The world’s scammers and fraudsters have gravitated to the Internet, and it’s very easy to get caught. To help protect consumers, the Australian Competition and Consumer Commission (ACCC) has released a very informative little black book of scams to help identify scams and suggest tips on avoiding them. Here are the top ten online swindles, rorts and rip-offs and how you can avoid them.
1. Lotteries, sweepstakes and competitions
The scam: People are lured by the excitement of a surprise win and find themselves sending huge amounts of money overseas to claim fake prizes.
How to avoid it: Keep this in mind - you cannot win money or a prize in a lottery unless you have entered it yourself, or someone else has entered it on your behalf. You cannot be chosen as a random winner if you don’t have an entry.
2. Chain letters and pyramid scams
The scam: Chain letters and pyramid schemes promise a large financial return for a relatively small cost. Pyramid schemes are illegal and very risky—and can cost you a lot of money.
How to avoid it: Ask yourself if I am not selling a genuine product or service, is participation in this activity legal?
3. Golden investment opportunities
The scam: Offers, usually via spam, to invest in high-risk money-making schemes promising ‘risk-free investment’?
How to avoid it: Be wary of investments promising a high return with little or no risk and avoid the ‘get rich quick’ pushers. Generally, the higher the promised return, the higher the risk of loss involved.
4. Betting and computer prediction software
The scam: Usually offered to individuals who love (delete the s in loves) gambling. Promises accurate prediction of results, but when the software does not function properly, you can’t get a refund.
How to avoid it: Gambling is a game of chance, and chance is hard to predict. Don’t be tempted to buy software that promises to predict accurate results of betting games, but why would these individuals sell this software and not just it themselves to earn money?
5. Money transfer request
The scam: Also known as "advance fee fraud", this usually takes the form of an email requesting for your assistance to transfer money on their behalf in exchange for commission. You will be asked to provide your bank account details and ask you to pay certain taxes.
How to avoid it: Don’t send money or give your credit card details to someone you don’t know and trust. Ask yourself the question, is it really safe to transfer money for someone you don’t know.
6. Banking, credit card and online account scams
The scam: Using new technology to steal bank account details and other personal information. Can either be phishing or the use of email to get bank account details and personal information, fake fraud alert, or the use of email or telephone to inform you that something has gone wrong with a particular account you own, and card skimming or the copying of credit card information from the magnetic strips.
How to avoid it: Don’t click on links attached to email or send your credit card and personal information through email or to an unknown website. Likewise, don’t give out your personal information over the phone.
6. Spam
The scam: Spammers send spam email to randomly selected email addresses attached with malicious software that attacks files stored in personal computers, without owner’s permission.
How to avoid it: Don’t reply to spam emails even to unsubscribe as this informs the spammer that your email address belongs to a real person. Ask yourself the question if you suspect a spam email, will I risk the security of my computer?
7. Mobile phone scams
The scam: Using phone calls or text messages to entice you to call a certain number which could charge you premium rates for call and text messages. Before you know it, you’ve consumed air time rates on your mobile phone service network.
How to avoid it: Never reply to a call or text messages from a suspicious number registering on your mobile phone call log. Don’t call back phone numbers starting with 19, chances are you will be charged with international call rates.
8. Health and medical scams
The scam: Offers various health and medical procedures or products that promise to help you cure an illness or lose weight, or offers cheap drugs and medicine.
How to avoid it: Don’t trust unsubstantiated claim about a certain "cure-all" wonder drug and always ask for published medical and research papers support the medical claims.
9. Psychic and clairvoyant scams
The scam: Offers secrets to success and wealth and claims to have the sure path to good fortune and money and yet charges money for services done.
How to avoid it: Don’t fall into the psychic powers because of curiosity or peer pressure, the psychic is a complete stranger and doesn’t know you at all. Ask yourself, am I putting myself, my family and friends at risk by acting on the random advice of stranger?
10. Dating and romance scams
The scam: Takes advantage of your romantic and compassionate side by befriending and enamoring you until such time that you’re besotted by them, , before asking you for money. Normally happens on dating sites and online social networks.
How to avoid it: Don’t trust anybody you meet on the web unless you’ve met them personally and have spent quite some time knowing them. Participate in legitimate and secure online dating websites only.
No comments:
Post a Comment