While Matt is hard at work writing his series on what to do when you acquire a new website I thought a post about Internet scams would be appropriate.
What do you do when you realize your newly acquired website or advertising package is based on inflated Alexa rankings, forged PayPal transactions, fake PageRank, and a database full of phony customers???
Anyone who has ever pursued the dream of an online income has surely encountered the greatest obstacle on the net, and that is the proliferation of scams. The Internet is simply too anonymous; without a clearly defined governing body, the propagation of scavenging opportunists waiting to prey on the unsuspecting will never end.
At WhyDoWork one of our main objectives is to help users sort out the good from the bad in a safe, controlled environment. Hopefully these tips help!
So what can you do to protect yourself from scams?
1. Be skeptical. If it sounds too good to be true it probably is. If a site claims to have the secret to Internet millions, would they really bother to sell it to you? When dealing with the web, assume guilty until proven innocent.
2. Tell a friend. Tell a trusted pessimistic friend about your potential purchase, and listen to their criticism and skepticism of your idea. Matt and I are constantly providing reality checks for each other. It’s easy to get excited about an idea until you talk it out and realize the loopholes and risks associated with it.
3. Don’t invest more than you can afford to lose. Unless you are dealing with trusted companies you have to assume the risk of getting ripped off.
4. Avoid Pyramid Schemes, illegal ventures, confusing revenue models. Back in early 2007 WhyDoWork was a buzz with talk of 12dailypro and other HYIP (High Yield Investment Programs) that saw guaranteed returns in the 1000%. We are constantly deleting content and banning users who promote a plan that apparently Oprah loves where the premise is send $6 to 6 people on a list. If you choose to participate in an obvious get-rich-quick scheme, you are on your own.
5. Do your due diligence. Research the company and individual you are planning on buying from as much as possible. Start with a Google search for <company name>Â + scam and go from here. Trusting only the content on the sellers website is a huge risk.
6. Educate yourself about known scams. Every industry has known scams and if you aren’t aware of what they are you can easily fall prey to them. Lets say you are in the market for a new website, ensure you understand what people can do to fake their web stats and look for it.
7. Learn from your mistakes. WhyDoWork is not immune either. A few years back during our early days we contracted out an SEO company Web Design Wright Now run by Leslie Wright who offered a money back guarantee for top 10 Google results for the search term ‘Work at Home’. Well we didn’t receive top 10 results, nor did we get our money back. What we learned from that experience is the 1 - 7 list I am communicating to you today.
I’ve been scammed, what do I do?
Regardless of all your research and industry knowledge, scams can happen to the best of us; especially when you are taking risks. I’m going to draw on this helpful post by Karie and fellow WhyDoWorkers. If you find yourself scammed and are looking for help here are some resources you may want to contact:
- The Federal Trade Commission works for the consumer to prevent fraud and deception. Call 1-877-FTC-HELP (1-877-382-4357) or log on to http://www.ftc.gov.
- The Attorney General’s office in your state or the state where the company is located. The office will be able to tell you whether you’re protected by any state law that may regulate work-at-home programs.
- Your local consumer protection offices.
- Your local Better Business Bureau.
- Your local postmaster. The U.S. Postal Service investigates fraudulent mail practices.
- The advertising manager of the publication that ran the ad. The manager may be interested to learn about the problems you’ve had with the company.
- The payment provider that facilitated the exchange of money / goods (ie PayPal, VISA, etc). Maybe they can get your money back.
- If a 3rd party hosted the transaction try contacting them (eBay, SitePoint).
To connect with people who may have been scammed and prevent the same from happening to others, try posting about your situation at one of these sites:
http://www.ripoffreport.com
http://www.scam.com
http://www.bustedscammers.com
http://www.scamradar.com
http://www.ic3.gov/
http://suckered.us
http://www.whydowork.com/forums/viewforum.php?f=16
What not to do.
While you may feel angry and cheated, the worst thing to do is overreact. Don’t fight fire with fire. If you are thinking about spreading rumors, hacking someones website, or threatening people I strongly advise against this. The last thing you want to do is find yourself in a libel lawsuit or worse. Regardless of how anonymous the Internet seems you can be held accountable for what you say and do if it is a personal attack.
If anyone has other tips or websites to help combat scams please share!
- Joe
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