How To Avoid Scams: Use The Tools, But Don't Get Screwed

I wish someone would write a book entitled "How To Avoid Scams". It’s amazing to think of the number of emails I get offering to "make my dreams come true" or how I can "get rich with little or no work" on my part. Mostly scams. The internet is a wonderful place, full of opportunities to learn and to profit in business. However, it is also a great place to get hosed out of all of your hard earned money by people who make their living doing so. For those of you with some experience in life and online none of this will come as any surprise. For those of you who are just beginning to look for a way to make money on the internet, a few words of caution are advised.

Beware Of Getting Something For Nothing

No matter what anybody tells you, no matter the source, no one is going to give you anything in life absolutely free, period. Beware of the email that tries to tell you that you can be rich and it will cost you nothing. This is a scam. There is always a price somewhere; you just have to look for it. Be careful of signing up for the free trial offer. A lot of offers arrive in my email box that offers to give me a "free trial membership" for a stated period after which my PayPal account or credit card will automatically be billed. The part about billing me automatically is often nested in such a way as to make it difficult to notice while you read it or sometimes it’s actually printed using small text. Read everything carefully and keep in mind that nothing is free and that whoever is trying to get you to sign up is trying to make a buck.

Beware Of Getting a Secret Method or System

Please keep in mind that, for the most part, everything has already been done. What we tend to see on the net and in the world with regards to making money are just twists on things which have been around for a long time. Periodically you are going to run into a scam artist who will try to tell you they have an answer for you that nobody else has thought of or that they have discovered the secret the "gurus" have kept to themselves. I love this one: they try to sell me some "secret" they have uncovered that is guaranteed to make me money. Why would anyone sell me their sure fire method to make money and invite competition which would potentially take money out of their pocket? Chances are they wouldn't. Don't fall for this one, let them keep their little "secret" to themselves and you keep your money. Believe me; you will be glad you did.

Beware Of Getting Your Own Ready-Made Online Business Website

There are scams out there which will try and sell you "your very own online business" that is "ready to start earning you $1,000's of dollars 24/7 while you sleep". Wow, how great is that? I sleep and my ready-made website, that I never so much as typed a key to create, will literally crap out so many $100 dollar bills that I have to shovel them out of the way just to get to the bathroom in the morning. Sound ridiculous? It should, its a scam. First, you must understand that in order for any website to be profitable it must have a constant flow of traffic, profitable traffic, and that is not included in the price you pay. Before people come to your site, they have to first realize that it exists. That requires some form of advertisement, which will cost you money. Second, these free sites tend to be cookie cutter in nature and the search engines frown on duplicate content. Third, these sites tend to be crappy and quality is what it’s all about on the net. Never doubt that, regardless of what you hear.

Beware Of the Limited Time Offer

Watch out for the offer which expires soon, usually by the end of the day. Scam artists do this to make you click on the “buy now” button without thinking it over first. This type of sales pitch is based on knowledge of human nature that tries to prey on our tendency to avoid loss; even if it is the loss of something we don't have yet. Don't fall for this. First, I have passed on these offers and then gone back to the same site a day or so later and found that the expiration date has now been extended, big surprise. Second, it is usually a good idea to sleep on a decision for at least one night before taking action. After all, that is usually how we buy homes, cars, etc. It needs to apply to internet decisions as well. Third, and you can hang your hat on this, you will be approached again, there is a never ending string of limited time offers. If you get used to letting them pass you will save a great deal of money. Another twist here is the "only a limited number of spots are available so sign up now to ensure your place". Same basic idea as the limited time offer applies although sometimes there are real programs you can attend physically which have a limit on sign-ups based on limited seating. In this case, it is reasonable.

Beware Of the Proof They Offer

With many if these offers the seller will include a screen-shot of their bank register or of checks made out in large amounts to "prove" that their system works. These pictures are designed to get you excited about the possibility of your own bank statement looking similar. Frankly, with the graphics programs available currently you can create any legitimate appearing document you want to. Maybe these examples of "proof" are real and maybe they are not. You won't be able to know either way. But you do have to ask yourself "is this how I would sell something?" In any case I would not use these screen shots as the deciding factor for purchasing these items. It really is true you know: If it looks or sounds too good to be true, it probably is. Those screen-shots look too good to be true.

Beware of the Urgent Email

In the process of writing all of this I was reminded of the one time I was scammed. I have to say that I am a little embarrassed that I fell for this one. The scam in retrospect was very obvious but it came in a way I never expected and it caught me unprepared. Here’s how it went.

So there I am, checking my email in the morning like I usually do and I see a rather important message saying: "Your Ebay account has been frozen and your immediate attention is required". So I click on it to see what this is all about and up pops a very serious (and convincing) page, which looks like one of Ebay's actual pages. The message tells me that I need to log in to my Ebay account and address a problem. This page also has the very familiar username and login boxes Ebay uses so I go ahead and sign in.

I am then taken to another apparent Ebay page which wants me to fill out a form requesting my name, social security number, address, bank account numbers, PIN, everything. I’m surprised they didn’t ask me what my blood type was. At this point I realize I have been scammed because Ebay never asked me for most of this information and I was certain they never would ask for it in an email. At this point I immediately close the message and run like the wind to Ebay. I have to because these people now have my username and password and I have to change that password before they get into my account. Once there I quickly change my password and give thanks that I realized what was going on and adjusted accordingly although I still felt a bit silly for falling for it in the first place.

Afterward I did a little research and found out that this scam was popular and was actually being run in several variations. All of them required the victim to log in to their account which of course gave these criminals everything they needed to gain access to private and important information. They typically pitched some sort of problem with the victim’s account which had to be cleared up right away. Sometimes they would use fake Ebay pages and sometimes PayPal. These pages are very convincing and it can be quite difficult to tell them apart.

How do you avoid this type of scam? Don’t click on any email of the sort I have just described. If you get an email from someone calling themselves Ebay or PayPal or anyone else you do business with, stating that there is a problem requiring your immediate attention then contact them using your regular portal, not through an email link. Ebay, PayPal and others are very aware that there are scammers out there and they do everything they can to protect their customers but we still have to keep our eyes open for the unexpected.

Getting scammed was a good experience for me but I was fortunate not to have suffered any injury beyond a bruise to my pride. It reminded me to always look closer than just the surface when presented with any offer or opportunity (or warning). As long as there are scammers there will be ever more creative ways that they use to try and get our money so be on the lookout.

The Bottom Line

It is fairly simple avoiding being scammed if you just consider what it is you are being offered and how likely it is that the offer is credible. In general, the only really successful people are those willing to work hard for what they get. Oh sure, occasionally you hear of someone who struck it rich with a winning lottery ticket but those people are few. By the way, many who win the lottery are broke within a few years because they basically blow the whole thing on the wrong items and they don't think to save or invest any of it. Why? Because as people we don't tend to value something as much if we didn't put something of ourselves into it. Would you be as likely to blow your entire retirement savings on a whim? It takes a lifetime to save enough to retire, and that money represents a lot of sweat and effort. If you treat your online business with this kind of respect and put something of yourself into it, in the end you will have something you can be proud of that you earned. And nobody can scam you out of that.