Dont get burned by work at home scams!

We have all seen the signs on the side of the road or received an annoying email telling you you can “be your own boss” or “earn six figures from home”.  We would all love to make a lot of money fast and easily but it is just not reality. Many of these SCAMS are pyramid schemes where a percent of what you make goes to the person who signed you up and you get a percentage of any one you signed up. Although you can make money with these you have to be willing to be a little pushy and possibly buy products from a specific company at no real discount. Other programs offer to help you get started as a medical transcription or a bill collector(usually called by a different name), but you have to give them an up front fee. Especially watch out for any scheme that could get you in trouble with you state licensing agencies, you can get sued or fined heavily. Here are some examples to watch out for:

• Signs or emails claiming to give you a way to get rich quick and easy.
• Programs that ask for a fee up front.
• Any schooling that can be done in a few weeks or even months from schools you have never heard of.
• People posing as a common business or Internet company you have heard of(Google, Amazon, ebay), it is easy to make an email look like an official business email.
• Know that people wont go out of their way to show you the secrets of their success without there being something in it for them. These businesses need you much more than you might need them.

Finally do your research, the Internet is a great way to find out about possible scam business opportunities. Do a Google search of the companies name and a search on that particular business(i.e. medical transcription, medical coding). Also feel free to send us an email and we can do some research for you. If you are interested in finding some legitimate ways to work from home check out a list from about.com and some tips to starting a home based business from entrepreneur.com.

Stumble It!

Bank scam’s becoming more frequent

Scams targeting your account information are getting more frequent. The ones I have seen are in the forms of emails, phone calls, or text messages informing the recipient that their account has been suspended and they will need to call a customer service number. Once they have you on the line they will want you to verify all your account information so they know it is you. Unfortunately on the other end is a scam artist probably in some apartment half way across the country with all your private information. They will say they are from a local bank in your area, in my case Bank of the Cascades and will just start contacting anyone in the area. In my case I don’t even bank at the Bank of the Cascades but they figure if they send it to 10 people they will catch 2. Here is a recent text I received:

“Bank of the Cascades alert: your card has been DEACTIVATED. Please contact us at 541-647-1133 to REACTIVATE your card.”

The only thing we can do is to alert your local police department and the bank you have received the text about. Some people can lose a lot of money before they can be shut down so pass it on to everyone you know.

Top 5 tips to recognize a lottery scam

We all dream of winning a lottery and and living in the lap of luxury, in swoops in the scam artists! Many of these scams play off our dreams, and promises us an insiders chance of winning these fictitious lotteries, for a price. First and foremost lets get this straight, there is no way of improving your chances of winning a lottery, you have the same odds of winning as anyone else and those odds are usually astronomical. We are emotional creatures and that’s what these scammers live off of. some of these scams will offer you a better chance of winning a lottery or say that you have already won in some magical way, then they will need money up front from you to process your payment or need your bank account number to set up an account with the lottery. Many of these scams contact you through your email account (which can easily be acquired no matter how careful you are), phone number, or postal mail. If you have already been scammed you should contact your local law enforcement, your financial institute, and the US Federal Trade commission (FTC). Here are some tips to help you recognize lottery scams and an example letter.

1. You have been contacted even though you have never entered a lottery.
2. NEVER GIVE MONEY UP FRONT OR ANY OF YOUR FINANCIAL INFORMATION.
3. Research the lottery you have been contacted about and make sure they have a physical address and a land phone line(not a cell phone).
4. Don’t let your emotions overrule your common sense.
5. Never trust any email, phone call or postal mail from anyone you don’t know.

Sample letter:

MEGA LOTTERY INTERNATIONAL website: www.megalottery.com

INTERNATIONAL PROMOTION/PRIZE AWARD DEPT.

REF Number : MLI/231-ILGI0431/04
BATCH Number : EAPA/15/096/PTNL
TICKET Number : 20511465897-6291
SERIAL Number : 472-971103
LUCKY Number : 8-66-97-22-71-64

RE : WINNING FINAL NOTIFICATION

Sir, Madam

We are pleased to inform you of the result of the Lottery Winners International programs held on the 29th of April 2004 Your E-mail address attached to Ticket number 20511465897-6291 with Serial number 472-971103 drew lucky numbers 8-66-97-22-71-64 which consequently won in the 2nd category, you have therefore been approved for a lump sum payout of US$ 1,500,000.00 (One Million ,Five hundred Thousand United States Dollars).This is from a total cash prize of USD$15,000,000.00 Million shared among Ten International Lucky Winners in the Category A ( Plus )+ . CONGRATULATIONS!!!

