Local Scams

(March 2011) Hoosiers encouraged to be cautious of home improvement scams following storms
Reports of a potential scam artist in Knox County have prompted the Indiana Department of Homeland Security (IDHS), Indiana State Police and the Office of the Indiana Attorney General to remind anyone who sustained storm damage during recent severe weather incidents to be cautious of frauds and scams.
“Identity theft and building scams are two schemes con-artists sometimes use to defraud individuals recovering from manmade or natural disasters,” said IDHS Executive Director Joe Wainscott. “While most service providers in the building industry are honest, it is particularly important to be alert after disasters because these situations of widespread damage can attract scam artists and identity thieves.”
Individuals should be especially alert for solicitors who promise to speed up the insurance or building permit process and those who ask for large cash deposits or advance payments in full.
Some con-artists may even pretend to be employed by the Federal Emergency Management Agency (FEMA) or other government agencies.
You can protect yourself from such impersonators and dishonest individuals by following a few precautionary guidelines.
Always

Ask for ID. If someone represents themselves as a federal employee, such as an inspector, but does not produce identification, ask to see it. A FEMA or U.S. Small Business Administration shirt or jacket is not absolute proof of someone’s affiliation with the government. Federal employees carry official photo identification.
FEMA representatives are never allowed to accept money. If someone claiming to be a federal employee or federal contractor attempts to collect money for their help, report the person and their license plate number to your local police department.
Safeguard personal information. Never give personal information such as social security numbers, bank account numbers or credit card numbers to individuals claiming to be affiliated with the federal government. FEMA inspectors never require this information.

When hiring a contractor

Research. You may also check with the local Better Business Bureau, homebuilders’ association or trade council to independently confirm the legitimacy of a contractor.
Check references. Contractors should be willing to provide names of previous customers. Call several former customers who had similar work done to make sure they were satisfied with the job.
Ask for a written estimate and check to make sure it includes all the work you expect to have done, as well as taxes and other fees. Keep in mind that some contractors charge for an estimate.
Be wary of high-pressure sales tactics. Take your time. Don’t let the contractor rush your decision.

Before signing a contract
· Get a written contract. Indiana law requires home improvement contracts exceeding $150 to be in writing. Before signing the contract, make certain it includes:

The price of the job
Payment schedule
A detailed description of the work and materials (including colors, brand names and patterns)
Estimated start and completion dates
The contractor’s name and address
A name and telephone number of the person to contact if problems arise
The contractor’s signature

Never pay for the entire project before the work begins. Do not pay more than 1/3 of the total cost as a down payment. Remaining payments should be tied to completion of specified amounts of work.
Hoosiers who believe they may have been a victim of a home improvement scam can file a complaint with the attorney general's Consumer Protection Division. The complaint form is available for downloading at www.IndianaConsumer.com or call 1-800-382-5516 to request a form by mail.

(March 2011) Avoid charity scams - send relief donations to reputable organizations

The shocking images of the massive earthquake and tsunami in Japan may prompt generous Hoosiers to donate to disaster relief efforts to help the victims. Indiana Attorney General Greg Zoeller urges the public to verify before donating that relief organizations are reputable, so that they aren’t scammed. He suggests researching the website www.CharityNavigator.org to check whether a charity uses donations for intended purposes.

“In the immediate aftermath of the Haiti earthquake last year, Hoosiers reached deep into their wallets to donate and help the victims. But in that outpouring, there were concerns about new and untested relief groups suddenly appearing and soliciting donations online and by email. A few simple precautions will help prevent Hoosiers from being scammed,” Zoeller said. Tips for Donating

The Indiana Attorney General’s Office is the state’s consumer protection agency. More information on avoiding charity scams is available on the Attorney General’s website at www.IndianaConsumer.com.

(January 2011) SCAM ALERT: People posing as Department of Child Services workers soliciting donations by phone

Bottomline: Do not provide any financial or personal information as it may lead to identify theft

The Indiana Attorney General's Consumer Protection Division is warning Hoosiers that a person or group of people is posing as a representative of the Department of Child Services in order to fraudulently solicit charitable donations over the phone. Reports indicate the caller claims that someone in the home committed to a donation a month ago and this is a follow up call to confirm the donation. Some consumers have reported their caller i.d. display shows "Child Services" when the call is received. Government agencies or departments will never solicit charitable donations and these calls are a ploy to steal money, identities or both.
Deputy Attorney General Abigail Kuzma, Director of the Consumer Protection Division, offers these tips:

1. Don't be pressured into making a contribution. Ask the caller for written information on the charitable organization, including the charity's name, address, and telephone number. A legitimate charity should be willing to send you materials outlining the charity's purpose and how your donation will be used. You should check out the charity with some of the independent organizations that provide information on charities.

