Thursday, October 14, 2010

Understand Fraud before it hits you

Do you know the warning signs of fraud?

I got this in the mail the other day and thought its always a good thing from time to time, to mention this kind of thing.

The warning signs of fraud; if something:
  • Sounds too good to be true
  • Pressures you to "act right away"
  • Guarantees success
  • Promises unusually high returns
  • Requires an upfront investment - even for a free prize
  • Buyers want to overpay you for an item and have you send them the difference.

  • Doesn't have the look of a real business

  • Something just doesn't look right
  • Never click on a link inside an email to visit a web site. Type the address into your browser instead.
  • Its easy for a business to look legitimate online. If you have any doubts, verify them with the Better Business Bureau.
  • Only 2% of reported identify theft occurs through the mail. Report online fraud to the Federal Trade Commission.
  • Retain your receipts, statement and packing slips. Review them for accuracy.
  • Shred confidential documents instead of simply discarding them in the trash.
Fraud Facts:

  • Your bank will never email or call you for your account number.

  • Don't wire money to people you do not know.

  • Be cautious of work-at-home job offers.

  • There are no legitimate jobs that involve reshipping items or financial instruments from your home.

  • Foreign lotteries are illegal in the U.S. You can't win no matter what they say.

  • Check your monthly bank statements for charges you don't recognize.

  • Order a copy of your credit report from each of the three national credit bureaus once a year from, or check with your bank to see if they have a privacy protection plan that includes this.
For more information, see


  1. One small thing, Foreign lotteries are not necessarily illegal, but if you win one you do have to pay the IRS the taxes. There was a fellow that won the Canadian lottery a few years ago, he had the IRS on his doorstep the next day, demanding their cut up front, he refused, first and foremost because he had not collected anything. And last I heard he was considering not going to go get it because he felt the IRS had no legitimate claim, or if he did go get the money he wasn't coming back here until long after the time limits ran out or maybe never. So yes you can buy all the foreign lottery tickets you want and even win, but know that if you do the IRS will be there with their big fat hand out.