Each year there are thousands of surprise stories about multi-million-dollar scams on trusting people who lose their life savings. These crimes actually are not the ones we fear most compare to violent ones that threaten our physical and emotional health. These crimes are the kinds that though not as deadly as the violent crimes but they can ruin and mean tremendous financial loss.
The Consumer Federation of America and the National Association of Consumer Agency Administrators have identified some of the worst of these crimes. Among them are as follows:
- Some businesses were closed down upon the request and recommendation of the U.S. Postal Service due to mail fraud. Imagine a nail advertised as a universal coat hanger and being sold for just $4. Someone has ordered a high-tech solar clothes dryer only to receive a clothesline and clothespin in the mail. Many are still swindled by these false or misleading advertisement despite that is has been around for decades.
- The Alliance Against Fraud in Telemarketing estimated $15 billion cost of telemarketing fraud in 1991 alone and continues to grow. Among the schemes are fake promises of credit cards and prizes. Someone would call and tell you that you win big prize but you must provide credit card number for verification and for you to claim the prize. The credit card information you gave will then be used to swindle you in many ways.
- Loan brokers would collect filing fees from people they know would not qualify for any kinds of loan
- Home improvement contractors would befriend our old folks by offering free inspections. Later would tell them of small problems and would promise to fix them when they return. After asking for few dollars to buy what is necessary they never return.
- Employment service would sell lists of jobs that do not actually exist or they would run an add that refer inquiries to a specific number for which the job seeker pays but never get their job
- You will be asked to withdraw money and give it to them who identified themselves as somebody from the bank, an IRS agent or a policeman. They would explain that it is necessary so they can check the serial number of the notes. Later the money vanishes and so do they.
- The old pyramid scheme where you will be offered to invest and the ground-floor investors are promised a part of every dollar they get friends to invest. Very soon no money will be left and the pyramid collapses so as the entire organization.
- Home-based job. You don't have to leave home and do your work right there. But you have to buy how to do it books first so you would qualify. You will find out later that the job offer does not exist and they do not buy back books.
- If you want to go to an independent shop when your car brakes down - it is your prerogative but most of the time they charge you more than the dealer where you bought the vehicle
- When a caller ask you to confirm an order, say you need time to think things over and ask more information by mail. But never disclose important information about yourself or others in your household over the phone to a stranger.
- Phone swindlers not the certified telemarketers are trained to make high-pressure telephone sales tactics. They would create a false sense of urgency, a limited time about what they are offering. Do not fall to their aggressiveness.
- If you believe you have been cheated. Do not get mad or get even. Call the right number in-charge of consumer protection.
Never reveal to a stranger that you are most of the time alone at home. Do not permit tradesmen or any visitor to wander through your house. Use only your last name and first initial on you mailbox or in the telephone directory. Get to know your neighbors and make friends. They are the first ones who will be concerned about your safety and to whom you can turn for help.
