How Not to Be Victimized by Online Financial Scams
Internet crime, also known as cyber crime, is an ongoing problem throughout the world. Just in the United States, over $500 million is lost yearly to internet scams. The only way to stop cyber crime is for the general public to be able to spot an online criminal before becoming his or her next victim.
Online dating scams
These scams are usually conducted by foreigners who target women over 40 who are either divorced or widowed. The scammer will contact the victim and start an online relationship. Their goal is to have their victims fall in love with them so they can con them out of money. The golden rule of internet dating is to never send anyone money.
An online crime complaint can be filed with the FBI and the White Collar Crime Center.
Online car buying scams
Buying or selling a car online might seem convenient, but it’s also very dangerous. Websites like Craigslist is a breading ground for scam artist.
Sellers attract buyers by pricing cars way below their market value. The seller (usually a foreigner) tells the buyer to send him a wire transfer for payment, but once the money is sent the buyer never hears from the seller again.
The same scam works the other way around by the buyer offering to send a cashiers check with extra funds to cover shipping charges. Then the buyer has the seller forward the money to a fraudulent shipping company. In the end the seller bounces the check.
I recommend never selling a car to someone you cannot see face-to-face and never allow the car to be picked up until the check clears the bank.
Car buying scams should be reported to the National Consumers League (NCL).
FBI impersonation scams
Receiving an email from the FBI would strike fear into anyone. Criminals use this fear of authority to scam the public out of money. These scams usually come in the form of get rich inheritance scenarios, bogus lottery winning notifications and extortion threats.
The FBI would never contact someone via email. They would only contact the person on the phone or in-person.
Contact your local FBI office if you become a victim of this scam.
Identity theft
Identity theft is an old scam that has been revived by the internet. Via the internet a victim’s personal information is sold online to the highest bidder.
If you notice any strange charges on your monthly statements contact your bank right away. It will take time, but most banks will be able to restore your financial identity.
Work-from-home scams
Because of the high unemployment rate work-from-home scams have become very popular. Cyber criminals scam job seekers into becoming money launder mules. The criminals also steal the identity of the job seekers. The worst part of this scam is that the victims are unknowingly breaking the law and could end up in jail.
If applying for a work-from-home job always research the company on the Better Business Bureau website. A job seeker should never have to pay to work.
