The set-up for the scam
can be different every time: maybe they are buying something
you advertised, paying you to do work at home, or giving you
an “advance” on a sweepstakes. But, the Federal Trade
Commission and the National Consumers League warn that after
the initial hook, all “check overpayment” scams end the same
way – with a request for you to wire money back. The scams
are the fifth most common telemarketing fraud and the forth
most common Internet scam reporter to the NCL. The warning
about this type of fraud, often perpetrated across borders,
comes during March, Fraud Prevention Month.
Here is how the scam
operates: the person you are doing business with sends you a
check for more than the amount they owe you, and then
instructs you to wire the balance back to them. Or, they
send a check, and tell you to deposit it, keep part of the
amount for your own compensation, and then wire the rest
back for one reason or another. The results are the same:
the check eventually bounces, and you’re stuck, responsible
for the full amount, including what you wired to the
scammer.
The checks in these scams
are fake, but they look real enough to fool bankers. The
FTC and NCL offer these tips for avoiding check overpayment
scams:
-
Know who you’re
dealing with – independently confirm your buyer’s name,
street address, and telephone number.
-
If you’re selling
something over the Internet, say “no” to a check for
more than your selling price, no matter how tempting the
plea or convincing the story.
-
There is no
legitimate reason for someone who is giving you money to
ask you to wire money back.
These tips, and others, are
available online from the FTC as part of the section on
cross-border fraud of
OnGuardOnline.gov, and from the National Consumers League at
www.nclnet.org. OnGuard
Online is a multimedia, interactive consumer education campaign
launched last fall by the FTC and a partnership of other federal
agencies, the technology industry, and consumer advocacy
organizations including the NCL. The site covers online safety
topics, including spyware, identity theft, spam, and
cross-border scams. There is no copyright on the quizzes or
other information on
OnGuardOnline.gov; companies and organizations can download
the information and use it in their own computer security
programs.
Consumers should report check
overpayment scams to their state Attorney General, the National
Fraud Information Center/Internet Fraud Watch, a service of the
National Consumers League at
www.fraud.org or 1-800-876-7060, or the FTC at
www.ftc.gov or 1-877-FTC-HELP.
The FTC works for the
consumer to prevent fraudulent, deceptive, and unfair business
practices in the marketplace and to provide information to help
consumers spot, stop, and avoid them. To file a complaint in
English or Spanish (bilingual counselors are available to take
complaints), or to get free information on any of 150 consumer
topics, call toll-free, 1-877-FTC-HELP (1-877-382-4357), or use
the
complaint form. The FTC enters Internet, telemarketing,
identity theft, and other fraud-related complaints into Consumer
Sentinel, a secure, online database available to hundreds of
civil and criminal law enforcement agencies in the U.S. and
abroad. |
