The state of the economy

I got this email (this one is NOT a scam) from the Friends of the U.S. Chamber of Commerce.

As Congress undertakes one of history's largest legislative agendas, Chief Economist, Marty Regalia, and Executive Director, Katie Hays, from the U.S. Chamber will discuss the state of the economy and health care reform.Join us Wednesday, September 16 at 1:00 p.m. EST for an update on President Obama's Second One Hundred Days, its impact on the economy, and the latest details on the health care debate -- including the Senate Finance Committee's most recent proposal.Register now online and submit your question for the U.S. Chamber's policy experts to discuss during the call.

I went and submitted my question . . . when is the government going to do more to address the issue of scams and fraud? It seems clear to me, that if millions of dollars are going out of the United States each year to scams and fraud, that one way to help the current economy is to do more to battle this issue.

I encourage all of you do share your thoughts also, by filling out the form here
http://www.friendsoftheuschamber.com/takeaction/index.cfm?ID=489&utm_source=email&utm_medium=email&utm_term=submit&utm_campaign=regaliacall

Shawn Mosch
Co-Founder of ScamVictimsUnited.com
There is strength in numbers!

Find us on Twitter, Facebook and more through
http://www.retaggr.com/page/ShawnMosch

Bank of America television commercial

Over the weekend I saw a new television commercial for Bank of America, in which they were talking about their new mobile banking and how wonderful it is. They had different people, who I assume we were supposed to believe are bankers, that were listing off all of the great features.

Now, none of this would have ruffled my feathers, until one of the people was talking about the different kinds of alerts that you can be sent, and he said that you could be sent an alert that tells you when a check clears. WHAT!?!?! How is that possible when

1) The employees in the bank cannot even really tell you when a check is clear. The best that they can tell you is that they have not found any holds or issues with the check yet. Oh don’t get me wrong, they will say the words “the check is clear” but that does not mean it has been authorized, approved or without obstructions . . . which by the way are some of the dictionary’s definitions of the word “clear”.
2) The term clear does not really mean anything in the world of banking. A check will show as “clear” until a problem comes up with it, so it could be clear today, and then be found to be counterfeit the very next day.

If we look up the term clear from The Federal Reserve Bank of Minneapolis, a place that should know it’s banking terminology, we find this . . .

check clearing
The movement of a check from the depository institution at which it was deposited back to the institution on which it was written, the movement of funds in the opposite direction, and the corresponding credit and debit to the accounts involved. Check clearing also encompasses the return of a check (for insufficient funds, for example) from the bank on which it was written to the bank at which it was deposited, and the corresponding movement of funds. The Federal Reserve Banks operate a nationwide check-clearing system.
http://www.minneapolisfed.org/glossary.cfm

So you can see, by the definition in banking terms, check clearing merely describes the process of the check moving through the system, and no where in it does it say that check clearing means that the check has finished that process or that it is “authorized, approved or without obstructions”.

So why, when banking customers ask a bank employee “How long until I will know if this cashier’s check is good?” do the bank employees respond with comments like “The check will be clear in 24 hours.” And, why is Bank of America is promoting that one of the wonderful functions of their new mobile banking service is that you can be told when a check is “clear” if as we have just seen from the information about “clear” does not really tell you anything about the authenticity of the check or that payment has been received.

That would be a better function . . . if it could notify you when payment has been received and collected by the issuing bank and the cehck was proven authentic.

Scam Victim Arrested

What started out as excitement about a new job quickly turned into a financial and emotional roller coaster for one Texas woman. In July of 2009, Nicole Ball, a stay-at-home mother from Pasadena, Texas was offered a job by someone claiming to be with a company called Formations House processing paperwork for their clients. Nicole was ecstatic, and in this economy who would not be when they found not only a source of income but a way to do so and continue to stay at home with her young child.

She began to receive packages in the mail with instructions to process the checks in the package. She was instructed to keep a portion of the checks, for her payment, and then to forward the rest of the money along with some paperwork on to a man using the name of Stanley Clarkes.
On July 23rd she entered the bank to bring in another check that she had received, and when she brought them to the teller her whole world turn upside down . . . the bank employees brought her into an office, called the police and pressed charges against her for forgery. She was devastated. To add to this, her young daughter was with her at the time and she had to witness her mother being told that the check was a fraud, the job she thought she had was a scam, and that now she was going to be arrested and have to spend time in jail.

