Scam alert: economic stimulus scam websites and emails

March 4, 6:51 PMNews You Can Use ExaminerMary Schwager

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Warning: if you run across a website claiming it can help you qualify for a share of the federal stimulus package money, you may want to go back to shopping for shoes online.

The Federal Trade Commission (FTC) issued a warning today about bogus websites claiming they can help people cash in on the bail out money. That's right, you too can become a TARP recipient.  What the heck? Tough times are even driving scam artists to try crazy things!   

The FTC says many sites use photos of President Obama and Vice President Biden to give the appearance of authenticity. Sites also use logos from ABC, CBS, CNBC, CNN, FOX, NBC, MSNBC, US News and other major media outlets to make them appear legitimate.

Here's the latest from today's news conference, straight from the FTC: 

FTC Warns Consumers About Economic Stimulus Scams

The FTC is warning consumers that they could get stung by an economic stimulus scam.  The scams come in different forms. 

Right now, on the Web and in e-mail, scammers are telling consumers they can help them qualify for a payment from President Obama's economic stimulus package.  All they have to do is provide a little information or a small payment.

E-mail messages may ask for bank account information so that the operators can deposit consumers' share of the stimulus directly into their bank account.  Instead, the scammers drain consumers' accounts of money and disappear.  Or bogus e-mail may appear to be from government agencies and ask for information to "verify" that you qualify for a payment.  The scammers use that information to commit identity theft.  Some e-mail scams don't ask for information, but provide links to find out how to qualify for funds.  By clicking on the links, consumers have downloaded malicious software or spyware that can be used to make them a victim of identity theft.  

"Web sites may advertise that they can help you get money from the stimulus fund.  Many use deceptive names or images of  President Obama and Vice President Biden to suggest they are legitimate.  They're not," says Eileen Harrington, Acting Director of the FTC's Bureau of Consumer Protection.  "Don't fall for it.  If you do, you'll get scammed."

Some sites suggest that for a small sum of money - as little as $1.99 in some cases - consumers can get a list of economic stimulus grants they can apply for.  But two things can happen: the number of the credit card the consumer uses to pay the fee can fall into the hands of scam artists, or the $1.99 can be the down payment on a "negative option" agreement that may cost hundreds or thousands of dollars if the consumer does not cancel.  

"Consumers who may already have fallen for these scams should carefully check their credit card bills for unauthorized charges and report the scam to the FTC," Harrington said. 

The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them. To file a complaint in English or Spanish, visit the FTC’s online Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 1,500 civil and criminal law enforcement agencies in the U.S. and abroad. The FTC’s Web site provides free information on a variety of consumer topics.

OTHER FTC SCAM ALERTS:

• How to make sure you get your free credit report from a legit site, click here.
• For 'news you can use' about top scam complaints the FTC receives and how to protect yourself, click here. 
• How long will it take to pay off your plastic? Click here for the FTC's credit card repayment calculator.

More on the economic stimulus scams also check out: Consumerist.com