Compiled by Zan Deery, Communications/Investigations
11/23/09
zan@spokane.bbb.org
800-356-1007 or 509-455-4200
www.bbb.org
Readers of these tips should take into consideration the importance of the practice in question and the total performance of a company.
For complete information and BBB reports, please visit www.bbb.org
TIP NUMBER ONE
BE WARY OF FAXES PITCHING VACATION PACKAGE OFFERS FROM CANCUN MEXICAN BUREAU OF TRAVEL & TOURISM OF FL
Many Times Offers have Hidden Fees
If you work in an office that has a fax machine, perhaps you have seen them, unsolicited faxes sent randomly offering great vacation package deals to such places as Disneyland, Mexico or Bermuda. You are given a small window of time in which to respond, and are told to act quick or the offer will go away. The above-mentioned company is one on BBB’s radar.
The BBB has been unable to contact this company concerning complaint(s). We have not been able to determine a valid address and/or phone number for this company.
Full report here: http://centralflorida.app.bbb.org/newsearch2.asp?ComID=073300094750352
BBB ADVICE
If you receive an unsolicited vacation offer, dig deep before paying any money down. Research the hotel, the airline and most important, the travel agency doing the bookings prior to agreeing, giving personal info, or signing a contract agreement.
TIP NUMBER TWO
www.unemploymentbenefitservices.com aka
www.unemploymentadvisor.com
Unemployment Advisor.com
1407 Foothill Blvd., Suite 63
La Verne, CA 91750
Phone: (888) 210-2544
Job seekers often report that companies similar to this one post advertisements on the internet and in newspapers offering high-paying employment, often with little or no experience required. Some advertise for positions available in specific industries in which employment may produce above average benefits or offer some other desirable perks.
We consider these types of advertising practices to be deceptive and misleading. These companies are not actually offering employment and therefore cannot guarantee it. Most fail to disclose any fees associated with their services and often misrepresent that their fees are for screening or interviewing costs.
Complaints about similar services allege that advertised employment was unavailable or that jobs were non-existent, that listed companies did not exist or did not provide permission for publication, and that the advertising related to earnings potential was misleading.
LAWS IN CA GOVERNING LEGITIMATE JOB OFFERS
California Law requires that you receive a written contract which includes: basic company information, a fee schedule, a description of services, and an explanation of your three-day cancellation and refund rights. Any fees must be refunded if the company fails to provide at least three employment opportunities within seven business days after signing the contract. If you fail to obtain employment within 90 days, you are entitled to a refund less $25, which must be paid within 10 days or the company must pay twice the amount. The law also requires these companies to have written permission from the listed employer(s) both to advertise the positions, verified within 4 days of printing, and to refer jobseekers that meet specifications.
If your written contract does not inform you of your right to a refund or to cancel, you may demand your refund or cancel your contract at any time, without regard to these time limits.
TIP NUMBER THREE
DON’T GET DUPED BY QUESTIONABLE SNOW REMOVAL OFFERS
There is always a right way and a wrong way to go about hiring someone to remove snow from your property. Whether it be commercial or private, for a few sidewalks, a driveway, or a big commercial removal job, the rules tend to remain the same: do your homework, know who you are dealing with, and make sure they have coverage for any damage and/or injury that could arise from the work itself, because removing snow can be a dangerous endeavor, either way. Follow these tips:
Get several estimates. Prices can vary widely. They are usually based on the amount of work, including: the layout of the property, size of the area to be cleared, and whether the customer requests shoveling or snow blowing to remove excess snow from other areas in addition to driveway plowing. Remember, the least expensive service is not always the best.
Understand the services. Find out exactly what's included in the estimate. Are the walks and steps included? What about the cost of sand or salt? Does the consumer call when service is needed or does the business automatically come when the snow falls? How quickly can the consumer expect service? Will the company clear only after the storm has passed or during the snowfall as well? If the contractor has to come back, is there an additional charge?
Ask about additional charges and price options. Some contractors offer a fixed price for the entire season, regardless of the amount of snow. However, some companies have additional charges during large storms, after the snow reaches a certain depth where they charge by the inch; if so, find out how the company calculates the size of the snowfall. Also, ask if there are additional charges for snow removal on holidays.
Check reliability. Check out the business with BBB's free Reliability Reports by visiting http://www.bbb.org Also ask the business for references and check them.
