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Larry Downing / Reuters
President Barack Obama meets with workers at the National Red Cross headquarters in Washington this week. The Red Cross is one of the nation's leading disaster-relief organizations.
Watch out: Scammers trying to cash in on Superstorm Sandy are on their way. The destruction caused by the storm gives the bad guys a major opportunity to steal your money or personal information.
Symantec, the security software firm, reports the first wave of Sandy-related spam has been sent. The messages have subject lines such as: “Help Sandy Victims and get $1000 for Best Buy!,” and “Deposit Processing Open Today (Frankenstorm doesn’t stop us).”
These phishing expeditions are designed to snag your credit card, debit card or bank account numbers.
Based on previous disasters, Symantec predicts a rash of cyber-attacks that start with links to fake news stories, photos and videos. These will be distributed via Facebook posts and tweets, Internet searchers, text messages and email.
Resist the urge to click on these unknown links or you could download some nasty malware onto your computer or smart phone.
Charity scams
This is an emotional time for people all across the country. You want to help, and con artists hope to take advantage of that. They make phone calls and pretend to be a bona fide charitable organization. They set up websites that look like reputable charities. It’s very easy to do.
The online security firm Avast! reminds us that back in 2005, after hurricanes Katrina and Rita hit the Gulf Coast, there were at least 15 bogus websites designed to look like the American Red Cross site. Donors who took the bait gave their personal information, such as credit card numbers and PayPal passwords, to the online crooks.
“Charity scams are among the most despicable scams out there,” said John Breyault, director of fraud.org, the National Consumers League’s Fraud Center. “Not only are consumers victimized when they give money to the scammers, but the people who need help to rebuild their lives don’t get that money.”
Related: 7 tips to avoid post-disaster insurance and repair scams
Ohio Attorney General Mike DeWine has warned residents of his state to be cautious if they receive calls to make a donation to the storm relief effort.
“Unfortunately, there are some who might use our generous nature to take the donations for themselves, not for those in need,” he said.
A charitable request might be a scam, DeWine advises, when the caller:
- uses high pressure tactics to solicit an immediate donation.
- is hesitant or unable to answer questions.
- asks for the check to be made payable to a person instead of a charity.
- offers to pick up your check immediately, rather than waiting for you to mail it off.
- promises a prize in exchange for a donation.
Bennett Weiner, chief operating officer of the BBB Wise Giving Alliance, urges donors to take their time and do their homework before responding to any solicitation.
“You want to know what they do, what relief activities your contribution is going to fund,” he said. “You can’t assume based on the name alone what activities your generosity is going to support.”
To help the victims of Hurricane Sandy, Weiner suggests choosing an organization with some skill and experience in disaster relief activities, such as the American Red Cross.
“A start-up organization, or even an established charity that decides to get involved in relief work for the first time, may have great intentions, but may not necessarily carry it out very effectively,” he cautioned.
Protect yourself: Never make a donation by clicking on a link in an email or text. Go to the site on your own. Be careful with web searches – names can be misleading – you could wind up on the wrong site.
Don’t allow yourself to be pressured into making a donation.
Don’t give your credit card information to an unknown caller. If you’re interested in the cause, ask to be sent information.
Stop, think and check them out. You can do that at sites such as: BBB Wise Giving Alliance and Charity Navigator.
Home repair scams
“After a spectacular storm like this, fraudsters will come out of the woodwork offering to repair damaged homes,” warned Susan Grant, director of consumer protection at the Consumer Federation of America. “They may take your money and just disappear. Or they may start the work and not finish it. Or they work may just be really shoddy quality.”
If you need repair work done and don’t have a trusted contractor, you want to find someone qualified to do the job. And in a situation like this, it won’t be easy. Try to stay calm, so you can deal with the situation rationally.
For major repairs, the Better Business Bureau recommends getting at least 3 to 4 estimates. They should be based on the same specs and materials.
Get everything in writing. The contract needs to spell out when the job starts and will be completed, a payment schedule, what materials will be used and what sort of clean-up will be done.
