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BBB Fraud Watch:Watch Out For
Foreign Lottery Scams
By: Better Business Bureau Serving
Greater Cleveland Scammers will not
always try to scare you into sending them money. Sometimes, scammers
will try to make you think you have won something to get your
personal information or funds. This type of scam is called a foreign
lottery or sweepstakes scam.
In this scam, victims are contacted by email, phone, or letter.
Scammers tell the victim they won money in a foreign lottery or
contest that the victim never entered to win. The victim is told
they have to pay for taxes, shipping, or other costs to receive
their winnings. If the scammer sends a letter or email, the message
has authentic-looking government seals or company logos that are
actually fake.
In some cases, the victim is sent a check to cover the costs needed
to receive their winnings. They are told to deposit the check into
their bank and wire money or send gift cards in that amount to a
third party. Once the victim sends the money, the check bounces and
the victim is forced to pay the costs from their own account and
never receives the winnings.
Foreign lottery and sweepstakes scams are common in the Cleveland
area. One local victim lost almost $2,000 USD to this scam. The
victim received a letter saying they had won a foreign lottery and
they would receive a check in the mail for $1,800 USD. They were
told to wire the $1,800 to a third party to receive their winnings.
The bank determined that the check was fake weeks after the victim
had sent the money, and the check bounced. The victim was forced to
“use all of my savings to fix the fake check.”
BBB Cleveland has tips on what to watch out for to keep you and
your money safe from scammers: No legitimate company will ask you to
pay to receive your winnings or improve your chances of winning. Do
not pay for taxes, shipping, and handling, or processing fees to
receive winnings. You also cannot win a contest you have never
entered. If you regularly enter contests, keep track of what
contests you have entered so you know if a letter or call saying you
have won is real. Also, remember that checks can bounce weeks after
you have deposited them or withdrawn the funds. Just because the
check says it is cleared does not mean that the check is real. Once
the check is labeled as fake, you will be responsible for covering
the bounced money. If you receive a call from a foreign lottery
scammer, remember these tips and report the call or other scams at
bbb.org/scamtracker. |
