BEWARE OF SCAMMERS & OTHER CON ARTISTS

If you get a chance, pick up the March 2006 edition of Readers Digest and turn to page 82, you'll be glad you did. Here are some of the new scams you'll encounter according to Max Alexander...

CHILD IDENTITY THEFT - You know, its really sad and disgusting when someone would steal the identity of a child. The Identity Theft Resource Center estimates that over 400,000 children had their identities ripped-off in 2005. Two-thirds of those thefts are committed by a family member. The thief takes the information and applies for several credit cards for personal use, or sells the information on the black market, or uses the identity when apprehended by law enforcement. Its suggested to NEVER carry such information on your person and whenever possible, keep it locked up and hidden.

ONLINE EMPLOYMENT RESUME SWINDLE - You've posted a resume online. A con artist then acts as a potential employer in getting your e/mail address, phone number and other information gleaned from the posted information. Next you get a call, an e/mail or letter from a faux money transfer service asking you to participate in a money-wiring service pilot program or marketing study. The scammer sends you what is a counterfeit check to deposit in your bank telling you to keep 20% or so from the check for yourself as a gratuity commission by rewiring the money back out of your account - of course, you are out by almost 80% of the amount of the  bad check. Real market research firms do not ask you to give any personal account information of any kind, nor do they ask you to deposit a check expecting a certain percentage back.

FAKE JURY DUTY -Many of us are subject to be called to jury duty at least once in our lives - its a law of averages.  However beware of the con-artist who suddenly calls you on the phone threatening you with fines and jail time for being absent from your jury duty requirement. They will then proceed to ask for your date of birth and Social Security number to check their files. This is all a scam artist really needs to steal your identity. A legitimate court document is delivered by the U.S. Postal System, if you have any concerns, call your local court from a number you find in the phone book - not a number the caller gives you! And they cross check with name and address, NOT A SOCIAL SECURITY NUMBER!

MEDICARE FRAUD - With the new Medicare Prescription Drug Plans come confusion - and con artists. These are people who'll come to your door offering a policy they think you'll like. They will also phone market, send e/mail or other ways to come at you. First, never give a stranger your Social Security Number, Bank Account Numbers or Credit Card information. If you are curious about the various plans you should be able to find the information from FirstGov or Social Security's website. Or call your local Social Security (look up the number yourself) office.

PRETEXTING - You get a call from a bank (they will try to find where you bank first) asking for information regarding a survey - in which the individual will try to ferret out information regarding your account numbers, date of birth, social security numbers and other sensitive information. Or they will call about "suspicious" goings on with your bank account requesting information which requires you to give them sensitive data. Next they call the bank to arrange moving that money for that account to their own. You'll even get e/mail from a bank that says your account is being tampered with and you should contact them via your e/mail...DON'T! Its very easy for these scammers to place a code on your browser to steal all sorts of information whenever you go online. Ditto requests from ebay and PayPal. Any questions, proceed with great care. Some of the scammers go to the point of creating fake sites in which to direct you.

PHISHING - You may have heard the term, and like most of us, not know its actual meaning. Phishing is a somewhat new term that means you receive counterfeit information from a scammer posing as a legitimate bank telling you there is suspicious activity dealing with your account - and they need your Social Security and account  numbers as well those for your credit cards to determine the problem - they are pretty good in making it look real! They offer a fake phone number, or better yet, a link to tap on taking you to a bogus site. Lately, they are getting more imaginative by posing as the IRS saying you have a refund due, or you owe back taxes. The IRS says they do not contact individuals by e/mail, but by the U.S. Postal Service. If you have any questions about a tax refund - look up the phone number to the IRS in your phone book, or put the site, "www.irs.gov" into the URL box, yourself. Even if the address looks legit, it's very easy to put in hidden code to direct you to another site.

...and now on to legal, but questionable practices...

If you've been called to court for a bankruptcy hearing, it becomes a matter of public record - opening-up information to all sorts of shady businesses who want to help you through those trying times. First are letters from obscure attorneys with impressive mailings sent to your address offering to represent you at your upcoming hearing - usually their office is in a very bad part of town. Chances are the phone number and address they give can't even be found in the phone book - but gee, the stationary looks nice. If you go, they ask you up front for cash, check or money order to start the process - of course, its unlikely they will ever file the paperwork or show up at the hearing date. But they will pocket the cash for themselves. Never, ever agree to go with a firm that solicits you. Legitimate firms won't contact you, you must contact them! Look for an attorney in the phone book yourself in an area you feel comfortable traveling to. Also realize that lawyers are required by law to tell you that an attorney is not necessary in filing a bankruptcy. Lets be honest, the saying remains, a person who represents her/himself has a fool for a client. You can thank Bush-era congresspersons for this law. Still retain the services of an attorney, don't call the petitioners' attorney to bargain, they will record your call and will use anything you say against you - they are NOT your friend! After the bankruptcy expect your mailbox to fill up from car dealers and other businesses - including credit card companies themselves - wanting to help reestablish your credit! Don't answer them, tear em up, they are a trap that will quickly put you in debt again! THROW THE OFFERS OUT, PERIOD! Its okay to go to a legitimate credit counseling service, however, realize that those services are supported by the credit card companies and they DO receive compensation from the creditors - they are NOT non-profit in the real sense, only in legal language!