The Top Five E-Mail Scams
Usually, scammers attempt to trick you into filling out forms on rogue sites. Rogue sites usually look legitimate (some are even replicas of legitimate sites you trust), but they are set up to spread a virus, collect names for spammers or grab your personal information. Other scams try to get you to reply to e-mails requesting your personal data like passwords and bank account numbers. Once you've given up the info, criminals can siphon your cash, make purchases and get out before you even have a chance to track them down.
To get you the best advice possible on each scam, we talked to Carol McKay of the National Consumers League. She offers up some tips you literally can't afford to miss.
Scam #1: Investment Pump & Dump
The Come-On
Everyone wants to be in on the ground floor when it comes to investing, so it's no surprise that millions of people go for this one: You receive an e-mail from someone claiming to be a power broker containing a hot tip on a penny stock that promises to double, even triple, in short time. So you go for it, only to see it tumble within hours. One such e-mail we received just this week looks like this:
Subject: Your 221.43% - breaking results
DarkLord: DWPI Hits The Street, Price Climbs 221.43%
Distributed Power Inc.
Symbol: DPWI Price: $0.40 (+0.31)
News hits the streets!!! DPWI acquires huge oil reserves, drills deeper on current wells increasing production, and now opens Asian division. Investors go nuts today and price rockets 221.43%. Act fast, read the news and get on DPWI first thing Tuesday!
The Scam
Turns out the people who send you the e-mail in the first place are waiting for a few people like you to get the stock up so they can get out before you even have a chance.
What You Can Do
Carol says: "Legitimate investments are risky, and legitimate brokers will admit that to customers. Be especially wary of offers that arrive via e-mail, offshore investments or commodities, and high-pressure sales tactics. And, if you can't afford to lose all your money, don't invest any of it."
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Reader Comments (Page 1 of 1)
Glenda said 1:14AM on 8-16-2007
I was unemployed and decided to try online surveys...LOL..Survey Scout led me to Midphase which promised me a website and 24 hr one on one assistance setting it up. I looked over the pages and thought about it long and hard.It sounded so good for $95.50.. So on with the Visa and just as I feared.I got nothing but headaches. My bank showed the charge but it was not posted to my account. a few days later and after a disconnected phone line, numerous holding on to a line where no one answered. Attempting to cancel in which I had to have a user name and password to enter the site .. which I never recieved..My bank told me the charge was gone but also said that it could come back and change amounts within 30 days.. Consumer Reports should check them out. The are advertising on Myspace. They are a chicago base company. Survry scout has a post office box somewhere in Texas and are unable to contact also. Beware
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Bill said 5:52PM on 10-16-2007
I get at least 100 scams most from Nigeria but some from the UK every day ,job offers,prize winning sweepstakes scams, inheritances from someone I dont know in the UK or elsewhere and the sick ole ladys wanting to give me their money because they are saved now and dieing of cancer or the offers of jobs from China for me to be their usa Rep and except checks and deposit them then send them 90 percent and me keep 10 percent as my wages. I am now sending all scams to www.enforcement@sec.gov to be filed on. the SPAM e-mail that hasnt a place to unsubscribe I send to www.spam@uce.gov , such as casinos,do you want to make your winkie 8 inches longer ect. this office handles spam cases.
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