2. Watch out for charities with familiar sounding names. Some charitable organizations use names that are very similar to those of respected organizations. You should check with some of the independent organizations that provide information on charities to make sure you are donating to the correct charity.

3. Beware of callers who claim endorsement by the state. Under Indiana law, a person who solicits charitable contributions may not use the fact of registration as an endorsement by the State of Indiana.

4. Be suspicious if a caller thanks you for making a pledge that you didn't make. If you have any doubt about whether you made a pledge, check your records. Beware of invoices claiming you've made a pledge when you know you have not. Do not share your social security number, bank account number, medicare number or other personal information.

5. You can cancel a pledge prior to making a contribution. Under Indiana law, a contributor has the right to cancel a pledge for monetary contributions at any time prior to making the contribution.

"Government agencies, including DCS, can not and do not solicit donations ever. If you receive a call from someone saying otherwise, hang up. Scams disguised as charities are especially disheartening because not only do those making a donation lose, so do all the legitimate charities that could have put the money to good use benefiting our communities," Kuzma said. "It's important to ask questions and don’t feel pressured to give. Any legitimate non-profit is going to be happy to provide you with more information about their services and programs so you can make an informed decision about donating."
Victims of scams in Indiana are encouraged to submit a complaint to the Attorney General's Consumer Protection Division online at www.IndianaConsumer.com or by calling 1-800-382-5516. To reduce the number of unwanted telemarketing calls, sign up for Indiana's Do Not Call list or confirm a number is on the list by visiting www.IndianaConsumer.com or by calling 1-888-834-9969.

More resources
To research a particular charitable organization, visit these websites:
American Association of Fundraising Counsel

Association of Fundraising Professionals
Association of Small Foundations
BoardSource
The Chronicle of Philanthropy
Council on Foundations
Independent sector
Indiana Grantmakers Alliance
National Center for Family Philanthropy
Philanthropy Roundtable

(September 2010) Attorney General Greg Zoeller issues a HIGH warning to all Hoosiers of a widespread scam that involves bogus debt collectors who have an alarming amount of personal information about their potential victims – putting consumers at high risk of identity theft and significant financial losses.

According to the reports received by the Indiana Attorney General’s Office, the fake debt collectors are impersonating law enforcement officers, lawyers or other official sounding agencies such as the “IRS Collection Service.” The scammers use very aggressive tactics to scare the consumer into paying the alleged debt. They accuse the victim of defaulting on a loan and, in some cases, claim they are about to be sued or even worse – they will tell the consumer they will be arrested and taken to jail if they don’t pay. The victims are pressured into wiring money or providing bank account information to avoid the matter “going to court” or to avoid “jail time.” In many cases, victims are subject to dozens of nasty, abusive phone calls in a matter of hours.

Equally disturbing is the amount of private information these bogus collectors have about their victims, which may include Social Security numbers, home addresses, information about employers, credit references and even old bank account numbers. Potential victims are being asked to verify other private information that could put them at high risk of identity theft.

The con artists likely obtained this sensitive information as a result of previous data breaches. This scam has been reported to the Federal Bureau of Investigation and the Federal Trade Commission, however consumers currently remain at risk.

If you get one of these calls DO NOT provide any verifying information. Either hang up or demand that the "debt collector" send verification of the debt in writing. Under federal law, collectors are required to send consumers a written notice within five days of the initial contact. Immediately following the call, you should:

Put a fraud alert on your credit file with all of the major credit bureaus, Experian, Equifax and TransUnion. Because the scammers have obtained Social Security numbers, your risk of becoming a victim of identity theft is extremely high. You will automatically receive a copy of your credit report when you issue the fraud alert. Read it carefully and identify any item that is not yours. Look for new accounts or "hard" inquiries – this indicates credit requests have been made in your name.

Place a FREE security freeze on your credit report to block potential identity thieves from accessing your credit. By placing a security freeze, an ID thief cannot use your information to open new credit accounts in your name. To learn more, go to www.IndianaConsumer.com.

If you believe you’ve been contacted by a fraudulent debt collector you can file a complaint with the Federal Trade Commission and the Indiana Attorney General's Office.

(August 2010) 13 Things an Identity Thief Won't Tell You

Former identity thieves have confessed some ways they collect personal information used to steal identities. Attorney General Greg Zoeller is sharing these tactics to help Hoosiers protect themselves against identity theft. (Source: Reader's Digest Magazine).