It is cases like this that show how significant the need for Scam Education and Awareness is, not only for the average American, but for bank employees and law enforcement. With the right questions, not only could the bank employees have seen the warning signs of a scam and warned Nicole, but they would have also realized that she was not the one that needed to be behind bars or prosecuted. With the right questions or a search warrant, the police could have seen that Nicole was not the one manufacturing these counterfeit checks that were good enough to fool bank employees. They could have reviewed the information on her computer and in her home to see that she is a victim of this scam and not the perpetrator.

Nicole’s story is far from over. She will now have to endure court proceedings and pay for legal fees all to prove that she is innocent. I hope that the law enforcement and government officials in Pasadena, Texas will step in on this matter in order to assist Nicole Ball and her young daughter. Beyond that we ask for your support and partnership in a Scam Education and Awareness Program across the country so that stories like Nicole’s will not happen to others.

Shawn Mosch
Co-Founder of ScamVictimsUnited.com
There is strength in numbers!

Find us on Twitter, Facebook and more through
http://www.retaggr.com/page/ShawnMosch

Scam Busters: The Mystery Shopping Trap | News | Money/Investing | Mainstreet

In the article Scam Busters: The Mystery Shopping Trap News Money/Investing Mainstreet, they are talking about how the hard economic times have increased the number of people becoming victims of the Secret Shopper/Mystery Shopper Scams and other work at home offers.

Some of their suggestions include


Avoid "Keep the Change" Payment Plans - Be suspicious of any scheme where you are sent a check or money order for more than the amount you would be owed for your work.

Call Companies Directly to Verify their Checks - Use directory assistance to get a phone number independent of what number you've been sent by your new "employer." Call the company directly to verify the check.

Don't Respond to Pressure to Act Now - Some banks take 10 days, or more, to determine if a check is legit. Even if your bank lets you make a withdrawal sooner, wait until your bank assures you that a check has cleared.

Do a Name Check - The contact names from your new opportunity should match up. Mismatched names or other typos or unprofessional communications should be a red flag.

If You Get Taken, Report the Scam - The Internet Crime Complaint Center and the U.S. Postal Inspections Service are two good places to start.

Re-Victimization and Secret Shopper Scams on the rise

The current economic situation is causing a strain on many people, and scammers are cashing in on it. There has been an increase in Secret Shopper Scams and Re-Victimization Scams in recent months.

Unsuspecting people answer ads placed online for Secret Shoppers or Mystery Shoppers, thinking that this will be a great way for them to earn some extra income to help make ends meet. They are sent official looking letters and forms, and instructed that they will be sent a Cashier's Check or Money Order by the company that they are working for, and they will use that money in their Secret Shopping Assignments. The check arrives, they bring it to the bank and soon they are told that the check has cleared, so they proceed forward with their given assignments. Usually, they are told to go to several different Western Union, Money Gram, or other money wiring locations. Once they have wired the money they fill out an evaluation of the customer service at the location, and send it in and wait for their next assignment.

The problem comes in about a week, when their bank contacts them to let them know that the check was counterfeit. The bank then deducts the amount of the check, sometimes for several thousands of dollars, from their bank account. This leaves the person that was already feeling the strain of the current economic situation in an even tighter spot. There are some people who end up with negative bank accounts.

The other scam on the rise is the Re-Victimization scam, in which the scammer sends a letter saying that they are working with a very official sounding agency, like The Fraud Alert Investigation Agency (FAIA) of the Federal Republic of Nigeria. They explain that they are assisting scam victims in recovering the money that they have lost. Many of the emails and letters will even claim that they are working in efforts with agencies like the Internet Crime Complaint Center, the National White Collar Crime Center, the Bureau of Justice Assistance, the Federal Bureau of Investigation, and most recently our own site, ScamVictimsUnited.com, has been included on this list. Scam victims who are desperate to try to recover any of the money that they have lost may contact these people. They may as for lawyers fees to be paid to recover the money, or ask for the victims's bank account information so that they can deposit the recovered money directly. Both of these are ploys to deceive the victim and drain them of even more money.

To protect yourself from these scams, do not accept any jobs posted online where you do not interview with someone in person before acquiring the job, and do not reply to any emails in which someone tells you that they can help you to recover lost money. Another good safety procedure it to do a search on the name of the person who contacts you, the company that they are claiming to be with, their phone number or email address.

Shawn Mosch
Co-Founder of ScamVictimsUnited.com

Find us on Twitter, Facebook and more through
http://www.retaggr.com/page/ShawnMosch