Nashville, TN – While online opportunities for consumers are almost endless, there are risks, too. Con artists use the Internet to defraud consumers in a variety of clever ways.
Whether buying a product from a company’s website, an online auction or on Craigslist, any time you deal with someone you aren’t meeting face-to-face, you risk getting scammed. One of the most common scams involves getting consumers to wire money. Wiring money is like sending cash; once it’s gone, you can’t get it back.
Wire transfers can be useful when you want to send funds to someone you know or trust, but are not appropriate when doing business with a stranger. Be suspicious of sellers who insist on cash wire transfers. Ask to use another method of payment. If the seller insists on a wire transfer, end the transaction. A seller’s insistence on a wire transfer is a sign that you probably are not going to get the item and you will lose your money.
Scam artists pretending to be legitimate sellers use a number of tricks to get potential buyers to wire them cash.
To protect yourself from falling victim to a scam:
- Avoid sending money overseas. Con artists often insist people wire money, especially overseas, because it’s nearly impossible to reverse the transaction or trace the money.
- Know whom you are dealing with. Confirm the online seller’s physical address and phone number, in case you have questions or problems.
- Research online reviews by previous customers.
- Examine the service’s privacy policy and security measures. Never disclose financial or personal information, unless you know why it’s being collected, how it will be used and how it will be safeguarded.
- Check out the online payment or escrow service’s Web site. Sites that are of poor quality – say, with misspelled words or that claim to be affiliated with the government – are suspect.
- Call the customer service line. If there isn’t one – or if you call and can’t reach someone – don’t use the service.
- Be suspicious of online escrow services that can’t process their own transactions but require users to set up accounts with online payment services.
Check with the Tennessee Division of Consumer Affairs or the Attorney General’s Office where you live and where the online payment or escrow service is based, to see whether there are unresolved complaints against the service. Be aware that a lack of complaints doesn’t necessarily mean that a service has no problems.
Consumer Affairs (www.tn.gov/consumer/) is a division of the Department of Commerce and Insurance (www.tn.gov/commerce/), which works to protect consumers while ensuring fair competition for industries and professionals who do business in Tennessee.
