There are so many types of fraud out there now-a-days that it is getting increasingly harder to sense a scam when in the presence of one. A major type of scam occurs through telemarketing. Targeting older individuals, con artists try to take advantage that retired people are more likely to be home and have time to talk to them.
The biggest thing telemarketers stress is the limited time offer. They want to make you think you will be missing out on an opportunity, if you don’t act now. They will also do anything to obtain your personal information—like telling you the prize you won is free, but that you must pay for shipping and handling.
The U.S. Department of Justice has a page dedicated to the different types of schemes. Here are some of the most common types to watch out for:
Charity Schemes: Calling as telemarketers, the con artists claim they are soliciting funds for a local charity or relief fund, when in reality they pocket all the money. In some cases they might actually give a small percentage to a charity, but that is usually wishful thinking.
Prize Promotion Schemes: These types of scams are ones in which you supposedly win grand and extravagant prizes, awards, and gifts with a simple donation or purchase of some type of consumer good.
Loan Schemes: Aimed at people with bad credit, telemarketers will promise that they can repair your credit or give you a credit card for a small fee.