Internet users around the world have been urged to be safety
conscious whenever they are online to avoid falling victim to scammers.
Pictorial representation of a scammer
Here are 6 important scams you must watch out for when you are
online so as not to fall victim to online fraudsters, according to this
article by
Reader's Digest.
1. Free trial offer! (Just pay forever)
How it works: You see an Internet offer for a free one-month trial
of some amazing product—often a teeth whitener or a weight-loss program.
All you pay is $5.95 for shipping and handling.
What’s really going on: Buried in fine print, often in a color that
washes into the background, are terms that obligate you to pay $79 to
$99 a month in fees, forever.
The big picture: “These guys are really shrewd,” says
Christine Durst, an Internet fraud expert who has consulted for the FBI
and the FTC. “They know that most people don’t read all the fine print
before clicking on ‘I agree,’ and even people who glance at it just look
for numbers. So the companies spell out the numbers, with no dollar
signs; anything that has to do with money or a time frame gets washed
into the text.” That’s exactly what you’ll see in the terms for Xtreme
Cleanse, a weight-loss pill that ends up costing “seventy-nine dollars ninety-five cents plus five dollars and ninety-five cents shipping and handling” every month once the 14-day free trial period ends or until you cancel.
Avoidance maneuver: Read the fine print on offers, and don’t
believe every testimonial. Check TinEye.com, a search engine that scours
the Web for identical photos. If that woman with perfect teeth shows up
everywhere promoting different products, you can be fairly certain her
“testimonial” is bogus. Reputable companies will allow you to cancel,
but if you can’t get out of a “contract,” cancel your card immediately,
then negotiate a refund; if that doesn’t work, appeal to your credit
card company.
Don't worry: there are plenty of free things available on the Internet, scam-free. Here's our guide.
2. The hot spot imposter (He’s close, real close)
How it works: You’re sitting in an airport or a coffee shop and you
log into the local Wi-Fi zone. It could be free, or it could resemble a
pay service like Boingo Wireless. You get connected, and everything
seems fine.
What’s really going on: The site only looks legitimate. It’s
actually run by a nearby criminal from a laptop. If it’s a “free” site,
the crook is mining your computer for banking, credit card, and other
password information. If it’s a fake pay site, he gets your purchase
payment, then sells your card number to other crooks.
The big picture: Fake Wi-Fi hot spots are cropping up everywhere, and it can be difficult to tell them from the real thing. “It’s lucrative and easy to do,” says Brian Yoder, vice president of engineering at CyberDefender, a manufacturer of antivirus software. “Criminals
duplicate the legitimate Web page of a Wi-Fi provider like Verizon or
AT&T and tweak it so it sends your information to their laptop.”
Avoidance maneuver: Make sure you’re not set up to automatically
connect to nonpreferred networks. (For PCs, go to the Network and
Sharing Center in the Control Panel. Click on the link for the Wi-Fi
network you're currently using. A box with a "General" tab should pop
up. Click "Wireless Properties." Then, uncheck the box next to "Connect automatically when this network is in range,"
and click OK to enable. For Macs, click on the Wifi button in the upper
right, click "Open Network Preferences," and check “Ask to join new
networks.”) Before traveling, buy a $20 Visa or MasterCard gift card to
purchase airport Wi-Fi access (enough for two days) so you won’t
broadcast your credit or debit card information. Or set up an advance
account with providers at airports you’ll be visiting. This map lists
Wi-Fi services at all U.S. airports. And don’t do any banking or
Internet shopping from public hot spots unless you’re certain the
network is secure. (Look for https in the URL, or check the lower
right-hand corner of your browser for a small padlock icon.) Learn more
about how to disable automatic Wi-Fi connections.
3. Beware of the not-so-sweet tweet (It’s a real long shot)
How it works: You get a “tweet” from a Twitter follower, raving
about a contest for a free iPad or some other expensive prize: “Just
click on the link to learn more.”
What’s really going on: The link downloads a “bot” (software
robot), adding your computer to a botnet of “zombies” that scammers use
to send spam e-mail.
The big picture: Scammers are taking advantage of URL-shortening
services that allow Twitter users to share links that would otherwise be
longer than the 140-character maximum for a tweet. These legitimate
services break down a huge URL to 10 or 15 characters. But when users
can’t see the actual URL, it’s easy for bad guys to post malicious
links.
Avoidance maneuver: Before clicking on a Twitter link from a
follower you don’t know, check out his profile, says Josh George, a
website entrepreneur in Vancouver, Washington, who follows online scams. “If he’s following hundreds of thousands of people and nobody is following him, it’s a bot,” he says. Here's how to protect yourself online to avoid being scammed.
