Published: January 12, 2008 08:57 pm         

If it sounds too good to be true, it probably is

It seems as we head into the new year there is still no shortage of scams of which both consumers and businesses need to be wary.

It seems that every time I open my e-mail here at the office there are a new crop of writers wanting me to transfer money from another country for them or a winning ticket for me to claim.

I truly hope there is no one who is falling for these efforts to part us from our money. But, I have to assume that people are biting, otherwise there wouldn’t be so many.

I really like those television commercials where people are approached in person by these thieves with their obvious phoniness. It reminds most of us that we wouldn’t fall for it in person, so why should we on the Internet.

The Maryland Better Business Bureau recently reflected on the three top scams that hit the state in 2007.

I had not run across these before but maybe you have and, hopefully, passed them up.

The Nigerian puppy scam, according to the Better Business Bureau, uses emotional tactics to prey on the sentiments of animal lovers.

The bureau apparently received a number of reports from consumers who lost money by responding online or to newspaper classified ads. Still other consumers were contacted through unsolicited e-mails with the scammer claiming that he or she is affiliated with a religious organization, who has been relocated to a foreign country and needs to find homes for the puppies.

The puppies are usually Yorkshire terrier or English bulldog breed, normally costing between $1,000 and $3,000, but are being offered for free. The scammer claims they don’t care about the money but just want to find a good home for the “beloved puppies.”

According to Angie Barnett of the bureau, the fees for shipping the pet mount up and the consumer can lose hundreds of dollars before realizing they’ve been conned and will never get the puppy.

The second scam involves the Geiko Financial and Trust Co.

Beginning last July, the bureau was hit with a wave of inquiries and complaints about this company. It seems the company offered consumer loans and required an advance fee prior to payment of the “approved” loan.

If the name sounds familiar .... The company imposed on the identity of GEICO, a reputable insurance company, by using a play-off on its company name and even using the popular advertising icon, the gecko, on its Web site.

Similar advance fee loan scams apparently poured into the state this year with many companies claiming Maryland addresses exploiting names and advertising likened to those of established firms.

They lured high risk consumers with the bait of guaranteed loans ranging from $5,000 to $10,000. Applicants were then required to wire advance fees out of the country with their bank accounts drained and the hopes of an easy loan dashed.

The third scam involves Master Research, a “Secret Shopper” company that claimed a Maryland address. Consumers applied to Customer Service Evaluator and Mystery Shopper ads posted in the classifieds of print and online resources. Applicants were then contacted by a company representative who would collect their mailing address.

According to bureau reports the consumer would then receive a package from Master Research with a check for $2,990 and instructions on how to complete the first assignment of their new job.

This is very similar to the foreign money transfer scams, in that the participants, who were not aware that they would be receiving the package, were advised to go Wal-Mart and wire money to a person in Canada. They were instructed that as a participant they could keep $300 for their services.

The checks were falsely issued under a real financial institution, Chesapeake Bank, but included a phony Baltimore address and telephone number.

Apparently the FBI has had an open investigation into Master Research since April.

I can’t emphasize enough that you should be suspicious of any check from an individual or business you do not know. You need to verify that the check is drawn from an actual account at a legitimate financial institution and even then .... if you have no reason to be expecting a check don’t cash it until you can verify its legitimacy and even then don’t plan on spending the money until it has cleared both banks, the one on which it was drawn and your bank.

Be wary of companies that ask you to wire money, especially out of the county, says the bureau.

It’s common sense that if it sounds too good to be true it probably is.

The Better Business Bureau offers one last tip.

Do not be intimidated. If you ever feel threatened or coerced when communicating with a business or company representative, chances are there is a questionable motive behind the tactics. Always take a step back and ask for written documents or company material before agreeing to anything that makes you uneasy.

Mona Ridder can be reached at mridder@times-news.com.