The U.S. Better Business Bureau has launched a new website called Scam Source.
The new site features a channel for consumers to report scams they’ve encountered, a “Scam Aggregator” with links to articles around the web, and email alerts.
I encourage you to poke around the site and sign up for the alerts. It’s still new, so it will be interesting to see what scams they uncover.
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General Scams | Tagged: BBB, Better Business Bureau, Fraud, Scam Source, Scams | 
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Posted by Clint
The holiday season is a time when many people think about ways to help those in need. However, scam artists have been known to exploit this tendency and set up fraudulent charities to skim money from generous people.
Never give money or personal information to a person who calls, emails or approaches you out of the blue. If you receive a request to donate, research the charity before you respond. www.bbb.org and www.charitynavigator.org are a great place to start.
Beware of charities with names that are similar to well-known organizations, and never make a check out to an individual. Also never make a check out to “CAS,” no matter what “CAS” allegedly stands for; a crook has simply to add an “H” and they’ve got a check from you made out to “CASH.”
Better yet, decide now which charities you’d like to support, and make your donation early. When asked to donate to others, politely explain that you’ve completed your budgeted giving for the year.
Leave a Comment » | Charity Scams | Tagged: BBB, Better Business Bureau, Charity Navigator, Charity Scams, Fraud, Scams | Permalink
Posted by Clint
If it hasn’t already happened to you, it will: you’re going to lock your keys in the car, lock yourself out of the house or find out that a lock rusted shut over the winter.
You’re going to need a locksmith.
It happens to everyone, and yet it’s a need now complicated by con artists; it seems locksmith scams are on the rise.
Typically, victims start by searching online for a locksmith. They call a random listing and get a reasonable-sounding estimate over the phone. When the “locksmith” actually shows up, however, they start adding charges until the price is completely out of line. Since most people in need of a locksmith are in a tight spot, they often end up paying. Sometimes, as a bonus, the phony locksmith will damage your property.
How do you avoid this scam? Choose a locksmith now, before you need one. Either get one you’ve used before and already know to be trustworthy, or check out the Better Business Bureau and online reviews. Make sure you’re dealing with an actual local business instead of having your call routed to a national number, and refuse to use any locksmith that only accepts cash payment.
Once you’ve got your locksmith, save the number in your mobile phone and keep it handy at home.
When you’re away from home, it’s a little trickier to choose one on the fly, but you can still watch out for warning signs like rapidly-escalating costs and cash-only operations.
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Posted by Clint
If you find yourself unable to pay your debts, it might be time to look into a credit counseling agency. However, it pays to do your homework before deciding to go with a particular company. Here are ten tips to help you get started down the right path.
1. Ignore what’s on TV
If you watch TV for an hour during the day or late at night, you’ll probably see at least three commercials for some form of debt counseling, management or relief agency. Ignore them all—these are usually for-profit companies concerned only with their own interests; whether or not you get back on your feet doesn’t even matter to them. Many are outright scams; nobody at the cable company is really investigating the commercials they run. As long as somebody pays, they’ll run the ads.
2. Nonprofit only
Make sure any credit counseling agency you use is a nonprofit. There is no reason to go with a for-profit credit counselor. To be safest, stick with those with at least 10 years in business.
3. Check the BBB
Check out any agency with the Better Business Bureau before you contact them. Stick to those with A or A+ ratings; there are plenty of these, leaving no reason to go with a B, C or D-rated company.
4. Make sure they are accredited
Check out any agency with either the Association of Independent Consumer Credit Counseling Agencies (AICCCA) or the National Foundation for Credit Counseling (NFCC) before working with them. These associations have strict guidelines for membership.
5. Find out about fees
Depending on what your needs are, many agencies do charge some form of fee. However, these should be in the $50 – $100 range at most. Anyone asking for thousands of dollars is running a racket.
6. Ask lots of questions
You need information, sure, but you also need to get a sense of who you’re dealing with. Even if you already know some of the answers, ask lots of questions anyway. If they’re evasive or give brush-off answers without explaining things, that’s a red flag. Move on.
