SCAMS BULLETIN Host Jay White is a volunteer attorney who provides free legal services for low income seniors in San Mateo County, California.

September 30, 2019

VIDEO GAMES – LOOT BOXES

Play video games, or have kids who do? For most of us, that’s a yes, according to a recent industry survey.

It also means you might have heard of loot boxes. Loot boxes are the containers you come across in many games filled with a random mix of virtual items players might want: maybe clothes or gear to customize your avatar, or weapons or skills that could give you an advantage over other players in the game. Some of the items are valuable in the game, but many are not. And you won’t know what you’re getting until you open it.

An important point about loot boxes is that players often have to pay real money to open them. At a recent FTC workshop, companies, trade associations, academics, and consumer advocates came together to talk about loot boxes and other in-game purchases.

Some panelists said that loot boxes and in-game purchases can enhance gameplay, that they’ve both kept video game prices from going up and made more free-to-play games possible.

But we also heard concerns about excessive loot box spending by problematic gamblers and teens. We also heard that for kids, it can be tough to keep track of how much money they’ve spent when real-world money is converted into in-game currency, like gems or coins. Kids also might not understand their chances of getting the things they really want.

But panelists pointed out that parents do have some options. In some games or devices, they can control in-game spending by turning it off, requiring a password for purchases, or setting a dollar limit.

More parental control options currently available for different game systems are discussed at the website for the Entertainment Software Rating Board (ESRB), or by checking with the game system’s manufacturer or the game’s publisher. If the game is an app, you can check to see what settings your phone’s operating system offers — like the ability to require a password for in-app purchases — and read the game’s ratings and reviews at the app store.

Attb: FTC.gov

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SCAMS BULLETIN Host Jay White is a volunteer attorney who provides free legal services to low income seniors in San Mateo County, California.

September 30, 2019.

Credit Freeze to Protect Kids Online

It’s bad enough that many of us struggle to protect ourselves adequately on the web, but even worse is the thought that our kids online are even more vulnerable – and often they don’t realize it.

Recognizing this, over the years, several organizations have acted to alert youngsters and parents to the risks and to introduce new rules and regulations to protect them.

Most recently, a new federal law in the US adds to the protection from fraud and identity theft for young people. It lets parents and guardians implement a security freeze on the records of under-16s held by credit reporting agencies.

That’s because identity thieves commonly try to use the names of youngsters to take out loans and other credit agreements.

As the Federal Trade Commission (FTC) notes:

“Minors typically don’t have credit reports, which means that a young person may not find out about issues with their credit reports until they first try to get credit – perhaps even years later.”

The free, freezing process restricts banks and other financial agencies from accessing an individual’s credit record. If the bank or agency can’t check the record, they more than likely will not provide finance to the applicant.

You don’t need to believe your child’s ID has been stolen or their account otherwise compromised to take this action. You can just place a freeze to protect against any such acts in the future.

And if a child doesn’t already have a credit record, the three reporting agencies will create one, so it can be frozen, preventing anyone else from trying to open an account in your child’s name.

“Depending on the adult’s relationship to the child, there are different procedures to put a freeze in place,” the FTC explains. “Parents need to show proof of their authority, like a birth certificate, to freeze or unfreeze the credit file for their child under 16.”

There are different rules for welfare or probation agencies.

In all cases, you need to contact each of the credit reporting agencies to put the freeze in place.

This new rule isn’t the only one to protect kids online. The main law is the Children’s Online Privacy Protection Act (COPPA).

SCAMS BULLETIN Host Jay White is a volunteer attorney who serves low income seniors in San Mateo County, California.

USED CAR SCAM

You can buy practically anything online, including used cars. But before you shell out any hard-earned cash, here’s a warning about scammers trying to sell cars they don’t have or own. Trusting buyers have lost thousands of dollars over the past year alone.

Here’s how a scam works:

 Criminals post ads on online auction and sales websites, like eBay Motors, for inexpensive used cars (that they don’t really own). They offer to chat online, share photos, and answer questions. Recently, phony sellers have been sending fake invoices that appear to come from eBay Motors and demanding payment in eBay gift cards. If you call the number on the invoice, the scammer pretends to work for eBay Motors.

So how can you tell if an online car sale is fake?

