Modules 9.1

 When someone knowingly deceives you for their own personal gain.  They convince you that something is true when it isn’t.  They make promises they have no intention of keeping.  Mail, phone, and internet

 The greater the return, the greater the risk.  Investments always involve risk.  Get all info in writing before giving away $.  Keep emotions out of business.  Never invest what you can’t afford to lose.  Legitimate offers never go away.  Research.  DO NOT send cash by mail or bank transfers.

 You do NOT have to give information to anyone.  You don’t have to do what people tell you to.  You ALWAYS have the right to say “no” and the right to keep personal information to yourself  Use common sense  Delete s asking for personal information  Passwords should have letters, numbers, and symbols  Use anti-virus and anti-spyware software on your computers

 Bait and switch. advertising a low price item but offering a higher price item in the store  Car dealership offers a nice car at an extremely low price  You get to the dealership and the car has been “sold”  Bankruptcy fraud. making false claims when filing bankruptcy

 Confidence trick. “con artist” when someone appeals to your greed, good nature, generosity, or willingness to take a risk  Marriage fraud. marrying someone for $ so they can become a US citizen  Embezzlement. taking money that isn’t yours  A cashier pockets cash from his/her register  Claiming hours you didn’t work

 making false claims or statements in ads to persuade you to buy certain products  $40 million payoff  Shoes don’t really help you slim down

 False billing. Requesting payment from someone for a product or services without fulfilling the deal  Forgery. creating fake docs and signatures  Example: signing someone else’s name on a check  Identity theft. stealing $ or getting benefits by pretending to be someone else

 Fake insurance claims to get money from insurance co.  Man sets fire to his own home to get $730,000 in insurance money because highly in debt

 Setting up a fake company.  It appears to be a real business and takes money from investors or customers.

 Promises investors abnormally high profits from the money they “invest” in the plan.  Also known as a Pyramid scheme.

 Tell parents  Tell local law enforcement  Law enforcement review consumer complaints to spot trends and build cases against different con artists.  In Oklahoma, call Office of the Attorney General

Identity Theft

 Young adults most targeted because of limited experience with financial matters.  Someone uses your personal information (name, SS#, CC#) without your permission.  They can rent an apartment, get a cell phone, get another credit card.  They use what they purchased, YOU pay. You can get a free copy of your credit report ONCE a year

 9 million people in US have identity stole EACH YEAR  Can take hundreds of dollars and many hours to correct  Your credit history and reputation suffer  You can be denied jobs, loans, scholarships, etc.  Some people end up arrested

 DUMPSTER DIVING: they find bills and other important papers in your trash

 SKIMMING: they use a special device to steal your credit or debit card numbers

 PHISHING: they send a phony (or make a fake phone call) pretending to be a bank or the IRS asking for person information

 CHANGING YOUR ADDRESS: the fill out a “change of address” card so they receive your billing statements

 STEALING: they steal wallets, purses, or mail  PRETEXTING: they use false information to get your personal information from banks and other companies and use that against you or sell it to someone else  HACKING: getting into computers to get info

 Always use uncommon passwords that contain letters and numbers. (8 minimum)  Put your personal information in a safe place. (ex: small safe or lock box)  Only enter personal data on secure Web sites.  USE A PAPER SHREDDER!

 NEVER give out personal information on the phone, through mail, on the internet, through , or in person unless you’re sure of who you’re dealing with  Avoid clicking web links from s  Take mail to the actual post office  Leave SS Card in a safe place

 Be careful when giving out SS#, don’t use as an ID# or driver’s license #  Only carry what you need when you go out  Don’t respond to promotion (identity thieves may create phony promotional offers to get your personal information)  Keep purse/wallet in a safe place  Monitor your credit history Again, use common sense.

1. Contact the fraud division of the three credit bureaus. (equifax, experian, and transunion) 2. Contact credit card companies. 3. File a complaint with the federal trade commission. 4. Contact your local police.