Top 10 Internet Scams

The internet marketplace is growing exponentially and as a result, scam websites are too. People are using the internet to do more things all the time and lots of new people are joining the internet revolution. These people in particular are easy targets for scammers because they are not familiar with the internet and are not aware of the possibilities.

Each time you visit the web, there is a chance that you could be attacked, no matter what you are doing. Below is a list of the most common internet scams and what to do to avoid them.

Advance fee scams

Over the last few years there have been thousands of Nigerian scams. They are all variations of each other. Normally, they send you an e-mail asking if you can help to access a large sum of money from a foreign account. They offer you a percentage of this money, in exchange for your help. However, you must pay a small advance fee in order for the transaction to happen. The money does not actually exist and often anyone that responds will have their identity stolen and used for any purpose. These are obviously scams, because they sound ‘too good to be true.’ Avoid contact and send any e-mails to the junk box.

Identity theft and phishing

This is where criminals try to steal your personal data using a variety of techniques such as phishing, website hacking, setting up bogus websites and through social networks. The market for this data is well established and the data is used to create credit cards amongst other things. Do not share any personal data with any website unless it is necessary. For some websites that shouldn’t need your post code or date of birth, you can just give them fake ones.

Classified ads and auction scams

Some scammers will use online classified advertising sites such as Gumtree to find victims. They will offer to pay for something such as a product or service that someone is offering. They will send a cheque to that person which is of higher value than they made an agreement upon. They will then request that you send the extra money back to them or their friend. The cheque is fake and they anticipate the money is transferred to them before the cheque is cashed in. Not many people will accidently overpay by cheque so use common sense if you ever find yourself in this situation.

Work at home and job scams

There are many variations of the work at home scam. Advances in technology and increased usage of the internet have led to many working at home opportunities. Many people have created successful businesses at home or have become extremely rich. People are generally prepared to spend a bit of money if they think they can make some money from it. Scammers have taken advantage of this and are selling the ‘get rich quick’ dream with false promises. There are scams for virtually every online money making opportunity so you should always be alert if you want to proceed down this route. These scams have been around for a while but the rise in unemployment will mean that there will be even more scams which target vulnerable job seekers.

Social Networking

Social networks provide access to a large number of people who can quickly be leveraged. Criminals send messages through social networking channels telling people that they are on a YouTube video or something similar. The link is a trick and often corrupts the computer. Messages can then be forwarded to each person’s friends on their network, creating a viral effect. These are also replicated through dating sites. Sometimes they will be desperate such as friends or family who are in trouble or need financial assistance. If you are unsure, then do not bother to click any links.

Fake or spoofed websites

Criminals use a variety of methods to attract you to their websites such as posting their link in forums, phishing etc. Their websites will offer you a great deal, or something which is very difficult to obtain. This instantly lures victims into their trap. Often these sites will be shut down after a few months when people begin to realise its fake and a new one will be set-up doing the same thing again. It is advised to avoid clicking on links to spammy posts. Also, check for the lock symbol at the top of your browser, near the web address, when making any payment online

Holiday Scams

In the current credit crunch, many people have been unable to afford holidays. Some people take holidays to hotspots in their own country whilst others will go somewhere they will get good value for their money and some will even sacrifice their holiday. Scammers target these types of people by offering irresistible deals. They will offer massively discounted accommodation and flights even during peak flying times. Also, they will put pressure on customers to purchase immediately by stating there is a limited time or number of places. These deals are never real!

Viruses and spyware

Viruses and spyware are everywhere. It cannot be known whether you are visiting an infected website. YouTube videos, pdf files and emails could all have viruses attached. They can compromise your computer, steal your details, corrupt your files and even delete everything. Make sure that you have good virus protection software which is up-to-date.

Ticket Scams

Ticket scams have always been around. More recently, during the Beijing Olympics in 2008 there was a large scale ticket fraud. Criminals can produce counterfeit tickets for anything including festivals, sports events and music concerts. These counterfeits are often identical and will normally include unique identifiers such as bar codes. They are often sold through auction websites, classified ads or through their own website. If you buy through an auction website such as eBay, look for reputability such as customer feedback and points accumulated. There are already scam websites set up for the 2012 World Cup in South Africa. For events like these, you must go through a rigorous application process before you can purchase a ticket and therefore these are obvious scams. Make sure you are familiar with the event’s processes before you make any payment.

Economy related scams

When the economy became weak and many people realised they had negative equity in their homes and multiple credit cards, loan consolidation companies started advertising heavily. As a result, many scams in the loan and debt consolidation field are appearing. These can be disguised in many other forms including repossession assistance, unemployment insurance and bank charges reclaims. These criminals prey on desperate people because often they are not rational. Make sure you do some research on a company before you make a final decision or application. If the company has been registered with the relevant authority then it is likely not to be a scam.

The usual phrase ‘if it sound’s too good to be true, it probably is,’ always applies regardless of how a scam is encountered. Criminals have become wise to technology and are exploring many ways to target vulnerable people. If you give away some form of personal details, always look for some kind of logo or sign of approval. Also, ensure that your computer has virus and spyware protection software. You can get these for free on the internet but make sure that updates are added immediately as new security threats are detected. If you use these basic measures then you will greatly reduce your risk of becoming an internet scam victim.