HOW TO SPOT A SCAM

Click here for tips on how to smell an online love scam

Ignorance is not always bliss especially when it involves money. It pays to know how to tell a legitimate investment scheme from a phony one, and how to distinguish between a genuine business opportunity and a scam. Let's also not forget online Romeos who target lonely women, and sweet talk their way first into the lady's heart, and then into her bank account.

In MLM companies, it's the topmost levels 
that rake in the money
(Image: The Star, 5 August 2014) 

There are as many types of scams as there are victims. Scammers are getting more and more creative. We need to remain alert at all times. Better to be safe than sorry, better to be relieved that we escaped getting conned than to be relieved of our money and possessions.

A word of caution to seniors who are new to the internet and using email for the first time. You will receive letters from banks asking you to re-submit your account number and password for security purposes. This is phishing. You may also get emails from strangers offering you a shot at an easy money-making scheme, or from 'friends' who are stranded overseas without money overseas.

There has been a resurgence of pyramid schemes of late. The Star recently did a comprehensive coverage of various direct selling schemes, including tips on how to spot an MLM scam. The images below are sourced from the article "All That Glitters" published in Star2 on 5 August 2014. Do read and share to spread awareness of MLM scams.

The latest edition of The Heat (Issue 42 for Week 9-15 Aug, 2014) also carries an expose on online work-at-home scams. Be wary of those that advertise 'no experience required' or 'earn up to 5-digit income a month. Most of these scams ask you to pay a certain fee first before starting your 'employment'.

Below is a list of the many types of such scams. Be familiar with them to avoid getting conned. For the full article, get a copy of The Heat.

Types of work-at-home scams

• Email stuffing
• Processing claims or rebates
• The home typist
• "E-con-merce'
• Faux-real jobs
• Online pyramid scheme
• Dial into nothing
• Pre-screened lists

One final word of caution. Do not click on any link that looks suspicious. Never divulge your personal data or passwords to companies or organizations that ask for such information. When in doubt, DON'T. Scammers prey on those who are ignorant, fearful, gullible or greedy.

Source: The Telegraph