You may find bad reviews online. Check out the seller by searching online for the person’s name, phone number and email address, plus words like “review,” “complaint” or “scam.”

Phony scam sellers try to rush the sale. Scammers use high-pressure sales tactics to get you to buy without thinking things through. Resist the pressure.

They can’t or won’t meet you in person or let you inspect the car. They want you to pay with gift cards or by wire transfer. If anyone tells you to pay that way, it’s a scam.

The phony sellers may demand more money after the sale for “shipping” or “transportation” costs.

Do Diligent Research before committing to buy:

Does the Vehicle Identification Number (VIN) doesn’t match the VIN for the car you’re interested in? A vehicle history report can help you spot such discrepancies.

Vehicle history:

If you’re buying a used car, the Federal Trade Commission recommends obtaining a vehicle history report before you buy. Vehicle history reports can tell you a lot about a used car. A report might include ownership history, whether the car was in any accidents, its repair records, and whether it ever was declared as salvage.

How can I learn a vehicle’s history?

Visit the National Motor Vehicle Title Information System (NMVTIS) website, vehiclehistory.gov, to get a vehicle history report with title, insurance loss, and salvage information. This site lists NMVTIS-approved providers of vehicle history reports. Choose one, enter the VIN (vehicle identification number, which is listed on the front of the Buyers Guide), and pay the provider’s fee to learn the car’s history.

NMVTIS-approved providers offer vehicle history reports to consumers, car dealerships, and financial institutions. But not all vehicle history reports are available through the NMVTIS website.

A vehicle history report is not a substitute for an independent visual vehicle inspection. Before you buy a vehicle, an independent inspection by a qualified person is needed to ensure it does not have hidden damage.

Has the car been recalled?

The National Highway Traffic Safety Administration website, safercar.gov, has free listings of vehicles subject to open safety recalls. That means the manufacturer has recalled the vehicle but repairs are not yet done. Enter the vehicle’s VIN to find out if a vehicle is subject to an open recall. You also can call the National Highway Traffic Safety Administration’s Vehicle Safety Hotline at 1-888-327-4236.

Has the car been declared as salvage?

The National Insurance Crime Bureau’s website lets you enter a VIN and find out if the vehicle has been damaged by flood, was stolen but unrecovered, or otherwise declared as salvage.

Consumer scam alerts are free by e-mail from the FTC at ftc.gov/subscribe. If you spot a scam, report it

at www.ftc.gov/complaint.

FINANCIAL ADVISOR or FORTUNETELLER SCAM 

SCAMS BULLETIN Host Jay White is a volunteer attorney who provides free legal assistance for low income seniors in San Mateo County, California.

September 26, 2019

You might like your financial advisor to predict the future in ways that could help you get rich. But legitimate advisors won’t promise to know what comes next – and you shouldn’t invest with anyone who guarantees you riches. It’s kind of a rule of thumb about investing: there are no guarantees, and anyone who promises you big money is likely running a scam.

A fortuneteller is someone who might read palms, tea leaves, tarot cards, and who generally predicts the future. Fortune tellers can be good entertainer.  Many people seek them out – whether for fun or in all seriousness.

But fortunetellers are not financial advisors. Period. Actual financial advisors are trained and licensed. If you want to confirm a person is a real financial advisor, you can look for an identifying licensed.

Here are things you need to listen for: Is a person telling you how to spend or invest your money? Do they see great wealth if you invest in a particular business? Do they see someone approaching you tomorrow with the opportunity of a lifetime – if only you’ll invest? Do they promise you more details about your future if you’ll pay an extra $50 ($100, $200) right now? Cautionary note: If a person starts pressing you for money, or giving you investment advice, walk away. And help protect the people you care about by telling your local police and the Federal Trade Commission at http://www.FTC.gov.

SCAMS BULLETIN Host Jay White is a volunteer attorney who provides free legal assistance for low income seniors in San Mateo County, California.

September 25, 2019

ERICTILE DYSFUNCTION SCAM

Erectile dysfunction is a medical condition.

The US Food and Drug Administration (FDA) Warns:

Men, beware! Products falsely marketed as “dietary supplements” or “foods” that promise to enhance your sexual performance or increase sexual stimulation might contain hidden drug ingredients or other undisclosed ingredients — and can endanger your health.

