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Latest Scam Reports
 

“Swatting” and Phone Scams

The police are warning taxpayers about an old phone scam; but this time, with a new twist. According to the reports, the scammers call the victim and claim to be an IRS agent. The scammers then demand money from the victim, as a payment for the amount the victim supposedly owed IRS, and threaten that unless the victim makes an immediate payment through prepaid debit cards or money transfer services, he’s at risk of being arrested. At this point, the victim may think the call is unreasonable and refuse to pay, but what may happen next is something nobody may have predicted.

The scammers resort to a tactic called “Swatting.” As the name implies, the scammers call the local police department or an emergency hotline and make a false report regarding an emergency situation to draw a response from the law enforcers, usually a SWAT team. The scammers spoof the caller ID to make it appear that it’s the victim calling for help. Scammers are reported to “swat“ the victim for revenge or to make the victim believe that he’s about to be arrested. Either way, it is a very dangerous joke and has serious consequences.

Taking that into consideration, the authorities continue to warn people about this new type of action from the scammers and urge people to be cautious when dealing with suspicious callers on the phone.

Below are tips to avoid scam calls that may lead to swatting:

  1. If you get an anonymous call and there’s a delay when you answer, it’s an automated call. You don’t have to put up with the caller. Hang up.
  2. Use an answering machine to screen calls. Scammers don’t usually leave voice messages, or you’ll know it’s them.
  3. Use a caller ID to identify scammers. If you get an anonymous caller, you can easily look up the phone number at Callercenter.com to find out who’s behind the call.
  4. If you do answer and you realize it’s a phony caller, never argue. Simply hang up.
  5. NEVER give out your credit card or bank account details. You can’t be sure who the caller is or how your information will be used.
  6. Finally, and the most important of all, tell the police if you feel that you are being harassed or threatened.

There’s no telling when you will receive a scam call so being aware is an advantage. If you believe that you are a victim to any type of phone scam, call the Federal Trade Commission and use the “FTC Complaint Assistant” to report the violation at FTC.gov.

 

 

 

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Telemarketers pay him per minute of his time

When we read the original story on BBC we couldn’t believe it. A gentleman by the name of Lee Beaumont setup a pay-per-minute line, known as 0871 line in U.K, and advised telemarketers that called to call him back on the 0871 number instead.

Even though Mr. Beaumont was upfront about the 0871 number many of the telemarketers disregarded the warning and literally paid the price, which is about 17 cents per minute.

At the time the story was written the profits from the line were about 500$ USD.

When the story first appeared on our facebook page it became very popular and as per Mr.Beaumont he’s received a lot of letter of encouragement from people all around the world.

Before you is a follow up interview we did with Mr. Beaumont to get an update about his original idea.

Q: First of all, I’d like to say that it’s a pretty genius idea and first question is if you’re still using the number that you have setup?

A: I am still using it, although I have made one change. Up until last month I had the 0871 number directed to my home phone. But as I no longer have a home phone due to me now trying to save even more money on my normal household bills. I now have the 0871 number directed to my Skype number, this means I can accept a skype call while I am working at my laptop, out working the day via my mobile, shopping, even laying in bed, so I have managed to get it to work better for me now.

Q: Have you had a lot of positive feedback from people that are constantly bothered by telemarketers?

A: The feedback has been amazing. In-fact 99% of people have said Well Done and asked if they could do it too. I have been careful and said ONLY do it if you fully read our UK code as you can get in trouble if you make mistakes. But as with anything I have had a far bit of hate saying I am evil and all that, but it’s all gone over my head.

Q: Did you get any backlash from telemarketers? Did anyone try to sue you or threaten you with legal action? If so, what was the backlash?

A: Nothing at all, apart from 1 company, when I was talking on BBC Radio 2 with Jeremy Vine I did mention an energy company who I managed to make a good bit of money from via my 0871 number, but I posted the letter on my twitter and as by magic the legal threats never came to anything.

Q: Have you come up with any other novel ways of dealing with telemarketers apart from the number that you have setup? If so, what are they?

A: Not really. If I do come up with anything else I will be sure to let you know.

Q: How many telemarketing calls do you currently receive?

A: It’s gone up since the BBC broke my story and I getting around 30 a month now and I am really enjoying it. I should make clear that using my 0871 number for cold callers is a hobby of mine. Yes it makes me some money, but I also really enjoy making telemarketers PAY to call ME. It’s a crazy old word we live in.

Q: How much more money have you generated from this venture if it’s not a secret?

