Home Members Tools Credit Cards
   

  • Learn the Signs of a Sweepstakes or Contest Scam

    The FTC received 1.8 million consumer complaints in 2011. Scams related to prizes, sweepstakes, and lotteries were third on the list of top complaint categories with more than 100,000 complaints. Identity theft and debt collection were the top two complaint categories.

    Falling for a sweepstakes scam can be costly; you might be out of hundreds or thousands of dollars. Thieves may even scam you out of enough personal information to commit bank fraud or identity theft, which are both costly and time-consuming crimes to deal with.

    Scammers go through great lengths to make their notifications look legitimate so recognizing them might be difficult. Some have even impersonated the FTC and other government agencies in their scams. Knowing the signs of a scam is critical.

    Scams May Ask You to Wire Money

    Sweepstakes scams often try to get you to pay some advance fee to collect your prize. They may claim that you’ve won a certain amount of money but you’ll have to pay taxes and fees before they can send you the prize. But why can’t they just deduct the taxes from the prize, if there really is a prize?

    These advance fee sweepstakes scams often get you to wire the money because it’s difficult to get your money back after you’ve wired it. Some scammers never send back anything after you’ve paid the fees. Others send something back, but “prize” may be worth even less than the fees you paid.

    In another type of scam, scammers send a fake prize check and ask you to wire back the fees and taxes owed. (Would a legitimate company really trust a consumer to send back fees?) Cashing a fake check is a crime and the bank may not realize the check is fake until after you’ve cashed it and after you’ve wired back the required “fees.” Once the bank figures out the check is a fake, they’ll look to you to repay any money you’ve already spent, including money you may have wired to the scammer.

    Winning a Contest You Never Entered

    Being asked to wire or send money to collect a prize is just one of the signs of a scam. Another sign is that you’ve won something in a contest you never entered. If you know you never enter contests or sweepstakes, chances are notification of a win is just a scam.

    But, if you have entered a contest, do some due diligence to see if you’ve won. Use the internet to find the true contact information for the sweepstakes owner and contact them directly to see if you’ve won.

    Lottery Scams

    Be on the lookout for lottery-related scams, too. Note that you must have purchased a lottery ticket with the winning numbers to win the lottery. Many major lotteries put the winning lottery numbers online, so you can confirm whether you’ve really won or not. And, playing a foreign lottery is illegal unless you visited that company and purchased a lottery ticket there.

    Other signs of a scam: you’re never addressed by name, the notification is from a government agency or bureau (who never offers sweepstakes), or the notification was sent by bulk mail.

    Stop Unsolicited Sweepstakes Calls

    If a telemarketer calls you about a prize, they’re required to give you certain information about the promotion including your odds of winning, a disclaimer that no fee is required, and the conditions you’ll have to meet to redeem your prize.

    To stop telemarketers from calling you, you can register with the National Do Not Call Registry at www.donotcall.gov or by calling 1-888-382-1222 from the phone you want to register. You’ll have to renew your registration every five years. If somehow a company slips through the cracks, you can ask them to place you on their do not call list. Stop mailings by writing or calling to remove your name from the mailing list.

    Report any sweepstakes scams to the FTC by visiting www.ftccomplaintassistant.gov.

    Source: FTC.gov
    Comments 1 Comment
    1. Meya's Avatar
      Meya -
      Great information!
  • Disclaimer

    Information in these articles is brought to you by Finance Globe. Banks, issuers, credit card, and other companies mentioned in the articles do not endorse or guarantee, and are not responsible for, the contents of the articles and is further subject to our terms and conditions.
  • Recent Activity

    Meya

    Report Your "Credit limit Increases" Here!

    Thread Starter: Meya

    I think this forum would benefit those who asks other members "When do you think I will get a limit increase." This might end up being a long thread,...

    Last Post By: Wanderer September 2nd, 2014, 01:26 AM Go to last post
  • Recent Forum Posts

    Wanderer

    Re: Report Your "Credit limit Increases" Here!

    Awesome increases! Capital One has your number.

    Wanderer September 2nd, 2014, 01:26 AM Go to last post
    animiser

    Re: Report Your "Credit limit Increases" Here!

    Capital One Platinum - Increased from 450 to 1500 in 6 months (I called and requested both increases)

    Upgraded from Platinum to QuickSilver

    animiser September 1st, 2014, 08:20 PM Go to last post
    bocald99

    Re: Report Your "Credit limit Increases" Here!

    Lowes card from $6900 to $17,000 through credit solutions. Need to remodel kitchen and buy new appliances. Spoke to super nice CS and asked for 20k and

    bocald99 August 28th, 2014, 09:11 PM Go to last post
  • Recent Headlines and Articles

    ChrisB

    Three Updates to make before Listing your Home

    It may not make sense to update your home before listing it for sale, however, there are many benefits of doing so. Most importantly, it will increase the value of the property, which means you can demand a higher price.

    There... read more
    ChrisB August 28th, 2014, 07:04 AM
    ChrisB

    Signs to Move onto another Life Insurance Agent

    When the time comes to purchase life insurance, there is nothing more important than making a confident decision without delay. After all, every day that you wait is another day you are taking... read more
    ChrisB August 27th, 2014, 08:41 AM
    ChrisB

    Why Buying a Car Online makes Sense

    In the good old days of the automotive industry, the only way to purchase a new vehicle was to stop by a local dealer and haggle with a salesperson. While this is still a strategy many employ, technology has changed... read more
    ChrisB August 26th, 2014, 08:35 AM
    ChrisB

    Is your Mortgage Broker Scamming you?

    There will be a lot going through your mind when it comes time to purchase a home. While you spend most of your time searching for the perfect property, there is something else that should be on your mind: obtaining... read more
    ChrisB August 25th, 2014, 08:29 AM
    ChrisB

    Quick Tips for Saving more Money for Retirement

    If you find that you are not saving nearly as much money as you should for your retirement, it is easy to believe that you have to make major changes to your daily life in order to catch up.

    While there is nothing wrong... read more
    ChrisB August 21st, 2014, 09:38 AM
    ChrisB

    To Buy a Car or not to Buy a Car, that is the Question

    Are you the type of person who gets excited about the thought of buying a new car? Or are you the type who avoids this at all costs?

    No matter which group you fit into, there will come a time when you need to answer... read more
    ChrisB August 20th, 2014, 09:29 AM
    ChrisB

    How to get more out of a Job Interview

    Any job interview, regardless of the company or your current position, is sure to bring some level of stress to your life. After all, you wouldn’t be interviewing if you didn’t want to secure the position.

    Some people... read more
    ChrisB August 19th, 2014, 08:31 AM
    ChrisB

    Ways to Save Money on your Commute

    Like many, you may spend a lot of time in your car commuting to and from work. While this is all part of having a job, some find that they are spending much more on this part of their day than they would... read more
    ChrisB August 18th, 2014, 10:23 AM

 

 

 

Credit Cards | Finance Social Network | Credit Card Reviews | Markets
About Us | FG on the Web | Sitemap | Privacy | Terms | Contact


Copyright © 2014 Finance Globe. All rights reserved.