We have received calls from two different consumers on two different possible phone scams.

Phone scam #1: Collections Court Action
In this instance the consumer received a threatening phone call from a man that claimed the consumer had a court action filed against him. The caller gave a legitimate sounding file number for the court action as proof. The caller claimed that the matter was in regards to a loan of $4000 in the consumer’s name that had not been paid. The caller told the consumer, in a rather aggressive tone, that he would be arrested if he did not pay the loan promptly as per the court action. The caller then proceeded to make a claim that for $250 and the consumers Social Insurance Number, that he could stop the warrant for arrest.

Protect Yourself: If you receive a similar call to this one please contact the BBB of Vancouver Island with additional information about the content of the call (250.386.6348) If you legitimately had a court action filed against you in regards to an unpaid loan, you would likely have been informed, prior to this phone call, about the matter. They key red flags that this is a scam include the aggressive approach of the caller, the threat that a warrant for arrest could be stopped with a payment, and the request for a Social Insurance Number.

If you are concerned for some reason that there is an unpaid loan out there in your name, it would be wise to check your credit report (with Equifax or TransUnion) to see if there are any unknown loans on your file. Besides informing the BBB it would also be wise for you to inform your local police and to contact the Canadian Anti-Fraud Centre (1 (888) 495-8501) to report a call such as this.


Phone scam #2: BBB Business to Consumer Complaint
Consumer received a phone call with very broken up reception from a person claiming to be a representative of the BBB. The supposed BBB representative stated that BC Hydro was filing a business to consumer complaint, against the consumer because they did not accept and pay for the delivery of a BC Hydro energy savings device that was ordered. The consumers had no recollection of every ordering such a product and had not denied the delivery of such a product. The caller was aggressive and persistent and eventually hung up after the consumer began asking for further information.

Protect Yourself: If you receive a similar call to this one please contact the BBB of Vancouver Island with additional information about the content of the call (250.386.6348). Note that the BBB does not process complaints from businesses against consumers. If a company has a problem with the delivery of a product and payment of a customer, the business will most likely take the matter to a debt collection agency or to court.

Sidney RCMP is warning Peninsula businesses to be aware of a fraudster possibly operating in the area

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The world's largest permission-based email marketing service, Epsilon, reported a breach in its security this past Friday.

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It really couldn't be more timely. March is Fraud Prevention Month and right in the middle of BBB and Victoria Police Department spreading tips on protecting yourself from scams, we hear about the influx of frauds as a result of the Japan Earthquake/Tsumani disaster.

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If you haven't heard already BBB has teamed up with Victoria Police Department for Fraud Prevention Month

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March is Fraud Prevention Month, which means BBB along with a number of other non-profit, government, and enforcement agencies will be working diligently this month to educate consumers and businesses on how to protect themselves from becoming a victim of fraud.

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While telemarketing is a legitimate and important industry in Canada, it is also an industry rife with frauds and deceptive practices. Unfortunately many telemarketers often are unaware that the company they are working for is engaged in deceptive practices.

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Valentine's Day is a day of romance and expressions of love, but it’s also a time for scam artists to take advantage and break a heart. If you're not careful you could fall victim to a Valentine's Day scam.

Valentine’s Phishing Scams

As February 14^th approaches, we expect notes of love to arrive in our mailboxes. Cyber-crooks are well aware of this and use this time of year to trick those who are “love-struck” into divulging their personal and financial information. One email claims to be from a flower company and indicates the flowers you ordered for your sweetheart won’t be delivered unless you log in and re-enter your credit card information. A significant number of these messages will reach people that have actually ordered flowers, and no one wants their loved one to think they've forgotten them on Valentine's Day! If you click the link in that email and enter your credit card information you could have a real problem once you get your next statement. Even if you think a message like this is real, go directly to the florist's website or call them on the phone.

Online Dating Scams

As Valentine's Day approaches many singles turn to online dating websites to find true love. What many find is a broken heart. Scam artists often create fake profiles designed to match a certain kind of person. Once they make contact with you the scam begins. Whether you are talking in a chat room, through instant messages, or emails it slowly becomes clear that you've hit the jackpot. This new person you've met is perfect in every way. They have the same likes and dislikes as you and most importantly, they really dig you. The cybercriminal gains your trust, and then attempts to “meet you.” However, your true love won't have enough money for the trip and will need you to wire funds for a plane ticket. This often involves mail order bride scams, or a scam where you wire a “soldier” money for military leave. This is a very old and common scam.