4. Your computer is infected! (And we can help)
How it works: A window pops up about a legitimate-sounding antivirus software program like “Antivirus XP 2010” or “SecurityTool,” alerting
you that your machine has been infected with a dangerous bug. You’re
prompted to click on a link that will run a scan. Of course, the virus
is found—and for a fee, typically about $50, the company promises to
clean up your computer.
What’s really going on: When you click on the link, the bogus
company installs malware—malicious software—on your computer. No
surprise, there will be no cleanup. But the thieves have your credit
card number, you’re out the money, and your computer is left on life
support.
The big picture: “Scareware” like this is predicted to be the most
costly Internet scam of 2010, with over a million users affected daily,
according to Dave Marcus, director of security and research for McAfee
Labs, a producer of antivirus software. “This is a very clever trick,”
says Marcus, “because people have been told for the past 20 years to
watch out for computer viruses.” Even computer veterans fall prey.
Stevie Wilson, a blogger and social-media business consultant in Los
Angeles, got a pop-up from a company called Personal Antivirus. “It
looked very Microsoft-ish, and it said I had downloaded a virus,” she
recalls. “It did a scan and said it found 40 Trojan horses, worms, and
viruses. I was concerned that they were infecting e-mails I was sending
to clients, so I paid to upgrade my anti-virus software. Right after I
rebooted, my computer stopped working.” Wilson had to wipe her computer
hard drive clean and reinstall every-thing. Although most of her files
were backed up, she lost personal photos and hundreds of iTunes files.
“I felt powerless,” she says.
Avoidance maneuver: If you get a pop-up virus warning, close the
window without clicking on any links. Then run a full system scan using
legitimate, updated antivirus software like free editions of AVG
Anti-Virus or ThreatFire AntiVirus.
5. Third world of charity scams, that is.
How it works: You get an e-mail with an image of a malnourished
orphan—from Haiti or another developing nation. “Please give what you
can today,” goes the charity’s plea, followed by a request for cash. To
speed relief efforts, the e-mail recommends you send a Western Union
wire transfer as well as detailed personal information—your address and
your Social Security and checking account numbers.
What’s really going on: The charity is a scam designed to harvest
your cash and banking information. Nothing goes to helping disaster
victims.
The big picture: The Internet, e-mail, and text messaging have
given new life to age-old charity scams. “These cons watch the headlines
very closely,” says Durst, and they quickly set up websites and PayPal
accounts to take advantage of people’s kindness and sympathy. Durst
recalls seeing fake donation websites within days of Michael Jackson’s
death, urging fans to contribute to his favorite charities. Natural
disasters, too, tend to spawn all sorts of fake charities.
Avoidance maneuver: Donate to real charities on their own websites.
Find the sites yourself instead of clicking on links in e-mail
solicitations; in the wake of the Haiti earthquake, scammers even set up
fake Red Cross sites that looked real. Genuine aid organizations will
accept donations by credit card or check; they won’t ask for wire
transfers, bank account information, or Social Security numbers.
Donations via text message are okay as long as you confirm the number
with the organization.
6. Travel scams (Don't get wander-lost)
How it works: You get an email advertising an amazing deal on
airline tickets to some exotic destination. Or, you see such a deal on
the social media account of what appears to be a legitimate airline.
What's really going on: Like the "free trial" scam, these travel
scams often have all sorts of extra costs hidden in the fine print
behind that alluring cheap price. Most likely, you'll end up with a
lighter wallet and no plane ticket.
The big picture: The peak time for these kinds of online scams is
summertime, when people have vacation on the brain. They're also common
right before holidays such as Christmas and New Years. Scammers
intentionally choose exotic, remote places that would be difficult to
get to without their "amazing offer." (That would make the world's least
visited country, which is stunningly beautiful, a perfect candidate!)
Finally, they throw in an expiration date, saying that you've only got
so many weeks or months to take advantage of this offer, hoping that a
sense of urgency will rope you in.
Avoidance maneuver: Scour the details of the offer before clicking
any sort of confirmation button, and certainly before giving any payment
information. Make sure that what you see really is what you get. And,
even if you crave a solo trip, it can't hurt to get a second pair of
eyes as well. Another good tip is just to stick to travel agencies you
trust; there are plenty of legitimate sites that still offer good deals.
When News Breaks Out, We Break In. (The 2014 Bloggies Finalist)
