Single mothers and everyone else are looking for ways to get ahead of the bill collectors. Scam artists are no exception. If we look in the newspaper, online, on television and even in the mailbox, we find that scams are multiplying like bunnies these days. With the convenience of the internet and the desperation generated by massive job losses, scams are also becoming more sophisticated. The thieves are banding together! With this in mind, we all need to wake up with a plan of action every day to defend our family budget against these attacks. Don't get sucked in! Learn how to detect a rip-off and protect your family funds. Here are seven tips for single mothers to spot a rip-off a mile away.
The Price Keeps Going Up! You have the bright idea to save money by buying little Jimmy's PS3 at a discount on Ebay. You spot the item of your desire and survey the competition. Nothing out of the ordinary, the price is right and you decide to go for it. There are only 4 minutes left and no bidders for hours in sight. You submit your bid, but by the time you confirm, someone has outbid you! How can this be?!? And the bidding war is off! You're neck and neck for the next 3 minutes with the phantom bidder topping you every time. At the close of the bell, you have been outbid and the price has more than doubled the original amount and with shipping, would have cost more than walking into Best Buy and buying it new. Don't fret. Many vendors or their friends bid on their own items in order to drive the price up. They come out of nowhere near the end of the auction to entice a bidding war. They know that you are already planning on what color wrapping paper to buy and what accessories it needs. Once you're emotionally attached, they've got you! In all fairness, sometimes these are automatic, preset bids. However, if the bidder has not bid on the item before, chances are, it's a scam. Also keep an eye out for identity thieves who may contact you "on the side" through an instant messenger or email offering to sell the same item at a lower price. Count yourself lucky and stick with a trusted vendor who will offer a warranty and a money back guarantee. So much for your single mom savings!
The Price Keeps Going Down! Fairs and thrift shows can yield great finds for single mothers and sometimes, vendors are willing to negotiate their prices. This is true especially for originally crafted items. When you are on the fence and the vendor knows it, sometimes the price seems to drop every time you hesitate on the sale. When the price drops unbelievably low, that is when you should pay attention to those red flags. Will the item work when you need it to? Is it something that will be used right away or is it a save-it-for-a-raining-day kind of thing? Is there a way to contact the vendor after the sale if there is a problem? If a price is just crazy low, there is a chance it's fake, broken, or even stolen if it is a brand name or high demand item. In cases like this, if you simply gotta have it, pay with a credit card so that you have some protection from fraud.
No Money Back Guarantee. If you encounter the "All Sales Are Final" sign, tread carefully. There could be something wrong with the product, it could be broken, stolen or both. A lady featured on AOL recently was taken for 0.00 when trying to buy an Ipad in the parking lot of McDonald's. Now really. Let's be serious here. A new iPad is what? 5 times that price? Common sense should have at least told her to look at the darn thing, but no. When she got home, she found out that she had bought a brand new, never used piece of wood! If buying without a guarantee, make sure you test the product thoroughly before leaving the premises and never buy anything online without a guarantee. Try to stick with sites that you know and trust and as always, use a credit card whenever possible so that you will have at least some level of protection against fraud. That parking lot cash and carry discount might end up tacking on another couple of hundred bucks to your cost.
Advance Fees for Credit.These rip-offs are almost always easy to spot. In exchange for a credit card, loan or scholarship, you send in an application fee to the tune of - 200.00. Once your check has cleared, the scammer has also cleared out your bank account and his bootleg agency leaving no forwarding address. Most credit cards will charge your annual fee to your card once it has been issued. Even many secured credit cards will deduct you security deposit from you credit line allowing you to pay it over time. Scholarships almost never have any associated fees and loans as well. If you do happen to hear anything from the scammer once he has your money in hand, it is usually worthless information on credit issuing banks or loan and scholarship granting agencies. In other words, information you can find yourself for free.
Employment Rip-offs.Employment scams are on the rise as the unemployment rate climbs to record heights. This can lead to problems on many different levels. Often, people are recruited for jobs that don't even exist in order to steal their identity. Single moms should also be wary of completing online job applications through links sent to you by email. If at all possible, complete all online applications through navigating from the corporate website. If you receive an email or call requesting personal information for the Human resources department, without a phone or in personal interview, insist on a call back name and number or offer to come in person to complete the application. If they refuse, run! Sometimes, an application or processing fee is requested in exchange for a job. Even when you are using an employment agency, the employer should be charged and not the potential candidate. If the "fee" is non-negotiable, ask that it be deducted from your first check. If they refuse, run!
You Won the Lottery! Okay. Let's be for real, here. You know that you haven't bought a lottery ticket since 1998 and Publisher's Clearing House gave up on you 3 years before that. So when you got the letter or email or call claiming that you won the lottery that you didn't play, that should be a red flag in itself. Once they ask for a 0.00 processing fee, feel free to trash the letter, delete the email or hang up on the scammer because taking this hit will not help you with your single mom savings.
Work at Home Scams.***Disclaimer*** Not all work at home opportunities are scams. In fact, I fully support one that has an impeccable reputation and is supported by a number of high-profile advocates. HOWEVER: In the words of Ryan Deiss, the industry has been inundated with so many "gypsies, tramps, and thieves" that their unscrupulous activities have given the industry as a whole a bad name. As a rule, there are no true "get rich quick" schemes out there. Even with legitimate home based businesses, your income will be decided by your personal work ethic. Depositing foreign checks, some "gifting" programs, and pyramid schemes are not going to make you rich. Only consistent, hard work is going to pay the bills. Thoroughly investigate any work at home opportunity. Ask for references from your sponsor and ask as many questions as you need to feel comfortable with signing up. Scammers are impatient and will have no answers. As with anything, tread carefully before you open your wallet. The uncertainty of the economy has many of us worried about our finances. This concern, while justified, does not have to make us vulnerable to predators and their rip-offs.. Gypsies, tramps and thieves use tactics that are high pressure, persuasive and even threatening in some cases. Resist being taken in by elaborate explanations and exotic excuses. Resist being separated from your common sense!