Be informed that your documents have to pass our authority to obtain a clearance, which shall be attached to your Document in readiness of the subsequent onward transfer into your nominated bank account with 24 hours of completion of the authentication. Due to mix up of some numbers and names, we ask that you keep your winning information very confidential until your claims have been processed as the Beneficiary Certificate Ownership Winning Notification, Stamp duties and re-activation of Account of your prize /money remitted in readiness of the subsequent onward transfer into your nominated Bank Account is completed

This is in conformity with the latest transfer regulations signed by the Organization / Netherlands Government since this is part of our Security protocol measures to avoid double claiming and unwarranted abuse of this program by some participants. All participants were selected through a computer ballot system drawn from over 100,000,000 Companies and 200,000,000 individual email addresses and names from all over the world, through the aid of our insurance Company www.ballonetsl.hq3.com

This promotional program takes place annually. We hope you will take part in our next year USD$45 Million International lottery. To file for your claim, please contact our /your fiducial agent MRS CATHERINE BLAKE the DOLLAR ACCREDITED PAYMENT AGENT
TEL: +31-650-470-334
FAX: +31-650-470-334
Email : cathyblake@winning.com

NOTE: That all winnings must be claimed not later than 30th of MAY 2004. After this date all unclaimed funds will be included in the next stake. Anybody under the age of 18 is automatically disqualified.

Finally, we call on you to make sure that you note every letter clearly as stated for we will not be held responsible should there be any complications in this transaction due to laxity on your part. So you are to expedite action in claiming of your funds, for delays will compel us to disperse your funds, in other words, we shall divert your funds as stated above. In order to avoid unnecessary delays and mistakes, Kindly remember to quote your reference number and batch numbers in all correspondence.

Furthermore, should there be any change of address do inform our agent as soon as possible. Congratulations once more from our members of staff and thank you for being part of our promotional program.

Yours truly
Mr Harry Herman
Lottery Coordinator

What is a Ponzi Scheme scam?

Ponzi Scheme is false returns on an investment in order to get the confidence of an investor. A scam artist may pay money out of their own pockets in order to convince an investor to give them more access to their portfolio. This particular scam relies on your natural desire to make easy money. This particular scam is named after Charles Ponzi who all though was not the first, was possibly the worst. At the beginning of the century he swindled around $500,000 from investors, and was eventually caught and spent three and a half years in prison. The scam has many variations and may look very different, here is some things to look for:

• Any promise of a return higher than 0.1% return per day.
• A request for a much higher investment after an initial successful campaign.
• You have never heard of the investment company

The bottom line with investing and letting anyone have access to your portfolio is do your research. Scam artists are very clever and charming and can fool even savvy investors.

Beware of get rich quick scams and pyramid schemes

The way these get rich quick scams work is by getting you to give them your money. Basically you buy their program and they will teach you how to rip other people off. Its kind of like the add in the paper that says send me 5 dollars and I will send you the secret to making a million dollars. The secret is to put a add in the paper saying send me 5 dollars and I will send you the secret to making a million dollars. Sadly the target market for get rich schemes and pyramid schemes are the poor, the elderly, or people who are already in debt. And if you want to make money on a pyramid scheme you should start one yourself, otherwise you are just making money for other people. These are examples of common schemes:

1. Buy real estate for pennies on the dollar.
2. Wealth building seminars.
3. Risk free stock market schemes.
4. Muli-level marketing (pyramid scheme).
5. Secret ways to make money that no one knows about.
6. Psychic tips or betting tips.

Here are examples of phrases to run from:

1. Get in at the top.
2. Send us money and we will help you make money.
3. Business opportunities “they”  don’t want you to know about.
4. I made $10,000 dollars in 30 days, you can to.
5. Make money from home.
6. Want to make millions working part time?
7. If I can do it so can you.
8. You don’t need any education.

Remember the scam protectors golden rule; if it sounds to good to be true then it probably is.

Top 7 sign’s you’re getting scammed!

Here is a quick list of phrases you should watch out for:

1. You must act know!
2. You need to reset your passwords!
3. You owe back taxes!
4. You have won some money (variation is you have unclaimed money) !
5. You get a high yield return with no risk!
6. Do you know who this is?
7. You have to send your payment via money order or wire transfer!

For a more comprehensive list download our telemarketers cheat sheet. Great for high risk family members, laminate it and keep it close to the phone. Telemarketers cheat sheet

Killer for hire scam-Hitman scam, this one will creep you out!

Some of you might be thinking who would fall for this, but unfortunately some do. Fear is a very nasty weapon, and scam artist’s know it. Here is a sample e-mail threatening to kill the recipient if they do not pay them:

This is the only way I could contact you for now,I want you to be very careful about this and keep this secret with you until I make out space for us to se. You have no need of knowing who I am or where I am from.I know this may sound very surprising to you but it’s the situation.I have been paid some ransom in advance to terminate you with some reasons listed to me by my employer.It’s someone I beleive you call a friend, I have followed you closely for a while now and have seen that you are innocent of the accusations he leveled against you.Do not contact the police or try to send a copy of this to them,because if you do, I will know,and I might be pushed to do what I have been paid to do.Besides, this is the ist time I turn out to be a betrayer in my job.I took pity on you,that is why I have made up my mind to help you if you are willing to help yourself.

