2007
Every day, people throughout the UK are falling victim to a scam of one kind or another. These scams often come in different forms such as letters, email, telephone calls or text messages. Nationally; Consumer Direct received over 20,000 calls in 2006 about betting, competitions and prize draws, of which Consumer Direct Scotland took over 1000.
15 September 2007
The majority of these were likely Fake Lottery Scams which are becoming increasingly popular. The Office of Fair Trading estimates that consumers loose approximately £260million annually to Fake Foreign Lottery Scams.
Typical scenario of fake lottery scam calls received at Consumer Direct Scotland:
Susan received a letter from a Spanish lottery company telling her that she had been selected as a winner in a Spanish prize draw. Susan was delighted to see that she had won £6,200. Although she knew that this may not be genuine Susan was intrigued by the letter as she had been to Spain last year and could not remember whether she entered a prize draw or not.
All Susan had to do was send back a claim form along with £15. This small fee was required to cover administration costs which seemed reasonable to Susan considering the size of the winnings. Susan sent her cheque but has been waiting for several weeks now and is beginning to think she will not see her £15 again.
If you are approached and offered something that seems too good to be true, think before you respond and ask yourself the following questions:
- Did it come from overseas?
- Do I have to respond 'at once' - what's the rush?
- Do I have to make a purchase to win a prize?
- Do I have to ring a premium rate telephone number?
- Do I have to give my bank or credit card details?
- Do I have to send the money to a PO Box number?
- Am I asked to keep it confidential?
If you do want to part with any money, Consumer Direct Scotland suggest that you make sure you fully understand all the terms and conditions of any offer made to you and that you take your time before making any decision – if the offer is genuine then it will wait for you so don’t fall for high pressure sales tactics.
With identity fraud becoming a growing concern it is vital that you don't provide any financial or other personal information before you establish whether the company is legitimate. You shouldn’t judge the credibility of a company or sales person by how 'professional' they or their promotional material or website seems.
You should also be wary if you are asked to call the company or send them money to “progress to the next stage”. If the claim is genuine then you should ask the company to deduct any administration fees from your winnings. If you are prompted to dial a premium rate number you should remember that you are charged by the minute and that’s usually a lot more than the cost of a local call.
If you do receive such a claim, be careful about proceeding and if you think you are being targeted by a scam operator or want further advice, call Consumer Direct Scotland on 08454 04 05 06.
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