March 1-7 is National Consumer Protection Week. Use this week as a reminder to stay informed about current issues facing consumers and to share your knowledge with friends, family, and neighbors.Protect yourself from scams. Here is the list of the Top 10 Scams of 2014, as reported to the Vermont Attorney General’s Office Consumer Assistance Program:
TOP 10 SCAMS OF 2014 and TIPS FOR PREVENTION
1. IRS Debt Collection: A scam telephone call saying you owe “back taxes” or outstanding payments due to the government, typically from callers claiming to be “Internal Revenue Service”, “IRS”, and “US Treasury and Legal Affairs.” Don’t respond to these callers. If you think you may actually owe back taxes, hang up and contact the IRS directly at 1 (800) 829-1040.
2. Computer Tech Support Phishing/Telemarketing: Caller claiming to be from Microsoft/Windows or other tech company claiming there is a virus or other serious problem with your computer. They will try to persuade you to give remote access to your computer. Never allow remote access to your computer and never click links in a strange e-mail or pop-up message. Do not pay an unknown entity.
3. Fake Debt Collection (other than IRS): Calls from fake debt collectors making threats, including lawsuit, wage garnishment, and arrest. Most attempt to collect nonexistent debts and even make claims that utilities will be disconnected if payment is not made immediately. Never pay a harassing collector over the phone; demand proof of the debt in writing and verify the debt with the original creditor. If you are concerned about possible disconnection, hang up and contact the vendor directly.
4. Phishing: Attempts to collect personal and sensitive information, which is typically used to steal someone’s identity. In the most common phishing scams, the perpetrator claims to be calling from a person’s bank and requires account information to re-activate the account. Never give account information to unknown callers and don’t respond to emails that request this information.
5. Sweepstakes/Lotteries/Prizes: Claims that recipient will obtain funds if they pay an upfront fee, typically for registration or taxes. These scams usually start with a phone call or mailing, claiming that you have won money or a prize, but must make a payment in order to receive it. Sometimes realistic-looking fake checks, claiming to cover a portion of the fees, are used to entice the victims. The check bounces and no “winnings” are ever dispersed. Never pay upfront to receive winnings.
6. Business-Targeted scams: Vermont businesses have also received of scam contacts, including fake orders of goods or services, fake invoices, and promotions in the guise of bills. In particular, businesses were contacted by debt collectors, claiming utilities would be disconnected if they did not pay immediately. Ensure every bill paid is a bill actually owed.
7. Card Services Phishing: Phishing attempts to obtain credit card information typically come in the form of a robocall or text message stating you can lower your credit card interest
rate. This is an attempt to gain personal information that can be used to commit identity theft. Sometimes credit cards will also be charged for consolidation services, which are unlawful in Vermont if the entity is not licensed. Don’t reply to unsolicited phone calls, texts, or robocalls.
#8: Tax and Other Identity Theft: Reports of Tax Identity Theft have increased both in Vermont and nationally. On filing a tax-return, the consumer learns that a scammer has already filed a return using his or her SSN and received a refund. The IRS suggests filing as early as possible in the tax season to prevent fraudsters from receiving your tax return. Never give out your personal information.
9. Grandparent Imposter: This scam targets seniors. Seniors receive calls from scammers impersonating their grandchildren, reportedly in distress and needing money to be wired or sent on a reloadable card. Never wire or otherwise send funds unless you can verify the emergency. 10. Craigslist/Online Listings: These on-line scams involve fake rental listings and requests to cash a fake check and send money to a shipper/agent in order to complete an online transaction. Be cautious when dealing online. Never give out personal information before seeing a rental listing in person. Be suspicious when someone wants to pay you more for something than what it is worth; make arrangements to pay in cash and in person whenever possible. Conduct a reverse image search online to see if the same item is available in multiple places.
Know how to spot a fraud - Vermonters' best defense against these predatory activities is to understand and avoid these scams altogether. Visit the Consumer Assistance Program website or call for more information:
Vermont Attorney General’s Consumer Assistance Program (CAP) at (800) 649-2424 (toll free in Vermont), (820) 656-3183, or www.uvm.edu/consumer.