A: To date I have made just over £700. It was £300-£400 when the news first came out in August 2013 (6 months ago)

Q: What piece of advice do you have for people that are constantly bothered by telemarketers, but are not able to setup a line like you did?

A: Ditch the normal home-phone. I know it’s a big step, however most of the feedback I have had from other people is they have stopped using the normal home phone and use a mobile for everything now.

If you are in the UK you can sign up for the TPS, but that does not work 100% still due to the various loopholes surrounding it.

 

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Scammers threaten to cut your company’s phone lines unless you pay a fake debt

Scammers are now threatening to disable your employer’s phone lines unless you agree to pay up a fictitious debt. This new and bizarre phone scam has been making rounds in the United States in the past couple of months.

The phone calls are being placed by criminals using voice over IP telephone lines, which means that they are able to place 100 of millions of calls from the comfort of their own home in a very short period of time.

The sheer bizarreness of the scam is hard to explain.

Imagine receiving a call one day from an individual who claims to be calling from a financial institution in order to collect a debt that you’ve never heard of. When you begin to object the individual starts threatening you saying that unless you pay up his “company” has the authority to disable all of your company’s phone lines. After a while the threat turns into action and all of the phone lines and your company are disabled.
The origin of the phone calls is unknown, in one instance the Police Department was able to trace the phone call back to Nigeria through an intermediary in Florida.

Similar to the way that you can clog up your bathroom if you throw too much brown paper into the toilet, scammers are able to clog up the phone systems by placing millions  of automated telephone calls which can block a whole organization’s phone system. In an article published written by Nick Wingfield and published by NY times scammers even went as far as blocking the telephone lines of a hospital’s intensive care unit for six hours. These denial of service attacks have also been perpetrated against other public sector institutions such as Sheriff’s Offices’ and even the Coast Guard. In all there have been 200 such phone attacks identified in the past against the public sector.

These attacks are very similar in nature to the Internet ones which go by the same name, Denial of Service or “DOS”. On the Internet the attackers also clog up all of the site’s available connections (which are comparable to phone lines) and when legitimate visitors try to visit the site they get an error “page cannot be displayed”, as long as the attack is maintained the website will remain blocked.

Many the victims were forced to pay up because they were afraid of losing their jobs, since the blame for the attack rested on their shoulders. Some companies also paid in order to liberate their phone lines.

If you receive a similar phone call immediately report it to the police and to callercenter.com in order to make the scammer’s telephone number public. You can also try to mitigate the risk by employing some technological countermeasures, a company called SecureLogix was apparently able to help the hospital which came under one of these attacks.

As the price of placing phone calls goes down we’re bound to see more and more of these scams in the future, so always remain vigilant and informed.

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Dial Through Fraud | Information and Prevention

Dial Through Fraud

Just recently, a new scam has surfaced but several business establishments including small enterprises were already victims to it.

This latest scheme is called Dial Through Fraud (DTF). As the name implied, the hackers find networks that are easily compromised and hack into the company’s telephony system using computer software. As soon as they gain access, the hackers exploit the network to make national and international calls, all at the company’s expense. In some cases, the hackers use the telephone system to call premium numbers they themselves set up to generate revenue for them while draining the funds of the company which PBX system has been hacked. The calls these hackers make are typically in the form of robocalls which are employed during nighttime or holidays when business owners are less likely to detect malicious call activity.

Aside from stealing calls, hackers may also sell the access to these hacked phone systems, advertising them as “by-pass” numbers, to other individuals. The individual can then use it to make calls to different destinations, again, all at the company’s expense. These fraudulent outgoing calls can be completed using a mobile phone and will only cost the individual a fraction of the real cost. Shadowy Toll Fraud “phone operators” that provide these services can be found by searching for terms like “bypass operators” and “calling cards” on the internet.

As a result of this scam, reports have it that most consumers have been frustrated with telephone companies which do not proactively impose warnings. Some have speculated that it is not in telecom’s interests to warn consumers about the scam since it’s the consumers who shoulder the bill anyway. Unfortunately, by the time the scam was discovered, the bill has already amounted to sometimes as high as thousands of dollars.

A survey performed by Communications Fraud Control Association estimated that hacked phone systems resulted in losses close to 5 billion dollars in 2011 alone.