A doctor needs to evaluate your total medical condition to know whether a particular medication is safe for you to use.

FDA lab tests have found that nearly 300 of these products contain undisclosed drug ingredients. Consumers have no way of knowing which drugs or ingredients are actually in the product just by reading the ingredients on the label. They may be misled to believe these products are safe because their labeling often suggests they are “all-natural” or “herbal” alternatives to FDA-approved prescription drugs for the treatment of Erectile Dysfunction.

Risky Interactions

A big risk for unsuspecting men is that many of the unlabeled drug ingredients in these deceptive products can interact dangerously with other drugs they are taking, such as heart disease medicines.

For example, taking a product that contains sildenafil (the active ingredient in Viagra) in addition to certain drugs containing nitrates may lower blood pressure to an unsafe level.

Unknown Contaminants

Some of the ingredients in these products have chemicals that have never undergone any type of safety analysis in the United States. If you buy, you just don’t know what you’re getting.

Beware of products that:

*Promise quick results (within 30 to 40 minutes)

*Are advertised as alternatives to FDA-approved prescription drugs

*Are sold in single servings

*Are advertised via spam or unsolicited emails

*Have labels written primarily in a foreign language

*Have directions and warnings that mimic FDA-approved products

*A Drug Cocktail

If you suspect that a product marketed as a dietary supplement may be tainted, report it to FDA. You or your health care professional can also report an illness or injury you believe to be related to the use of a dietary supplement by calling 1-800-FDA-1088 or visiting FDA at www.fda.gov.

SCAMS BULLTIN Host: Jay White

September 18, 2019

 FRAUD ON HISPANICS

Mexico Collect Call Scam

If you receive a collect phone call from someone in Mexico, it may be part of a telephone scam that predominantly targets people in Hispanic communities, or with Spanish surnames. Consumers have complained to the FCC that they have been deceived into accepting collect calls they believe are from family members in Mexico.

How the scam works

An operator calls your residential telephone number and tells you he or she has a collect call from a family member who has an emergency or an important message. The operator may have some personal information – such as your family’s last name or husband or wife’s name – and may even give the name of the calling “family member.”

If you accept the operator-assisted call, you’ll be connected to a complete stranger who gives information that is not related to your family. Even if you immediately hang up, you will still be billed for the call.

In some cases, an operator automatically puts the call through without waiting for you to accept the charge. Other times, even if you decline the call, you may still be charged a very high rate for a collect call that was never accepted.

What you can do

• Ask the operator to have the person placing the collect call speak their name so that their voice might be recognized, instead of allowing the operator to say the name of the person placing the collect call.

• Use caller ID to screen calls from unidentified numbers. Be cautious even if a number appears authentic: it may be a “spoofed” number with deliberately falsified caller ID information. (See our consumer guide on Caller ID and Spoofing: http://www.fcc.gov/consumers/guides/spoofing-and-callerid.) Avoid answering any calls you suspect may be spoofed.

 • Carefully examine your monthly telephone bills for accuracy, and report any erroneous charges to your billing company.

Filing a complaint —  You have multiple options for filing a complaint.  

• File a complaint online at https://consumercomplaints.fcc.gov

 • By phone: 1-888-CALL-FCC (1-888-225-5322); TTY: 1-888-TELL-FCC (1-888-835-5322); ASL: 1-844-432-2275

 • By mail:  Federal Communications Commission, Portals II, 445 Twelfth Street, SW, Room TW-C305, Washington, DC 20554. (please include your name, address, contact information and as much detail about your complaint as possible):

Attb: Federal Communications Commission Consumer and Governmental Affairs Bureau

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SCAMS BULLETIN Host Jay White is a volunteer attorney who provides free legal services for low income seniors in San Mateo County, California.

September 9, 2019

GENETIC TESTING FRAUD

The U.S. Department of Health and Human Services Office of Inspector General is alerting the public about a fraud scheme involving genetic testing.

Genetic testing fraud occurs when Medicare is billed for a test or screening that was not medically necessary and/or was not ordered by a Medicare beneficiary’s treating physician.

Scammers are offering Medicare beneficiaries “free” screenings or cheek swabs for genetic testing to obtain their Medicare information for identity theft or fraudulent billing purposes. Fraudsters are targeting beneficiaries through telemarketing calls, booths at public events, health fairs, and door-to-door visits.