1. Watch your back in line at the grocery store. I’ll hold my phone like I’m looking at the screen and snap your card as you’re using it. Next thing you know, I’m ordering things online—on your dime.

2. That red flag tells the mail carrier—and me—that you have outgoing mail. And that can mean credit card numbers and checks I can reproduce.

3. Check your bank and credit card balances at least once a week. I can do a lot of damage in the 30 days between statements.

4. In Europe, credit cards have an embedded chip and require a PIN, which makes them a lot harder to hack. Here, I can duplicate the magnetic stripe technology with a $50 machine.

5. If a bill doesn’t show up when it’s supposed to, don’t breathe a sigh of relief. Start to wonder if your mail has been stolen.

6. That’s me driving through your neighborhood at 3 a.m. on trash day. I fill my trunk with bags of garbage from different houses, then sort later.

7. You throw away the darnedest things—preapproved credit card applications, old bills, expired credit cards, checking account deposit slips, and crumpled-up job or loan applications with all your personal information.

8. If you see something that looks like it doesn’t belong on the ATM or sticks out from the card slot, walk away. That’s the skimmer I attached to capture your card information and PIN.

9. Why don’t more of you call 888-5-OPTOUT to stop banks from sending you preapproved credit offers? You’re making it way too easy for me.

10. I use your credit cards all the time, and I never get asked for ID. A helpful hint: I’d never use a credit card with a picture on it.

11. I can call the electric company, pose as you, and say, “Hey, I thought I paid this bill. I can’t remember—did I use my Visa or MasterCard? Can you read me back that number?” I have to be in character, but it’s unbelievable what they’ll tell me.

12. Thanks for using your debit card instead of your credit card. Hackers are constantly breaking into retail databases, and debit cards give me direct access to your banking account.

13. Love that new credit card that showed up in your mailbox. If I can’t talk someone at your bank into activating it (and I usually can), I write down the number and put it back. After you’ve activated the card, I start using it.

Sources: Former identity thieves in Kentucky, Florida, Indiana, Virginia, and New York.

If you believe you’ve been scammed, you can file a complaint with the Indiana Attorney General’s Consumer Protection division online at www.IndianaConsumer.com or by calling 1-800-382-5516.

(04/2010) Attorney General Alerts Consumers to risk of phony health insurance scams

(02/2010) The Indiana Attorney General’s Unclaimed Property Program reunites Hoosiers with millions of dollars worth of unclaimed property each year. While unclaimed property locators or "finders" can help reunite you with unclaimed assets, they charge a fee. The Attorney General’s program is free and easy to use - you can search for and claim your money online at www.IndianaUnclaimed.com.

Unfortunately there are scammers posing as finders and state government agencies attempting to cash in on your hidden treasure. If you receive unsolicited correspondence requesting personal information or money, it may be a “phishing” expedition. Responding could make you vulnerable to identity theft.

To check the legitimacy of correspondence regarding unclaimed property, you may contact the Attorney General’s Unclaimed Property Division or you may report scams to the Consumer Protection Division at www.IndianaConsumer.com or by calling 1-800-382-5516.

Haiti Recovery Scams (01/2010)
When considering making a donation to the Haiti earthquake relief effort, Attorney General Greg Zoeller reminds Hoosiers to be on guard for scams looking to prey on generous intentions.

Three things to remember to avoid Haiti recovery charity scams:
1.Some charitable organizations use names that are very similar to those of respected organizations and may not be charities at all. Make a donation by giving directly to a charity you know and trust.
2.Always pay by check, not cash, and don't feel pressured to make a donation immediately. Ask questions about the charity - legitimate organizations will mail you information about their programs.
3.Be cautious when giving online. Genuine charities do not send unsolicited emails and you should not click on links in spam messages soliciting donations.

For more information about charity scams or to file a complaint, please visit www.IndianaConsumer.com

Secret Shopper Scams (10/2009) Indianapolis - A new scam is conning even the most skeptical Hoosiers out of thousands of dollars by disguising itself as a legitimate way to make a few extra bucks. Anytime you're asked to wire money from a company after receiving a check should be a warning to people to be cautious...more details

Grandparent Scam (2009)Attorney General Greg Zoeller warns of a telephone scam targeting grandparents. The scam involves someone posing as a grandchild asking for money due to an arrest, car accident or another emergency or they pose as a police officer or lawyer requesting money be wired to help the grandchild. While this is not a new scam, the Attorney General’s Office has received recent complaints of this scam indicating its resurgence.