Currently, a lot of companies remain unaware about DTF. So for businesses to prevent or minimize DTF attacks, here are a few simple steps to follow:

  • Consider blocking all outgoing calls to premium rate, directory enquiry and international numbers as well as paid numbers such as 900 lines. Call your telecom company and request they put a block on all such numbers.
  • Protect by putting additional security on remote access ports or disabling them altogether if remote access is not needed. Same goes for extra features, for example if you’re not using DISA then disable it altogether.
  • Regularly review all of your PBX logs to make sure no suspicious calls are being made.
  • Regularly update voicemail and DISA passwords and avoid using default combination such as 1234. Change all of the default factory access passwords and PINS after initial install.
  • Don’t unlock surplus mailboxes until they are given to a specific user.
  • Look out for manual hacking where as a scammer calls and asks to be connected to the switchboard in order to obtain an outgoing line.
  • Try to keep your system up to date in terms of security, it may be wise to review your maintenance contacts to make sure that the supplies updates the security features regularly.
  • Remember to keep your systems safe and also report any suspicious phone numbers to callercenter.com

For more information about this scam, go to http://www.bbc.co.uk/programmes/p017fb0c.

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Electric company phone scam

Scammers seem to have a bottomless supply of creativity. The amount of fake roles they haveassumed is astounding: pretending to be Lottery Commission agents, debt collectors and even close relatives in need of help.

Recently, the conmen decided to try something else. In the latest scam, the scammers pose as a representative of a local electric company and demand payment for an overdue electric bill. If not paid off immediately, service will be disconnected. But since the scammers have no way of processing credit cards, the victim is instructed to either purchase a prepaid card such as Green Dot Moneypak or wire money through Western Union. These methods of payment guarantee that once money is transferred, the victim will not be able to track who received it.

So far, the scam seems to be effective in places that have the most extreme weather conditions such as in southern states where the temperatures get immensely hot. The thought of losing Air Conditioning in a house in Texas must be a terrifying prospect.

For those who receive such calls, the utility companies offer a simple solution. The recipient should hang up right away. They do not need to put up with the callers. Simply take down the caller’s name and alert the utility company right away. It is also important that such calls are reported to Callercenter.com in order to warn others. And although the scammers can switch numbers on a whim and call people at all hours of the day, they do not stand a stand a chance as long as everybody remains vigilant against suspicious calls.

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Tips on how to avoid becoming victim of a scam

There are three things that you can do in order not to fall victim to phones scams.

1. Never cooperate:

This is the most important piece of advice. If you do not cooperate with the caller, there’s almost 0 chance that you will fall victim to their scam.

Cooperating can mean several things: provide information, confirm information, send money or perform any other direction requested by the caller.

Today’s scams are so sophisticated that even dialing a number on your phone can make you a victim.

There’s an example of a sophisticated scam which involves convicts who place calls from prison. When they call your number they pretend to be the telephone company and ask you to dial a special combination on your phone.

When you dial that combination your phone bill is automatically charged.

Also never provide or confirm information. In some cases the scammers have partial information about your person, but require one more missing piece in order to do a successful identity theft.

When they call you they may pretend to be an electric company or your financial institution and try to get you to “confirm” your identity by providing your date of birth for example. Never confirm or provide any information to the caller.

Last but not least is you should never send money when the caller is asking you to do so.

As always just keep in mind that if you do not cooperate you are safe.

2. Always check all the facts:

The thing about phone scammers is that they always try to take the easiest route. They are rarely prepared to answer even the simplest questions. In one instance a scammer called pretending to work for the IRS, when the would-be victim asked the scammer what the IRS stands for the scammer simply replied “how should I know?”

So when you get a call from someone says that they work for an organization try to ask some simple questions and then tell them that you would like to call them back. Simply googling up their name and phone number can reveal a lot of information.

If they give you a phone number and they say that they work for your phone company try to find that phone number on the phone company’s website. Unless you are the one initiating the call should always be weary of anyone who calls you first.

3. Do not become confrontational:

Once you discover that the caller is a scammer you should not become confrontational. These people have very poor moral compasses and often harass their phone victims just for the sake of harassing them. They may derive pleasure from phone abuse and can easily change phone numbers and call you at all hours of the day. So once you discover that the call is a scam simply hang up the phone. If they try to contact you again keep on hanging up the phone. Eventually they will give up and leave you alone.

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Slamming Scam Still Baffles Consumers

It seems like there is always something on the market when it comes to trying to take advantage of the consumer. One of these new scams is called SLAMMING. This is illegal and occurs when your traditional telephone carrier is switched by a telemarketer to another company without your permission.

There are a number of ways this is done:
• Promotional materials or contest entry forms are mass mailed that have small print saying you agree to switch carriers.
• An imposter calls saying they represent your current company and ask if you are interested in a new calling program. This is tape-recorded and if you say “Yes” it gives them permission to switch your carrier without any further notice.
• Pager or voice mail numbers you answer that you do not recognize are a huge problem. It is possible for a slammer to use Automatic Number Identification information to process a change of service without you even saying anything.