Valentine’s Day eCard Scam

Be careful opening eCards on the web! In the case of the Valentine’s Day eCard scam, and email directs the receiver to a fake website that looks a lot like Hallmark or American Greetings. The site prompts the receiver of the card to download the latest version of Flash Player, in order to view the card. Once the love-struck receiver of the card installs the software, their computer is taken over with a Trojan, which is a program that can give someone (besides the user) full access to a computer and all of the files on it. Pay attention when you click on links, be sure the web address you are going to is the correct one, and in this case, the email doesn’t state a name – it is generic – which is another sign that this could be a scam and it could have gone out to millions of people.

During the ‘Spring Break,’ consumers like to use debit and credit cards when shopping. However, scammers often see this as a great opportunity for fraud, which hurts the trust we have in everything from shopping in-person to buying online.

“Most of the time, the only way we are aware of debit card and credit card fraud is after it happens,” says Lynda Pasacreta, BBB President and CEO. “You get a call stating that your credit card has been compromised and you do not have a clue why it happened. We want to encourage consumers to be vigilant against fraud.”

According to the Canadian Bankers Association, Canada ranks second in the world when it comes to debit card usage. In 2009, Interac reported a total dollar loss for cardholders to be approximately $142.3 million.

To protect yourself against debit and credit card frauds, Better Business Bureau would like to offer the following advice this holiday season:

If you are shopping at a retailer in-person…

Think twice about your habits. Often we see convenience as the key factor in why we use debit and credit card for purchase. However, you may want to consider only using ATMs at bank branches, not at convenience stores or delis, since bank security cameras can offer evidence that fraudulent withdrawals with your debit card were not made by you.

Protect your PIN. Use your hand or body to shield your PIN when you are making transactions at a bank machine or a point-of-sale terminal. Cover as much as possible since scammers use cameras to capture PIN codes.

Look for signs of a tampered PIN pad. Check if the PIN pad has been tampered with before handing over your debit card. Look for the absence of a serial number, raised screws on the back, broken seals or signs of wear on the bottom panel could indicate the pad has been doctored.

Keep an eye on your card. Never let your credit or debit card out of your sight when you make a transaction.

Check your statements. Check your bank and credit card statement often, daily if possible, for any illegal activity. Call the card provider or institution at once if you are suspicious about anything in your account.

If you are shopping online…

Do not click pop-up ads. These ads show up on e-commerce sites after you've made a purchase with your debit card. The pop-up promises cash-back rewards once you click "Yes" on the ad. But you may not realize that you're actually agreeing to automatically sign up for a company's online membership service. And unless you cancel, your card will get charged every month, indefinitely.

Don’t fall for phishing. You click on a link in an e-mail purportedly from your bank and end up at a Web site where you're asked to enter and "verify" your debit card number or Social Security number. This website spoofing is better known as “phishing.” Your bank would not contact you by email to verify information, so do not fall for the phishing trap.

Confirm your online purchase is secure. Shoppers should always look in the address box for the “s” in https:// and in the lower-right corner for the “lock” symbol before paying. If there are any doubts about a site, BBB recommends right-clicking anywhere on the page and select “Properties.” This will let you see the real URL (Web site address) and the dialog box will reveal if the site is not encrypted.

If you find any unauthorized transactions…

Let your financial institution know. Notify your financial institution's branch or telephone banking call centre immediately and make sure you are able to tell the bank the amount and date of the fraudulent transaction. The bank may be able to explain the transaction and, if it is fraudulent, will be able to tell you what to do next. Keep all of the documents that provide evidence of the fraud. Record the name of the person you spoke to at the bank, as well as the date and time you called.

Report the loss to credit-reporting agencies. TransUnion (transunion.ca), Equifax (equifax.ca) are the key credit bureaus who can flag, or place an alert on an account for fraudulent activity, which then requires that they contact the cardholder before any new lines of credit are opened. Consumers can also ask to have an account frozen, which means their credit history can’t be reviewed by lenders and prevents new lines of credit from being opened. But, keep in mind, it may take several days to unfreeze accounts.

Report it to police. Contact your local police’s non-emergency number and record the police report number. You should also keep a log of transactions to help you figure out where the fraud could have occurred.

To learn more about safe shopping online or at a retailer, join us on March 27, 2010, the Better Business Bureau and BC Securities Commission presents Smart Shoppers, a one day event that brings celebrity money group the Smart Cookies who will provide a fabulous multimedia presentation about consumer protection. Ask an expert: Representatives from BBB, BC Securities Commission, Consumer Protection BC, and other fraud prevention experts will also take your questions. For more: www.smartshoppersbc.org