Get an in-person estimate and written agreement. Do not settle for verbal promises over the telephone. Get a written agreement. A representative should come out to examine the property and make notes about the service requested and potential obstacles. Before signing the agreement, ask who will be responsible for damages, such as cracked driveways or broken gates. Also, understand if the agreement can be terminated, if necessary.
Verify the business is licensed. Ask if the contractor is insured or bonded.
Keep expectations realistic. Keep in mind that a snow storm makes traveling difficult for customers and the contractor. During major snowfalls, workers are required to use more caution when plowing and traveling, therefore it may take longer for the contractor to reach and complete the contracted work.
Avoid scams. If a snow removal service shows up at the door, don't feel pressured to sign up for an agreement immediately or pay up front for a service. Reliable businesses will give customers full business contact information, references and be willing to let consumers check their reliability before making a decision.
TIP NUMBER FOUR
“It happened at Wal-Mart (Supercenter Store #1279, 10411 N Freeway 45, Houston, TX 77037 a month ago)…”
Email a Recurring Urban Legend, Re-Circulating
Have you received this email in your INBOX or had it forwarded to you?
It happened at Wal-Mart (Supercenter Store #1279, 10411 N Freeway 45, Houston , TX 77037 a month ago. I bought a bunch of stuff, over $150, & I glanced at my receipt as the cashier was handing me the bags. I saw a cash-back of $40. I told her I didn't request a cash back & to delete it. She said I'd have to take the $40 because she couldn't delete it. told her to call a supervisor. Supervisor came & said I'd have to take it. I said NO! Taking the $40 would be a cash advance against my Discover & I wasn't paying interest on a cash advance!!!!! If they couldn't delete it then they would have to delete the whole order. So the supervisor had the cashier delete the whole order & re-scan everything! The second time I looked at the electronic pad before I signed & a cash-back of $20 popped up. At that point I told the cashier & she deleted it. The total came out right. The cashier agreed that the electronic pad must be defective. Obviously the cashier knew the electronic pad was defective because she NEVER offered me the $40 at the beginning. Can you imagine how many people went through before me & at the end of her shift how much money she pocketed?
Here’s what Snopes has to say about this email circulating:
http://www.snopes.com/fraud/atm/cashback.asp
Bottom line: No matter what one or another resource tells you or attempts to explain about this supposed scam, arm yourself with knowledge and common sense--1) ALWAYS check receipts, even if it's for a mere pack of gum, 2) when or if you are ay a keypad, protect it, guard it, and don't let another control or see what you are entering onto the keypad.
TIP NUMBER FIVE
MARKETFORCEINSTORE.COM of SF, CA: BBB Accredited Business Profile Misused in Latest Mystery Shopping Scam
Scam involves Fake Checks Sent by Mail
On November 18, 2009, Marketforce InStore advised BBB that their name was being used to send consumers fraudulent checks that bear their company’s good name. The checks are being sent with a letter asking consumers to be Mystery Shoppers.
Consumers are instructed to cash the checks, and to keep a percentage of the money for themselves and wire the rest via Western Union. These checks are fake.
Marketforce has informed BBB that they have no connection to this company, and the checks that are being sent are not from a valid Marketforce account.
The letter instructs consumers to send money back to an address located in Pittsburgh, PA. This address is not a location for Marketforce.
FULL REPORT on Marketforce InStore:
http://goldengate.app.bbb.org/report/48731?gid=MasterRecord.br.rtf&gen=MasterRecord.br.rtf&lid=1
BBB ADVICE
Individuals who receive a fraudulent check or have information about the scam should contact their local law enforcement office. BBB also suggests filing a complaint with United States Postal Inspector at www.postalinspectorss.uspis.gov or the Federal Trade Commission at www.ftc.gov.
ONE FOR THE GIPPER
LATEST ADVANCE FEE LOAN SCAM:
Capital Debt Reduction of Akron, OH
Company offers to assist individuals manage their debt through Debt Consolidation Loans, Mortgage Refinancing and Debt Agreements
Capital Debt Reduction
520 S Main Street, Suite 2505
Akron, OH 44311
The Better Business Bureau serving Ashland, Medina, Portage, Richland, Summit and Wayne Counties has received numerous complaints and inquiries from consumers across the country against Capital Debt Reduction, located at 520 S Main Street, Suite 2505, Akron, OH 44311. Consumers reported that they have lost between $700 to nearly $3,000 in insurance payments to secure loans through the company. Money is wired to Canada.
