Recent Debt Elimination Scams

I notice from listening to the news and seeing advertisements in newspapers that debt elimination/consolidation is a topic on everyone's mind due to the state of the economy. Having worked in telemarketing rooms in the past, I learned that there are reputable telemarketing organizations, but there are also numerous "boiler rooms" that promote and operate fraudulent programs, similar to the description below.

Debt elimination schemes generally involve websites advertising a legal way to dispose of mortgage loans and credit card debts. Most often, all that is required of the participant is to send $1,500 to $2,000 to the subject, along with all the particulars of the participant's loan information and a special power of attorney authorizing the subject to enter into transactions regarding the title of the participant's homes on their behalf. The subject then issues bonds and promissory notes to the lenders that purport to legally satisfy the debts of the participant. In exchange, the participant is then required to pay a certain percentage of the value of the satisfied debts to the subject. The potential risk of identity theft related crimes associated with the debt elimination scheme is extremely high because the participants provide all of their personal information to the subject.

If you feel that you've been victimized, or know of someone who has been a victim of this type of fraudulent operation, please don't hesitate, follow your instincts and please file a complaint on IC3.gov.

Update On Google Start-up Kit Scam

I've been looking into this since it was brought to my attention, if you've come across it DO NOT take part in it any way, it is definitely a malicious scam. I'm checking with a few old contacts to see if I can come up with any more information. In the mean time, here is the IC3 article about internet fraud.

Intelligence Note

Prepared by the Internet Crime Complaint Center (IC3)

February 3, 2009

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Work-At-Home Scams

Consumers need to be vigilant when seeking employment on-line. The IC3 continues to receive numerous complaints from individuals who have fallen victim to work-at-home scams.

Victims are often hired to "process payments", "transfer funds" or "reship products." These job scams involve the victims receiving and cashing fraudulent checks, transferring illegally obtained funds for the criminals, or receiving stolen merchandise and shipping it to the criminals.

Other victims sign up to be a "mystery shopper", receiving fraudulent checks with instructions to cash the checks and wire the funds to "test" a company's services. Victims are told they will be compensated with a portion of the merchandise or funds.

Work-at-home schemes attract otherwise innocent individuals, causing them to become part of criminal schemes without realizing they are engaging in illegal behavior.

Job scams often provide criminals the opportunity to commit identity theft when victims provide their personal information, sometimes even bank account information to their potential "employer." The criminal/employer can then use the victim's information to open credit cards, post on-line auctions, register Web sites, etc., in the victim's name to commit additional crimes.

If you have been a victim of Internet crime, please file a complaint at www.IC3.gov.

Incredible Heist Nets $65 million in Jewels

Stories like these just go to show there are still professional thieves out there operating on the highest level of sophistication and skill. I'll be keeping an eye on this story. Take a look if you haven''t heard about it, this is the article from the BBC:

The men were caught on CCTV as they entered the shop Robbers stole nearly £40m of items from a London jewellers in what police say was Britain's second biggest robbery. Two men with handguns threatened staff at Graff jewellers in New Bond Street on 6 August before taking 43 items. They dragged a female member of staff outside as they left the shop and fired a shot, although no-one was injured. CCTV images of the two men have been issued. The £40m haul is exceeded only by the £53m raid on a Securitas depot in Kent in 2006, a Met spokesman said. Det Ch Insp Pam Mace from the Flying Squad said: "This was a well planned robbery with a number of vehicles used to help the robbers escape. "These men are extremely dangerous and fired at least two shots in busy London streets as they made their getaway. "Someone knows who these men are, they would undoubtedly have spoken about it beforehand or boasted about it afterwards." The "smartly dressed" pair escaped in a blue BMW. They fired once while leaving the store and then again in Dover Street where they abandoned the BMW, police said. More than 40 items were taken The robbers then got into a silver Mercedes and drove into Farm Street where it is believed some of the suspects got into another vehicle, possibly a black Ford Galaxy or Volkswagen Sharan. One of the 43 items of jewellery stolen was a pair of white round diamond double-hoop earrings. A yellow diamond flower necklace, a platinum white Marquise diamond ring and a Chronograph men's watch were among the other pieces taken. The first suspect is described as white, about 30 years old, slim and between 5ft 10ins and 6ft tall. The other man is described as black, in his 30s, 6ft tall, more well- built than the first suspect, with very short hair. The same store has been targeted by robbers before. Jewellery worth an estimated £23m was stolen in a raid in 2003 when two Serbs armed with a revolver held up staff. And in 2007 jewellery worth as much as £10m was taken from a branch of Graff Diamonds in Sloane Street in central London by two men posing as customers.

