Identity Theft FAQ for Canadians

Identity Theft Canada >> Different Types of Scams and How to Avoid Them

Different Types of Scams and How to Avoid Them

Scam is a fraudulent or dishonest business scheme designed to make a quick profit. There are different types of online and offline scam, including home working schemes, special offers, scam emails, domain name renewal scams, and others. Junk or spam email is a scheme designed with the purpose of personal gain. Email fraud or e-scam takes different forms, including spam messages that offer cheap products and services and free goods. Fraudsters send emails with offers for product trials, free holidays, downloads, and products. They ask users to supply their personal and credit card details in order to get access to their accounts.

Other types of scam include computer virus scams, competition and lottery scams, and shopping and auction scams. Get-rich-quick scams are one variety that offers you a system for investing and making a lot of money. You have to pay for a system that teaches you how to get rich. The catch is that there is no system. Con artists may offer you a system for foreign currency trading, carbon trading, or option trading. They also sell investment schemes for real estate, shares, and other investment instruments. Other types of scam to watch for include psychic scams, travel scams, and romance and dating scams. This is how psychic scams work – a con artist sends you an email saying that you are in danger or are cursed. You are offered a charm, amulet, or lottery numbers that will help you with this predicament. It costs a lot of money, and you may end up in debt, getting nothing in return. Fraudsters may approach you face-to-face, over the telephone, by mail, or email.

Email scam or e-scam is one of the most common types of scam. There are different ways to protect yourself against fraudulent schemes, including using a spam filter. Always read the email, especially if you receive a document which is purportedly sent by a financial institution, government agency, non-government organization or another entity. If you find spelling mistakes in an official document, it is probably an attempt at email fraud. Obviously, one way to protect yourself is to keep your personal information secret and disclose it only when required. Delete suspicious and unsolicited emails because they are spam messages. If you become a victim of internet fraud, it is important to report the incidence to the authorities. Many cases go unreported because the victims feel embarrassed or ashamed.

Flatmate scams and share house scams are other types of fraudulent schemes. Con artists send letters and emails to potential victims and show interest in sharing an apartment. You will receive an overpayment for the deposit and the first month’s rent. The problem is that scammers send fake checks. They will ask for a partial refund through wire transfer and the check will bounce. There are signs that someone is trying to scam you. If you receive an email from a person who wants to rent a room without even looking at it, this is probably scam. Do not respond to such emails because you will confirm your email in this way.

There are other types of scam such as money laundering and chain letter scams. Money laundering refers to concealing money that has been earned from illegal or unlawful activities. It can be money from scams, drug trafficking, and organized crime. Cons that use money laundering schemes request that you receive and transfer a certain amount of money in return for a commission. You have to use your bank account to transfer money for a company that is based overseas. At the beginning, money mules receive a small percentage of the amount of money transferred. Then scammers will insist on transferring money that the mule did not receive. This way, victims end up losing money and breaking the law. There are ways to protect yourself against such schemes. Never respond to job ads that are looking to hire an account manager or transfer agent. If the job involves using your bank account, this is certainly a money laundering scheme. Job offers that promise massive winnings, commissions, and incomes are often laundering schemes. Grammatically wobbly emails that ask you to process payments are usually sent by scammers. If you respond to the email, they will tell you that you are the ideal candidate for this position. Your bank account will be used to move bad and stolen checks rather than legitimate funds. In fact, you will commit theft because you help fraudsters to transfer stolen money.

Chain letter scams promise different benefits (good luck or money) if you send the email to friends and relatives and give a small amount of money to everyone who is on the list. You will lose money and time by doing this. Other types of scam to watch for include travel and holiday scams, publication scams, and charity scams. Travel and holiday scams involve vouchers for discounted or free flight tickets, hotel stays, and holiday packages. Victims are asked to send a processing fee to receive the vouchers. Scammers process the payment but you will never hear from them again. Charity scams are another variation that offers people an opportunity to be generous and donate some money. Charity scams increase in number during periods in which natural disasters strike (tsunamis, earthquakes, etc.) Finally, phishing is a common form of scam which asks people to submit their personal and financial information.

Scam can be generally divided into two categories – soft and hard scam. In the first case, a fraudster misrepresents a service or product to make it more attractive. Some types of mail order scams fall in this category. Hard scam involves products, services, and businesses that do not exist. In addition to these scams, cyber criminals use other schemes such as affinity scams, sports investment scams, and others.

Canadian con artists use different types of scam schemes, including facebook prize scams, hitman scams, and service scams. Lottery emails are one variety whereby fraudsters send emails to consumers and inform them that they have won the jackpot. Then they will ask you to cover the fees, and you will end up losing money. There are some warning signs that you are being scammed. If you hit the jackpot, you won’t be notified by email. Lottery employees will not use hotmail, yahoo, and other free email accounts to contact you.

Other types of scam in Canada include emergency scams, service scams, and puppy scams. Puppy scams are designed with dog lovers in mind. Buyers are asked to pay an advance fee to cover customs and shipping fees. The scammer promises to sell the puppy afterwards. The money is usually sent through Money Gram or Western Union. There is no puppy, and the seller disappears once the money has been transferred.

There are ways to avoid scams of this type. First of all, make sure you confirm the seller’s personal details, including his phone number, address, and name. Check whether the photo is genuine. In many cases, fraudsters steal dog photos from the websites of legitimate businesses. Beware of people who refuse to talk to you over the phone because they are probably scammers.

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