7. Ignore offers to erase, reduce or repair
There is no legal way to remove accurate negative information from your credit history. If you go into credit counseling, your rating is going to take a hit for a while. That’s just part of the deal. But anyone offering to reduce your debts or erase your credit history is probably running a scam.
8. Don’t give them your information first
An agency that is unwilling to give you free information about their services without you first revealing personal details is to be avoided.
9. Talk to others
You probably know someone who’s already been through this. Talk to them. Find out if they had good or bad experiences with an agency.
10. Take your time
Don’t rush into making any decisions on credit counseling, and avoid agencies that pressure you. These are important decisions, and while it’s going to be great to eventually get out from under your debts, things can be less than ideal in the short term; you want to make it as easy on yourself as possible. Falling into a scam or getting ripped off will only make things worse. Proceed with courage, but proceed with caution!
Comments Off | Credit Counseling | Tagged: AICCCA, Association of Independent Consumer Credit Counseling Agencies, Better Business Bureau, Credit Counseling, Credit history, Debt, National Foundation for Credit Counseling, NFCC | Permalink
Posted by Clint
To many people, this time of year is synonymous with “giving.”
It’s a season that brings out the best in us; we give thanks, we give gifts, and we give to those who are less fortunate than we.
However, it’s also a season that brings out the worst in others. They know a lot of people are in a giving sort of mood, and they take advantage of it. It seems like for every charity providing money and services to those in need, there is at least one organization whose primary mission is to line its own pockets. So how do you avoid charity scams during the holidays and throughout the year?
One of the best ways to give is to simply decide ahead of time which organizations you’re donating to this year, and make your contribution by contacting them directly. When a representative of another charity approaches or calls, simply explain that you’ve already made your contributions for the year. Many people give in this way, so they should be polite and accept your answer. A rude or hostile response is a sign of a charity that isn’t on the up-and-up.
You can also donate something other than money. Clothing and food are always popular items, or you can choose to help out where it is needed. Ask around—I can guarantee somebody needs you somewhere. Plus, donations of time and effort can be more rewarding than monetary giving, as they can bring new experiences and face-to-face contact with the people you’re helping.
Be wary of charities that contact you by email, unless you’ve given in the past and provided this information. Unsolicited email is always pretty sketchy to begin with; clicking on a link and providing credit card or other information can lead you straight into identity theft. However, if you gave to an organization before and provided your email, they may use it to contact you in the future, since it saves money on postage.
If someone approaches you in person or calls, be sure to ask what percentage of funds goes to the people the charity serves. A legitimate charity should expect this question and equip its callers, whether volunteers or paid employees, to answer it truthfully. The question is almost a litmus test in itself—every organization has operating expenses, so an answer like “100%” probably isn’t true, and as always a hostile or evasive response is a sign of a crooked charity. Ask for information to be sent to you, or ask for a website address, because you’re not going to give your credit card information to someone over the phone no matter who they claim to be, are you?
Donating by check is better than cash, because it gives you a way to track your donation. However, writing a check also puts your checking account number into someone else’s hands. If you trust the organization, that’s your call to make, but for an extra level of safety a cashier’s check is even better—even a legitimate charity can misplace a check or have its office burglarized. Finally, when it comes to checks, always make the check out to the charity, not an individual, and never trust anyone who tries to get you to make a check out to “CAS,” no matter what the initials supposedly stand for. All a thief has to do is add an “H” and they’ve got a check, from you, made out to “CASH.”
Do your homework before you give a single dime to anyone. Check out charities with the Better Business Bureau or Charity Navigator. Don’t assume that nonprofit status means anything, since crooked charities hide behind this designation. Finally, pay attention to the name of the charity—the difference between “Foundation” and “Fund” can be the difference between helping those in need and helping a thief buy a spare Jaguar.
Comments Off | Charity Scams | Tagged: Better Business Bureau, Charitable organization, Charity Fraud, Charity Navigator, Charity Scams, Fraud, Scams, Spam | Permalink
Posted by Clint
