Scammers Use Better Business Bureau Name To Commit Scams

Written by Dean Phillips

The Better Business Bureau recently issued a national alert to warn consumers and businesses about two questionable operations that are falsely usingrepparttar BBB name to scam victims.

One business is perpetrating an advance fee loan scam that targets consumers and businesses with poor credit records. It has provided as a reference fictitious BBB phone numbers that are answered by representatives who falsely claim to be withrepparttar 127535 Better Business Bureau and provide a positive report onrepparttar 127536 business in question.

The other entity, which appears to be a telemarketer, is contacting local businesses, falsely stating to be fromrepparttar 127537 BBB and calling about a complaint or to update BBB files. The telemarketer proceeds to ask questions that have nothing to do with BBB business and leaves as a contact number 1.800.CALL.BBB.

"Bureaus acrossrepparttar 127538 country are reporting calls from victims. These scammers are falsely usingrepparttar 127539 Better Business Bureau name to try to gain credibility with potential victims," said Ken Hunter, president and CEO ofrepparttar 127540 Council of Better Business Bureaus. "We urge people to double-check with their local BBB whenever they receive a dubious phone call or seerepparttar 127541 BBB name tied to a questionable promotion. We’re easy to find inrepparttar 127542 telephone directory or onrepparttar 127543 web at"

A company called Kirkland Russell and Thomson (KRT), supposedly located in Houston, advertises loans to individuals and businesses. KRT representatives claim thatrepparttar 127544 business is a member ofrepparttar 127545 BBB and suggest that interested customers call fictitious phone numbers forrepparttar 127546 "Southwestern Division ofrepparttar 127547 BBB in Oklahoma City" andrepparttar 127548 BBB of Metropolitan Houston to requestrepparttar 127549 company’s BBB report.

"The company is usingrepparttar 127550 BBB name as a shill for its business. These are notrepparttar 127551 phone numbers ofrepparttar 127552 BBB's in Oklahoma City and Houston. And, neither Bureau has issued a satisfactory report on KRT. The company has produced and is distributing a fake, glowing BBB reliability report," Hunter warns.

According to complaints torepparttar 127553 BBB, KRT tells customers that they have been approved for a loan and must send a fee for "insurance." KRT asks thatrepparttar 127554 fee, often about $2,000, be wired to various addresses in Canada and New York. Consumers are required to submit personal information, such as Social Security number, bank account number and pay stubs.

How To Avoid Getting Scammed

Written by Dean Phillips

Listed below are some ofrepparttar most popular and common scams:

1. Nigerian Letter Scam: This one's been around for many years but continues to flourish. Many of these e-mails claim to be from a person in Africa, usually Nigeria. The writer claims to have access to millions of dollars, either from a relative or from knowledge of an idle account. A percentage of this money is promised torepparttar 127534 victim if they will allowrepparttar 127535 money to be processed through their personal bank account. The victim is instructed to keep their share and sendrepparttar 127536 remaining money torepparttar 127537 scammer.

The check given torepparttar 127538 victims is fraudulent. The victim is then liable torepparttar 127539 bank forrepparttar 127540 check they wrote torepparttar 127541 scammer.

Here's what will happen when you give strangers your bank account information: They will take your money. Period.

2. Phishing Scams: "Phishing" is a high-tech scam that uses spam or pop- up messages to deceive you into disclosing your credit card numbers, bank account information, Social Security number, passwords, or other sensitive information.

Phishers send an e-mail or pop-up message that claims to be from a business or organization that you deal with--for example, your Internet service provider (ISP), bank, online payment service, or even a government agency. The message usually says that you need to "update" or "validate" your account information.

Recent phishing victims include Yahoo, Citibank, eBay, Best Buy and Bank of America among others.

If you get spam that is phishing for information, forward it to

3. Chain Letters: In this classic scam, you're asked to send a small amount of money (usually $5.00) to each of several names on a list, and then forwardrepparttar 127542 letter including your name atrepparttar 127543 top ofrepparttar 127544 list, via bulk e-mail. Many of these letters claim to be legal. They even include a section ofrepparttar 127545 U.S. Postal Code on illegal schemes. Don't be fooled. They are not legal. And if you participate, not only will you be breakingrepparttar 127546 law, you'll lose your money as well.

4. Work-At-Home And Business Opportunity Scams: These scams tempt victims with ads stating "no experience necessary," promise high earnings and claim to have inside information. The scammers usually require victims to pay anywhere from $35 to several hundred dollars or more for information, kits or materials that do not providerepparttar 127547 promised results.

Frequently, these schemes involve making handicrafts, stuffing envelopes, medical billing, or state, "Use your home PC to make money fast in your spare time!"

Inrepparttar 127548 craft making or envelope stuffing scam, after paying fees and completingrepparttar 127549 assembly ofrepparttar 127550 products, victims are told their work is low quality and unworthy of compensation.

Medical billing scams require victims to purchase supplies and lists of doctors who, inevitably don't exist or are not interested inrepparttar 127551 service.

5. Bulk E-mail Scams: These solicitations offer to sell you bulk e-mail addresses (spam software) or services to send spam on your behalf. Example: "Reach 100 million websites, $39.95"! The software is usually of poor quality. It's spam and a scam. Don't do it.

6. Auction and retail scams: These schemes typically offer high-value items, such as Cartier watches, Beanie Babies and computers, in hopes of attracting many consumers. What happens isrepparttar 127552 victim winsrepparttar 127553 bid, sendsrepparttar 127554 money and receives nothing or receives products of much lower quality than advertised.

7. Guaranteed Loans or Credit Scams: This scam comes in a variety of flavors: home equity loans that don't require equity in your home, personal loans regardless of credit history, etc. After you payrepparttar 127555 application fees, you receive a letter saying that your loan request was denied. Usually, you never here from these companies again.

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