Beneficiaries who agree to genetic testing or verify personal or Medicare information may receive a cheek swab, an in-person screening or a testing kit in the mail, even if it is not ordered by a physician or medically necessary.

Protect Yourself:

*If a genetic testing kit is mailed to you, don’t accept it unless it was ordered by your physician. Refuse the delivery or return it to the sender. Keep a record of the sender’s name and the date you returned the items.

*Be suspicious of anyone who offers you “free” genetic testing and then requests your Medicare number. If your personal information is compromised, it may be used in other fraud schemes.

*A physician that you know and trust should assess your condition and approve any requests for genetic testing.

*Medicare beneficiaries should be cautious of requests for their Medicare numbers. If anyone other than your physician’s office requests your Medicare information, do not provide it.

If you suspect Medicare fraud, report it online:  oig.hhs.gov/fraud/hotline.

September 6, 2019

ONE-RING PHONE SCAM

Here is the scenario:

Your cell phone rings, but—before you can answer—the caller hangs up. You might be tempting to call the person back. But With the “One-Ring” phone scam, you could find yourself with an unexpected phone bill for hundreds of dollars.

The scammer’s goal is simple: get the victim to call them back and then keep the caller on the line for as long as possible. To do this, scammers may call back several times and hang up after a single ring.

Once a victim calls back, fraudsters keep the victim on the line by claiming they won a prize or that a loved one has a special message for them. Regardless of the pretense, the result of the One-Ring scam is always the same: victims end up with major charges on their phone bills, which profit the scammer.

The price of a One-Ring phone scam can quickly add up, and consumers rarely know they have been scammed until they receive their phone bill. Fortunately, there are several tips that can help protect you  from this resurging scam:

*Don’t answer or return phone calls from numbers you don’t recognize. If you don’t recognize a number, let the call go to your voicemail. If it is something important, they will leave a message. 

*Don’t trust Caller ID. Scammers know how to spoof your Caller ID so it appears that they are calling from your neighborhood. Similarly, many scammers strategically locate their operations in countries like the Bahamas that have international calling codes like “242,” which may appear to be American. 

*Block outgoing international phone calls. If you do not regularly make international phone calls, consider asking your telephone company to block outgoing international calls on your line. 

*Always closely monitor your phone bill for surprise charges. If you spot a suspicious charge, contact your phone company immediately to dispute it. This will not only potentially save you money, but it will also help your provider spot fraud and protect customers from future scams. 

Have you been a victim of the One-Ring phone scam? Have you received several calls from someone who hangs up after one or two rings? We want to know! You can file a complaint at Fraud.org via our secure online complaint form. We’ll share your complaint with our network of more than 90 law enforcement and consumer protection agency partners who can and do put fraudsters behind bars.

Attb: fraud.org

September 4, 2019

HURRRICANE DORIAN SCAMS

As Hurricane Dorian does damage along the US East Coast, we will remember scammer actions following earlier Hurricane Florence.

Sham charities are likely to follow Hurricane Dorian. They will request donations on behalf of persons who have been injured or damaged without saying who is running the sites or how the funds will be used.

Some sites will claim – without any clear way to verify it – that a certain percentage of donations go to certain groups, like first responders. Other sites will invoke the names of well-recognized groups like the Red Cross but, again, with no easy way to confirm a relationship.

To make sure your donation counts, and to guard against fraud, follow these tips:

*Check out the charity with the Better Business Bureau’s (BBB), Wise Giving Alliance, Charity Navigator, Charity Watch, or GuideStar.

*Find out if the charity or fundraiser must be registered in your state by contacting the National Association of State Charity Officials. If they should be registered, but they’re not, consider donating through another charity.

*Don’t assume that charity messages posted on social media are legitimate. Research the organization yourself.

*When texting to donate, confirm the number with the source before you donate. The charge will likely show up on your phone bill, but donations are not immediately disbursed to intended beneficiaries.

*If you know the charity is legitimate and you are ready to donate, designate the specific disaster so you can ensure your funds are going to specific disaster relief, rather than a general fund that the charity could use for any of its work.

If you think you’ve donated to a sham charity, report it to the FTC at ftc.gov/complaint. Your report will help us stop rip-off artists and scammers.

To learn more, go to ftc.gov/charity.

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