Now listen,I will arrange for us to see face to face,but before that, I need $12,000. I will come to your home or you determine where you wish we meet;I repeat, do not arrange for the cops and if you play hard to get, it will be extended to your family.Do not set any camera to cover us or set up any tape to record our conversation, my employer is in my control now. Payment details will be provided for you to make a part payment of $5000 first,which will serve as gurantee that you are ready to you co-orperate,then i will post a copy of the video tape that contains his request for me to terminate you which will be enough evidence for you to take any legal action against him before he employs another person for the job. You will pay the balance of $7000 once you receive the tape.

Warning; do not contact the police, make sure you stay indoors once it is 7.30pm until this whole thing is sorted out,if you neglect any of these warnimgs, you will have yourself to blame. You do not have much time, so get back to me immediately

Note:I will advise you keep this to yourself alone, not even a friend or a family member should know about it because it could be one of them.

Even when I know this is a scam I still get an eerie feeling. Also understand that if 99% of people will not comply, it still leaves that 1%. We need to get the word out before that 1% is left sick with worry. Note the poor English, it seems to be a reoccurring theme with a lot of scams.

Also check out our top 10 scam’s list, and our list of fraudulent websites list.

 

NASAA’s Senior Investor Resource Center

The North American Securities Administrators Association has the most thorough resource center on the web. In particular is their Investigation Form, if we could get this form out to everyone interested in investing, it could save consumers from a devastating financial blow. The form is laid out to ensure that all precaution’s are taken. Any reputable Investment firm will be happy to provide their potential customers with this information, as it is also in their best interest that investors ask for credentials. Here is a sample form,they also provide a printer friendly copy at their website NASAA.org

Seller/Agent Information
Seller/Agent Name:	______________________________________
Company/Business Name:	______________________________________
Company/Business Address:	______________________________________
Phone Number:	______________________________________
Today’s Date:	______________________________________

1. What products are you offering? (check all that apply)
Annuities	Securities
Living Trust	Estate Planning
Accounting	Other__________________________
2. Who regulates or licenses this product or service?
3. How does this product meet my investment objectives?
4. What are the risks?
5. What written information will I receive about this investment before making a decision?
Prospectus	Offering Memorandum
Most Recent Annual Report	Most Recent Quarterly or Interim Report
Recent News Releases	Research Reports
6. What license(s) do you hold that authorizes you to sell this product or service?
LICENSE TYPE	LICENSE INFORMATION
Insurance License	License No: ____________________________
Securities License	CRD No: ______________________________
Investment Advisor	License No: ____________________________ Corporation SEC
State Bar License	State Bar No:___________________________
Accountant License	CPA No: ______________________________
Real Estate License	DRE License No:________________________
Other	Explain: _______________________________

The grandchild scam; how low will they go?

This one starts with a simple phone call. Here is a sample phone call.

Scammer: Hi grandma!

Innocent senior: Hello

Scammer: Do you know who this is?

The senior will generally say one of their grandchildrens name, once they do the scammer says yes and will then tell the senior that they need money for an emergency (got in trouble, have to pay rent, car broke down). Stressing not to tell Mom because she will be mad at the grandchild.

Innocent Senior: Chris?

Scammer:yes, I have gotten into some financial trouble and need to borrow $800 dollars for my rent.

The scammer will then instruct them to send the money via money gram or western union.

Our main suggestion would be never to volunteer any information. This is hard when they feel it is a loving member of their family. This scam can only be stopped if we can get the word out. Share this story with a friend and ask them to do the same.

2nd annual Senior Summit; Investment scams!

This is the big one. If there is one scam that seniors should be talking about it is this one. The amount of money that is being stolen is astronomical. At the 2nd annual Senior Summit, Chris Hansen the Associate Executive Director at AARP, recited the statistic that three fourths of all assets in America comes from families in which the head of the household is over 50 years of age. One of the main topics discussed at the Summit was investment luncheons. These are luncheons set up by a group of so called financial advisor’s or investors, that target portfolios.

These are only a few of the highlights:

1. The salesmen will Try and gain your trust and then push for aggressive choices that pay them large incentives.
2. These salesmen advertise the luncheon or workshop as educational. Then when they get you there or a few days later they aggressively try and convince you to take action.
3. Just because someone shows you a certain license does not mean that they are legit, remember these people spend a good amount of time thinking of ways to take your money.

I am going to give you the hyper link for the Summit, and I do advise people watch the whole thing. Also send the link to friends and families, to local retirement communities, and senior centers.

2nd annual Senior Summit