How to prevent internet scams

Introduction

Nearly everyone who uses the Internet has seen some form of "the Nigerian scam," also known as "advance fee fraud," in which you receive an unsolicited email claiming that the sender has some financial situation that requires you to help and make money by paying an upfront fee. Unfortunately, these scams are only a few of the countless opportunities on the Internet for "bad guys" to separate us from our money.
Instructions

Step One

Learn to recognize fraudulent offers online. For example, many "work at home" and "data entry" schemes promise that the recipient can make large amounts of money but do not mention all the costs involved. Such scams can often be recognized by their garishly colored web sites and flamboyant promises, for example, "Earn $1,000 a day!" They show claim after claim from "satisfied customers" and even show screen captures of income statements that don't show the costs involved. Once the investor has gotten hooked by investing money in the product, the buyer then is encouraged to take on additional expenses by investing in an expensive website.

Step Two

Use the Federal Trade Commission consumer complaint form to submit a complaint to the FTC Bureau of Consumer Protection about a particular company or organization. The information you provide is up to you. It's not necessary to provide your name, but if you don't provide your name or other information, it may be impossible for the Bureau to respond to or investigate the complaint or request.

Step Three

Look up the business with the Better Business Bureau, which also accepts complaints about misleading advertising, failure to deliver goods or services, identity theft and other consumer complaints. Complaints can be filed online.

Step Four

Check out ScamBusters, a valuable online resource on the latest scams and how to protect yourself against them and report them.

Step Five

Look up the NFIC website that lists the offices of attorneys general in every state as well as links to other useful government agency sites.
Tips & Warnings

The FTC does not resolve individual problems, but complaints help investigate fraud. Internet, telemarketing, identity theft and other such complaints are passed along to a database available to civil and criminal law enforcement agencies.