Lottery Scam (08/2009)-(Kokomo, IN) The Howard County Sheriff Department is warning area residents of a bogus lottery scam. Several households have received letters informing them that they have won the shoppers sweepstakes lottery. A fraudulent check is included in the mailing for $4,785. The “winners” are instructed to cash the check and transfer $2,875 via Western Union to a tax agent. Winners are then assured that after the required taxes are paid they will collect additional winnings, which are in excess of $100,000. People who respond to the telephone number provided on the mailings are informed that their name was selected at random because they shop at one of several major retailers. "The check is bogus, and once you wire the tax money it’s gone forever, and your on the hook for the bad check,” said Sheriff Marty Talbert. “It’s all a great big scam perpetrated during hard economic times when folks are vulnerable.” The mailings are from Fidelity Financial Links, Inc. of Toronto, Canada and the fraudulent check is issued from Genlabs, of Chino, California. “Genlabs is a legitimate company, and you can locate them on the internet. One of their company checks has been “washed” to make these fraudulent checks. I spoke to them by telephone this afternoon. They are receiving calls from people all across the country who have lost money,” said Sheriff Marty Talbert. “Remember, you never have to pay money to win money. Taxes can be deducted from your winnings.”

Lottery Scam (10/10/2009) The Ripley County Sheriff's Office received the following email- I'm writing to you in order to ask you about a letter I received in the mail today from Fidelity Financial links INC. Enclosed with the letter stating that I was one of 33 winners of the Shoppers Sweepstakes Lottery, it stated that I have won $125,000.00 US dollars. I was concerned about the check for the amount if $4,875.00 which is part of the money that they say that I am suppose to receive. The check didn't seem right because I saw something like this on the news, so I tried to get to their web site but it didn't show anything about International Claims Department. The address on the check is Fidelity Financial Links INC.,555 Main Street, Williams Ville,NY,14221. On the letter it has the address 483 Bay ST. Toronto On M5G-2N7 Canada. The office line that I am suppose to call is 1-416-732-8173, claim number: HP/JFT-0172, I am suppose to contact (Claims/Disbursement Agent) Mr. Jeff Nelson, that's his direct line. It also has Bryon MCLOUD (Promotion Manager) on the letter. The office hours are 9.00 am- 8.00pm ( Mon.-Fri.) and Saturday: 9.00am-5:00pm.

Property Deed Scan (06/2009)-What these unscrupulous criminals do is create a fraudulent deed from a sample document, which are easily obtained. Then they record the deed at the local recorder’s office in the county in which the property is located, and the true owner doesn’t have a clue. Then the criminals are able to get a mortgage against the property that they don’t even legally own. To protect yourself please visit http://www.propertyfraudalert.com/ripleyin.

809, 284, 876 Area Code Scams (05/2009)- Be cautious when responding to emails or telephone calls from the 809, 284 or 876 area codes. Consumers usually receive a message telling them to call a phone number with these area codes in order to collect a prize, find out information about a sick relative, etc. If you make the return call, it will cause you to inadvertently incur high charges on your phone bill because you calling a phone number outside the U.S.

ATM Thefts-Click on this link for a slide show demonstrating the latest ATM Scam.

Credit Card Scam-You'll receive a phone call from Visa or Master Card stating they are from the Security and Fraud Department. They will say "your card has been flagged for an unusual purchase and I am calling to verify the purchase. They will continue to tell you the purchase and claim they will issue a credit to your account. Here's the IMPORTANT part- The called will then ask you to verify you have the card in your possession and ask you for the last 3 numbers on the back of your card. He will then use these three numbers to make a purchase. Never give out this information-tell the caller you will contact your credit card person yourself. Hang up and call immediately.

Email Scams- Phishing is an online type of identity theft. Criminals create fictitious emails in an attempt to get you to give up personal or financial account information. These fraudulent emails appear to be from trusted companies, financial institutions and even government agencies.

* An email includes scare tactics that lead you to believe clicking on a website link is vital to your continued access to your financial accounts or other services.

* There is a request for sensitive information such as your password, PIN number, social security Number or account number. A legitimate company will never ask you for this via email.

* The email message may contain misspelled words, poor grammar, or strange formatting.

If you receive a Phishing email: Contact the institution the email claims to represent by phone. Do not respond to the suspected email or got to any referenced website within the email. If you visit these types of sites, "spyware" software can automatically be installed on your pc without your knowledge, and personal information can then easily be stolen.