Of course, if you discover that you have been “SLAMMED” you should immediately contact your original telephone company. There are slamming rules prohibiting unreasonable delays in getting your original phone company back. Under FCC rules if you discover you have been “SLAMMED” without your permission you should call that company and tell them you want to be switched back. You do not have to pay for the first 30 days of service. You can also file a complaint with the FCC.

Among other things, this section of the FCC ruling has aggressive rules to take any profit out of slamming such as absolving subscribers of any charges and requiring the slammer to “compensate the subscriber for any inconvenience or confusion experienced.” There have been court challenges to this law, but it has put teeth in protecting the public from this fraudulent practice.

If you wish to verify who your authorized telephone company is, you can call the following companies toll-free:
• 1-700-55-4141 for international or long distance services and
• 1 + your area code+700-4141 for local services

The government is aware of the practice of illegal switching and has amended Section 258 of the Communications Act of 1934 to include strict rules regarding this practice. The goal of this amendment is to “… eliminate the practice of slamming”. For further information, you can contact the Federal Communications Commission at 888-225-5322, or go to www.fcc.gov to find the steps available to correct the situation if you have been ‘SLAMMED’. For consumers it’s important to review monthly bills to identify inconsistencies. When Slamming has occurred, a new company and charges will be listed on your telephone bill. Always check your telephone bill carefully and inform the unknown company that you did not agree to a new service then contact your old carrier, tell them you were slamming, and request that you be switched back.

This fraudulent practice began in 1996 at which time the Communications Division of the government began taking steps to eradicate it. In spite of government intervention, the number of complaints has more than doubled since that time. It is felt that this is due to consumers not being aware of their options in seeking relief. Should this happen to you it is important to contact the numbers listed above regarding the proper actions to take. You do not have to be stuck with a telephone company you did not choose.

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Consumers Are Warned To Watch Out For Solicitation Calls In The Name Of Charity

The National Center for Charitable Statistics recently reported that 1.5 million non-profit organizations exist in the US today. Even if a person is listed on the “Do Not Call” list, they are allowed to make solicitation calls. Unfortunately, this claims many victims. Charities represent a $211.77 billion dollar industry, but many are bogus while others are designed in such a way where the majority of the funds given end up in the pockets of administrators. As a result, the Federal Trade Commission (FTC) has issued new warnings to consumers to be certain that organizations receiving donations are efficient and that scam artists are avoided at all costs.

There are watchdog groups such as Charity Watch, Charity Navigator, the Better Business Bureau, and the FTC that have been created to help consumers ensure their donations are going where recipients intend. It has been found that charities that designate 60-75% of collected funds to causes rather than administrative costs are good whereas those that spend less than 60%, such as the 2012 Kony campaign that only spent 37% on the cause, should be avoided. Additionally, individuals should be cautious of solicitation calls about a supposed charity only to find that they have revealed enough personal and financial information to allow their identities to be stolen by scammers.

Even though warnings have been issued, it’s important that consumers continue to donate to their favorite charities. Many of these organizations are dedicated to helping those in need. However, with today’s evolving scams, caution should be exercised to ensure that the people being helped are in good hands. Below are a few tips from the FTC that may help individuals avoid charity scams and get donated money where it will be best spent.

• Scams usually spring up overnight and are often associated with natural disasters. These should be avoided.
• When receiving a call from a telemarketer, never give out personal or financial information over the phone. Ask for literature then follow up by researching them through accredited websites.
• There are governmental offices that regulate charities in each state. Legitimate charities will be registered. To find the agency that regulates charities where you live, contact the National Association of State Charity Officials website at http://www.nasconet.org/documents/u-s-charity-offices/.
• Ask specifically who gets the money and how it is divided. Scam artists are reluctant to give out this information.
• When contacted by a telemarketer, call the charity itself and find out if they are affiliated with an organization that does telephone solicitations. Also check out the name of the person that contacted you to ensure they are a representative. Many scammers use the name of a known charity, but have the money sent to a personal account.
• Charities claiming to support a local organization or cause should be checked out through the cause itself to verify that they are actually receiving the money.
• A common practice for scammers is to use a name similar to the actual name. For example, if someone claims to be representing the Muscular Dystrophy Organization, be aware that this is not the same thing as the Muscular Dystrophy Association that most people are familiar with.
• If you feel pressured, hang up. Charities that are legitimate don’t use pressure tactics to get people to donate.
• Never give cash. Any checks written should be made to the charity itself and not anyone representing the group. Additionally, if donating through an online website, make sure it’s secure (it will have an “http” IP address and/or a lock symbol on the browser bar) and never give financial and personal information over the phone.
To ensure that your money is going where it’s most needed, the Better Business Bureau’s Wise Giving Alliance (http://www.bbb.org/us/charity/) has information about each organization and even rates their effectiveness. The American Institute of Philanthropy also rates over 550 individual charities. Prior to making any donation, always investigate the organization thoroughly using every source available. With the current tough economic times, scams are on the rise so consumers are warned to take every precaution possible when giving their hard-earned money away.

