Sad to say, but people fall for these scams everyday. Everyone wants to be rich without any work at all. If you want to be rich, you have to work hard to get there. Nothing comes for free. Nothing happens overnight. Lots of scams draw innocent people in everyday. Here are a few popular scams that you should watch out for.
Stuffing Envelopes Scam. Everyone has seen these scams. Make $500.00-$2000.00 a week stuffing envelopes. This is the biggest pyramid scam going. This is the scam that most people fall for. The company tells you they need people to stuff envelopes part time to make big money. The company also informs you that it is easier to outsource people(you), rather than make someone in the company do it. This is a big lie.
Here is what is really happening. You get a flyer or email telling you: you can stuff envelopes and make several hundred or thousand dollars a week. You just need to send some money for the materials needed to stuff the envelopes. You send the company $100.00-$200.00+(however much the program costs) for the materials needed to stuff the envelopes. Then the company sends you self addressed envelopes with a bunch of flyers to stuff the envelopes with. This is all fine and dandy, until; You notice you are going to be stuffing the envelopes with the same flyers that got you to sign up. They keep your money for materials and you got robbed. That's how this scam works. I just a pyramid scheme, don't fall for it.
Government Grants is another popular scam that people fall for. I am sure you have seen commercials or a website to get a government grant. The advertisement that promises you millions of dollars that the government needs to give away. They tell you that you can get free money for loans, starting a business, or buying a house. Yes, there are government grants like this; but the government grant advertisements that don't offer a grant proposal are usually scams. Unless you know how to write a grant proposal or have a grant writer in the family, don't fall for this scam. Grant proposals are very complicated to write, even if you have all the right information. You can also get the same information these scam artists give you for free at grants.gov
Here is what really happens. The company tells you that you can get a government grant for millions of dollars for a small sign up fee. The fee may vary from $25.00- $500.00. After you pay the fee; the so called grant company will send you a list of places to get grants. The same list that you can get for free at grants.gov. Then they keep your sign up fee and you got information you could have got for free. They don't do anything to help you get a government grant. Don't fall for this scam. If you want a government grant, call a local grant writer. Your local grant writer will be able to write a government grant proposal for you. This is the only way you will be able to get a government grant. Grant writers don't come cheap either.
Medical Biller/Billing is another popular scam. The company tells you that they need people to work at home doing medical billing because they have to much work to handle. They tell you that they need some people to do their medical billing at home. They also say you don't need any experience at all. They tell you the medical field is booming with opportunities. They may even promise you job placement. The truth is, most companies in the medical field, need professional billers that know medical codes. These people usually have a college degree to do so. So any real medical billing company would never look for inexperienced people to do this at home.
Here is how this scam works. The company tells you they need people to do their medical billing. They tell you; for a small application fee ranging from $50.00 to $2000.00, they can teach you to work at home doing medical billing. They also tell you that the medical field is hard up for extra workers. You send them the money for the application process. The company then either, turns your application down or sends you bogus information about how to work at home. Either way the company keeps your application fee and you get nothing.
Bad Credit, No Problem, We can give you a loan. This is another popular scam people fall for everyday. The company promises no matter how bad your credit is, they can give you a loan. They may tell you their bank will give them money for anyone. They ask for a small application fee. The fee may range from $25.00-$100.00. They may also tell you that the fee will be returned as soon as they approve your application. The problem is; the company almost never approves your application.
Here is how this one works. The company offers to provide you with a loan, no matter how bad your credit score is. But remember, this company still has to go to a bank to get your money using your information. Banks aren't stupid, they won't approve loans for people with terrible credit. Chances are, if you got turned down at your local bank for a loan, you will be turned down anywhere else. These fly by night companies may have slogans like, "bad credit, no problem". They charge you a fee to process your application ($25.00-$100.00+). They process your application. The company tells you something like; you are a rare circumstance and your loan was denied. They keep your application fee and that's the scam. Now to top it all off; that person or company you don't know has everything from your social security number to your bank account information. Don't fall for this scam.
Fake Check Scam. This scam happens when you are the seller of something. The buyer will claim they want to pay with a check. Most times the buyer will make the check out for more money. Then they want you to send the merchandise along with the extra cash when you receive the check. You get the check and it's looks real. You deposit it into your bank and the bank clears the money. So all is well, and you ship the item along with the extra cash they made the check out for. The deal is done and everything went well, didn't it?
Here is how the fake check scam works. When you receive the check, even though it looks real, it isn't. Nobody is going to make a check out for more money then they have to. When the check clears in your bank account, it is only because the bank didn't catch it yet. Most times a bank won't notice this until a few days, weeks, or months down the line. By then the scammer is long gone and so is your money. Even if they didn't ask for extra money, when ever you receive a check in exchange for any goods, always check it out first. Just call the bank on the buyers check and see if they are a real person and have the funds to cover the check amount. Banks will give you this information.
Why have these scams been around forever? The problem is, the companies are usually not around long enough to go after with the law. By the time an investigation is done and warrants issued, the company is long gone. In order for a scam to be stopped: all the victims have to complain about it and hundreds of millions have to be in jeopardy. Otherwise the legal system won't put any time into it. The legal system doesn't consider these scams to be a threat. They don't think enough people fall for them to be a risk. But the sad thing is; they wouldn't be around for all these years if people weren't falling for them.
