Avoiding Common Internet Scams

Identity thieves and scammers keep coming up with new ways to try to part you from your money. Knowing what red flags to watch for can help you avoid becoming
a victim.

Advance Fee Fraud
Advance fee fraud is a common Internet scam that can take on many different forms. With the Nigerian scam, for example, you receive a phony request to help someone from Nigeria collect money, with the promise of huge returns to you. If you're targeted by an inheritance scam, you might be notified that you have received an inheritance you never knew you had, but you’re asked to send money for legal fees before you can collect your payment. And with eBay scams, you might receive a cashier's check for payment for something you are selling online. The check is made out for more than the amount of the item, and the issuer asks you to cash the check and wire a portion of it back. Once you cash the check and wire back the money, the financial institution discovers the check is fraudulent, and you lose the money you wired to
the scammer.

These scams can also target your bank account information. For instance, someone claiming to be a lawyer might tell you that you've won a lottery and promise to place the money in your account if you'll give your information. The "lawyer" is a scam artist.

Survey Scams
Credit Union members have reported an e-mail scam that provides a link to log on to their accounts and take a survey. They are promised cash to thank them for their time if they complete the survey. Members never reach a survey, and inadvertently give their account information to a scammer.

To avoid falling prey to a scammer, watch out for e-mails that are too good to be true. If you are promised big money for a small effort, it is likely a scam. And remember that SESLOC will never e-mail or telephone you and ask for your account number. For more information on avoiding and reporting scams, visit sesloc.org and click on "Education" and then "Fraud Prevention Center."