Defending Against Frauds, Scams and Cons
Defending against Frauds, Scams and Cons
Frauds, scams, and cons can occur in a variety of ways. You can experience these through the mail, on the telephone, in person, on the Internet, or through friends or acquaintances. All age groups are affected by these crimes. Con artists prey on people who are not experienced in making decisions about home repairs, insurance policies, or investments. Your best defense in spotting a worthless scheme is to ask yourself, “Does it sound too good to be true?” If your answer is “yes,” then it probably is.
Who is a Con Artist?
The con artist is a criminal who employs deceit, smooth talking, and convincing arguments while trying to gain your “confidence.” These criminals are skilled liars and experts in verbal deception.
Confidence (Con) Games:
Confidence games take many forms, but all are designed to take your money. The con artist is good at taking advantage in an unguarded moment. These schemes are fast paced and usually succeed by isolating and controlling a citizen who can become a victim of this crime and lose thousands of dollars.
Key Words or Phrases:
A con artist is difficult to detect by looks alone, but can often be spotted by a keen use of vocabulary. Be cautious of the following words or phrases:
Cash Only (Why is cash necessary? Why not a check?)
Secret Plans (Why can’t anyone else know about this?)
Get Rich Quick (Any scheme should be carefully investigated.)
Be cautious of “Good Faith Money” (Or promise of a high return on an investment.)
Contest (Make sure this isn’t a “come on” to draw you into money-losing scheme.)
Today Only (If something is worthwhile today, it should be available tomorrow.)
Last Chance (If it is the last chance worth taking, why is it offered on such short notice?)
Leftover Materials (Leftovers may be defective or stolen.)
Good Deal (Be alert for good deals on expensive repairs or home improvements.)
Debt Collector (Be wary of someone claiming you owe money for an item ordered by a deceased spouse or relative.)
Common Schemes
There are many types of fraud including:
Home improvement fraud
Fake contest and lotteries
Work at home scams
Bait and switch schemes
Medical product fraud
Internet sales fraud
Investment fraud
Tragic event donations
Telemarketing Fraud
Most telephone sales are legitimate businesses offering legitimate products and services. However, telemarketing fraud is a billion dollar business in the United States. Consumers need to be alert when they are asked to send money to an unfamiliar company. Fraudulent telemarketers are skilled liars and summarized by this phrase, “Over the phone, leave it alone.”
Charity Fraud
Investigate charities before you decide to make a donation. Charitable solicitations can come to you from the mail, telephone calls, computer email, on a city street, or at your front door. The difficulty is determining whether the cause is worthy or a scam.
Always ask for the charity’s information in written form: name, address, telephone number, and a contact person. Legitimate charities will gladly furnish you this information. Also ask if the charitable donation is tax deductible.
In Florida, you are entitled to obtain a copy of registration documents and a financial statement from the Florida Department of Agriculture and Consumer Services at
1-800-435-7352.
Tips to Avoid Becoming A Victim
Stop and think about any spur of the moment scheme proposed. Do not be pushed into an immediate payment or donation.
Always request written information. Do not do anything if you have questions. Find out if the company is licensed or registered and check them out.
Never give out your credit card, checking account, or social security number to an unknown caller.
Do not assume a friendly voice belongs to a friend or honest person.
Check all unsolicited calls and offers.
Defending Against Fraud - Check List
Have you ever given out your credit card, bank account, or social security number to someone who called you on the telephone or sent you an email?
Have you been made promises of high returns on your investment money with little or no risk?
Are you suspicious of high pressure tactics and offers that are too good to be true?
Do you ask about fees, commissions, penalties, or other costs that may be involved in a purchase?
Have you ever paid “advance fees” as a precondition to receiving credit or applying for a loan?
Before signing any contract, have you read it thoroughly and gotten answers to all your questions?
Have you paid any money to get a prize you have been told you have already won?
Have you ever received a phone call soliciting money for your local police agency or fire department?
What to do – Who to call
If you have been a victim of this type of crime, please call the Sanibel Police Department immediately at 239-472-3111. Your information is vital in catching the con artist and preventing others from being victimized. Most people fall victim to a con artist at some point in their life, so there is no need to be embarrassed.
Helpful Resources:
National Fraud Information Center - 800-876-7060
Florida Department of Agriculture - 800-435-7352
State Attorney’s Office-Lee county - 239-533-1000
Florida Department of Financial Services - 800-342-2762
City Of Sanibel Business Licensing - 239-472-3700
Helpful Websites:
http://www.fbi.gov/scams-safety/fraud/internet_fraud/internet_fraud