After receiving several complaints against the company, a BBB Representative went to the office building to investigate but the company is not physically located at that address, there is no suite number of 2505 nor is Capital Debt Reduction listed in the office directory.
According to the company’s website Capital Debt Reduction specializes in assisting American's reduce their debt and make their financial lives more manageable through debt consolidation loans and mortgage refinance. The company also claims to be part of America's largest nationally based Debt Relief organization and has assisted over 30,000 Americans get back in control of their debts. You can contact the company for more information with a no obligation policy.
One consumer applied for a $20,000 loan to pay for her wedding, but had to provide an insurance payment of $2,000.43 in order to receive the loan. The consumer wired the money through Western Union to Nova Scotia, Canada with the promise that the loan amount will be in her checking account within 2 days after they receive the insurance payment. Consumer has not received any loan money. Another consumer from Tennessee applied for a personal loan, but had to buy life insurance first for $1,755.22 by sending money to Windsor, Ontario, Canada. After the consumer did not receive the promised loan, he tried to get in contact with representatives from the company, but all phone lines were disconnected.
No history could be found about this company on various search engines and the Ohio Secretary of State as well as the Ohio Department of Commerce has no information about this company either.
Advance fee loan scams are illegal in the U.S. and Canada and according to the Federal Trade Commission consumers are losing millions of dollars each year in advance fee loan scams. It is illegal for a company to charge advance fees for a loan before the loan is made. Such ‘fees’ include, but are not limited to insurance fees, up-front fees, processing fees, collateral fees, etc. Fraudulent Loan Operators move quickly and frequently reopen companies under new names to avoid law detection and prosecution.
Federal Trade Commission Tips
The FTC advises that a legitimate lender will never guarantee or promise a loan before you apply for one, especially if you have a poor credit history or not credit record at all. Red flags that can tip you off to scam artists’ tricks are:
A lender who isn’t interested in your credit history. A lender may offer loans or credit cards for many purposes, but one who doesn’t care about your credit record should give you cause for concern. Ads that say “Bad credit? No problem” or “We don’t care about your past. You deserve a loan” or “Get money fast” or even “No hassle — guaranteed” often indicate a scam.
Fees that are not disclosed clearly or prominently. Scam lenders may say you’ve been approved for a loan, then call or email demanding a fee before you can get the money. Any up-front fee that the lender wants to collect before granting the loan is a cue to walk away, especially if you’re told it’s for “insurance,” “processing,” or just “paperwork.”
Legitimate lenders often charge application, appraisal, or credit report fees but they disclose their fees clearly and prominently; they take their fees from the amount you borrow; and the fees usually are paid to the lender or broker after the loan is approved.
A loan that is offered by phone. It is illegal for companies doing business in the U.S. by phone to promise you a loan and ask you to pay for it before they deliver.
A lender who uses a copy-cat or wanna-be name. Crooks give their companies names that sound like well-known or respected organizations and create websites that look slick. Some scam artists have pretended to be the Better Business Bureau or another reputable organization, and some even produce forged paperwork or pay people to pretend to be references. Always get a company’s phone number from the phone book or directory assistance, and call to check they are who they say they are. Get a physical address, too: a company that advertises a PO Box as its address is one to check out with the appropriate authorities.
A lender who is not registered in your state. Lenders and loan brokers are required to register in the states where they do business. To check registration, call your state Attorney General’s office or your state’s Department of Banking or Financial Regulation. Checking registration does not guarantee that you will be happy with a lender, but it helps weed out the crooks.
A lender who asks you to wire money or pay an individual. Don’t make a payment for a loan or credit card directly to an individual, or use a wire transfer service or send money orders for a loan. You have little recourse if there’s a problem with a wire transaction, and legitimate lenders don’t pressure their customers to wire funds.
Finally, just because you’ve received a slick promotion, seen an ad for a loan in a prominent place in your neighborhood or in your newspaper, on television or on the Internet, or heard one on the radio, don’t assume it’s a good deal — or even legitimate. Scam artists like to operate on the premise of legitimacy by association, so it’s really important to do your homework.