Identity Theft Safety Tips

Identity theft has become a major U.S. crime. Thousands of people are victimized every year by ruined credit records and even resulting in criminal records under victim's identity. The FTC has said that identity theft has exceeded all other forms of fraud. Over nine million people were affected last year and thousands more don't even know they were hit.

INFORMATION:

1. Businesses Responsibility: Identity theft is not your boss's problem, however an employee struggling to get their life in order after being victimized will surely be distracted, wasting company time, using company phones, going to court, coming in late and leaving early to get their identity straightened out. It is estimated that the average victim spends more that 175 hours and up to $20,000 before restoring their identity. Employee training can help prevent this from happening.

2. Fundamentals: Just from a name, address, phone, birth date, Social Security (SS) number, mother's maiden name, bank account number, credit card number, driver's license, plate number or utility bill, a thief can make a few phone calls, do an online search and become you.

3. Little Defenses: Pick pocketing, shoulder surfmg and dumpster diving are covert ways of obtaining information. Registry clerks, medical filers, property management filers, bankers, utility company employees or any venue where you are required to give out your SS number for services are the weakest links in your ability to conceal , your ID. Dishonest employees have been known to sell lists of SS numbers for money. !

4. Going Postal: Postal address forms can be filled out and your mail redirected to a criminal's P.O. Box. Incoming and outgoing mail have everything a criminal needs. Credit card offers and loan applications have proprietary information that just requires a signature. Stolen mail might never be missed, giving the thief a head start.

S. Phone Fraud: Predators call congratulating you on winning prizes and trips, others say you hit their auto in a parking lot or they found something of yours with identity on it and ask you to confirm your SS number.

6. Head Start: On average it takes a person 12 to 16 months to realize they have been victimized. Some.thieves will payoff debt for up to a year to get larger increases on loans and credit cards, then cash in when the big loans and limits come in.

TIPS:

7. What to do: Here is just a sampling: develop a first-name basis relationship with the postal staff in your town. If they see something that doesn't make sense they may be the first to notify you. Get a locking mailbox. Never put outgoing mail in your mailbox. Go to the post office or use a secure mailbox. Get a shredder and shred everything with a name, account number or an address. Make an effort to pay all bills online and request online billing statements.

8. Pay Attention: Bills for items you never purchased, calls from credit card companies increasing your credit lines, calls from bill collectors looking for payments, mail for other people than yourself in the form of credit card statements or loans. An unusual amount of direct mail from a particular brand or product line can be a tell-tale sign of identity theft. This can represent a large purchase on behalf of the thief that has put you on a direct mail list.

9. Be Discreet: It is not necessary to give out your SS number as much as you think. Only give it out if it is absolutely necessary. Deal only with established vendors with solid backgrounds. Never give out your mother's maiden name unless absolutely necessary.

10. Credit Check: The Catch-22 in checking your credit report is that excessive inquiries into your credit lowers your scores, making you less able to get loans for cars or homes. However, quarterly, semi-annually or annually checking your credit will make you aware of activity regarding your SS number.

11. If Victimized: Contact the fraud departments of all three major credit bureaus and they flag your SS number. Cancel all credit cards affected by theft. Notify local authorities.