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College Fund Scam – Something Every College Student Needs to Know About

Going to college is an interesting time in your life. You are trying to decide what you want to do with yourself, and life on a college campus has been quite an adventure. While this is a trying time for you as a simple poor college student, the last thing you can do is afford to get scammed. There are a lot of people in this world that will take advantage of anyone, whether they are elderly or a young naïve college student. Here is more information on a scam that is circulating through college campuses right now, and if you are a college student you need to be very careful.

Financial aid for a college student: as a college student, you probably do not have any money to go to school without some form of financial aid. However, if you are walking along your campus and a complete stranger wants to offer you aid, you need to get out of there. The only financial aid you can trust will come from either the federal government or the college itself and you need to remember this fact.

Do not ever give out your personal information: Beware of anyone that approaches you asking for such sensitive information like your full name or your social security number. This should be a warning sign right there because in this day and age, anyone that is asking for such vital information cannot be trusted.

Your banking information is extremely important: The number for your bank account is something you should never ever give to anyone. Anyone that has your bank account number can easily withdraw money from you and leave you in a terrible situation. You should not tell anyone about your bank, not even the name of it because you can really be setting yourself up for being scammed.

As a college student, you are considered to be an easy target by scammers. College student can be trusting because of their age, and this makes any college student an irresistible target for people who have no morals or principles. You need to really remember that if something sounds too good to be true than it probably is. You are young and just starting out as you try to get an education, but just because you are a college student should not mean you should be taken advantage of.

So remember if someone approaches you on college campus and tries to offer financial aid then you should be extremely suspicious and try perform as many background checks on them as possible before providing any personal information.

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How To Avoid Call Forwarding Scams

An old type of swindle that has returned to the marketplace is called the “CALL FORWARDING SCAM”. This type of fraud seems so reasonable it is easy for the victim to be taken advantage of. There are several different examples of ways that allow individuals to become victims.

1. Your phone rings and you are told that someone you know is in the hospital and you need to call right away. However, to reach the right desk, dial *72 and the number.

Of course, when you do this you will hear a busy signal and think your call is not going through. What has happened is that you have given the number called access to use your number for any type of call they wish, which is billed to your phone number. These calls may be long distance, party or hot lines, or any number of other types. NOTE: If you realize what has happened you can dial *73 to cancel call forwarding and need to contact your phone company immediately.

2. Another way this fraud works is that you receive a call from someone who says they have been in an accident or arrested and only had one phone call, which they misdialed.

They ask you to forward a call to a relative because of something they must do (such as go to the hospital to pick up someone else who was injured). Of course, you must dial *72 prior to the number you have been given. Whoever has set up this fraud can even receive ‘collect’ calls that are then added to your phone bill.

3. You receive an automatic message that you have won a prize or money and need to dial a 2-digit code before or followed by *79 or *72 numbers and then an 800 number.

When you dial the number, you are not connected to anyone. What has happened is that your phone has been programmed to forward your calls to a long distance operator. The scammers can then place calls that you will be billed for later.

4. This not only happens with regular landlines, but with people who have cell phones with International roaming capabilities as well. Under these circumstances, a scammer steals your SIM card and diverts/forwards your cell number to an international switchboard, which can use your card to reach any global destination.

If you have become a victim of this fraud, you should immediately alert your telephone company. Complaints can also be filed with the FCC. This can be done by:
• Filing an online complaint form
• Call 1-888-CALL-FCC (1-888-225-5322) voice
• 1-888-TELL-fcc (1-888-835-5322) TTY
• 1-866-418-0232 Fax
• Visit FCC’s Consumer & Governmental Affairs Bureau website
• Write to:
Federal Communications Commission
Consumer & Governmental Affairs Bureau
Consumer Inquiries and Complaints Division
445 12th Street, SW
Washington, D.C. 20554

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