cook Street
                                                                             Victoria, BC, V8V 4A1
                                                                             Tel. 250 386 6348
             Spoofing Attacks
 10
                                                                             Toll Free. 1 877 826 4222
                                                                             Email: info@vi.bbb.org
             You may receive an email that looks                             www.vi.bbb.org
             like it is from an organization you
know, or visit a webpage that looks like it is from
your bank. When a person or program successfully
                                                                              Business Practices & Consumer
masquerades as another by falsifying data, this is                            Protection Authority of BC
spoofing. Spoofing attacks have grown and                                       PO Box 9244
become more sophisticated and have illegally used                             Victoria, BC V8W 9J2
organizations like the Better Business Bureau and                             Toll Free in BC. 1 888 564 9963
the Canada Revenue Agency to trick consumers                                  Email. info@bpcpa.ca
into sharing their information. The key common                                www.bpcpa.ca
tactic is to get you to either fill in personal
information or download malicious software on to
your computer to compromise your security and
                                                                              Competition Bureau Canada
put your identity and money at risk.                                          2000-300 West Georgia St
                                                                              Vancouver, BC V6B 6E1
                                                                              Toll Free. 1 800 348 5358
 QUICK TIP: If you receive an email from a                                    www.competitionbureau.gc.ca
 person or organization that instructs you to
 complete an online form, or download a
 program, stop. Organizations do not usually                                  BC Crime Prevention Association
 correspond only by email, especially without                                 #275 - 6450 Roberts Street
 prior contact. Call to check the legitimacy of                               Burnaby, BC V5G 4E1
 the email. Do not click the link or respond to the                           Tel. 604 291 9959
 email to play along, because you may expose                                  Toll Free. 1 888 405 2288
 your computer and your identity at risk. Delete                              Email: info@bccpa.org
                                                                              www.bccpa.org
 the email. If you fear your computer has been
 compromised, contact a computer technician
 to examine your system. Make sure to check
 your credit report annually with Equifax
 (1.800.465.7166 or www.equifax.ca) and Trans
 Union Canada (1.866.525.0262 or www.tuc.ca.)
 For more information about identity theft, go to
 the BC Crime Prevention Association website:
 www.bccpa.org.

								
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