With property damage estimates topping out at $20 billion and homeowners desperate to get started recovering, there will be plenty of scammers coming out of the woodwork. CNBC's Sharon Epperson and Jeanne Salvatore of the Insurance Information Institute discuss how you can avoid getting ripped off.
Remember: Never make a final payment until all the work is completed to your satisfaction.
Consumer Reports suggests:
- Try to deal with people who live and work in your community.
- Ask for copies of the contractor’s general liability and worker’s compensation insurance.
- Avoid paying more than the minimum in advance.
Protect yourself: Steer clear of anyone who shows up at your home or office, offers an instant estimate and wants a sizeable payment in cash before any work is done.
Say no to a contractor who promises a great price because he has left-over materials from a previous job. That’s a common trick used by fly-by-night operators.
Don’t let anyone pressure you into hiring them. You need time to check references, to see if they are licensed or registered (if required in your state) and to check them out with the Better Business Bureau.
Helpful resources
- Better Business Bureau: Tips on Hurricane Relief Donations
- Charity Navigator: Tips for Giving in a Time of Crisis
- Charity Navigator: Hurricane Sandy: Charity’s Responding
- Federal Trade Commission: Avoid Charity Fraud
- Federal Trade Commission: Charity Checklist
- Federal Trade Commission: Charitable Donations: Give or Take?
- BBB Warns About “Storm Chasers” Following Hurricane
- New York Attorney General: Guide to Property Owners as They Recover and Rebuild from Hurricane Sandy
Herb Weisbaum is The ConsumerMan. Follow him on Facebook or visit The ConsumerMan website.
Leave a Comment:
Just simply call the American Red Cross phone number, or go online of the Red Cross website: http://www.redcross.org. Or, send the check to the American Red Cross, for the fundraising for the victims of the Hurricane Sandy.
It will cut the red tape and charity scams. And it is tax deductible.
There is a scam for everything in America !!!!!
is this a great country or what ?
Sounds like Republikon lives in one county , but gets his foodstamps through a P.O. Box in the state capital county.
What's interesting is that if Romney becomes president and his plans to cut FEMA go through, then disaster areas will be relying even more on private charities for help... and thus more people risk being scammed in this manner.
Oh my gosh, where are you getting this stupid idea that Romney wants to cut FEMA? Quit making crap up!
Attention: High School Vocational Teachers:
your teaching education in electrical, carpentry, plumbing, landscaping skills are sorely needed for re-building.
America... land of the biggest frauds and scams - most of them just barely legal, like money in politics.
My brother-in-law is a retired fire fighter and he strongly endorses the Salvation Army over the Red Cross. He said the S.A. was always there to help in an emergency where the Cross showed up late or not at all.
Romney's canned food drive in Ohio was a charity scam of a different sort. The campaign bought the bulk of the 'donations' at Walmart before the campaign rally so Romney could be seen loading it on a little truck.
There needs to be some severe punishment for those who try and use a disaster like this to scam people. Anyone who would do something like that is lower than low. They are not only ripping off the people they scam but they are also taking money away from the people who need it to rebuild their lives. They are in effect stealing from two people for every person they scam, the person that gets scammed and the person that donation would have helped.
As for all the crooked contractors out there all I can say is that people need to use their heads. If one contractor is giving you a price far below other estimates the odds are it is a scam. Also, pretty much every state requires building contractors to be licensed so make sure you get their license number and check them out before you give anyone any money at all. Also beware of contractors who want large upfront payments for "materials" as this is one of the favorite tricks of scam artists since it sounds reasonable to so many people. If a contractor is running so thin that they can not buy the materials they need to start the job without you giving them money then they are probably not the one you want to hire. You should set up defined progress milestones that trigger payments, never agree simply to a payment time-line of so such money every week as this is clear indication of a scam. A reputable contractor will have no problem with a milestone payment setup where they get their money based on satisfactory completion of portions of the job. There should also be at least a 10% hold back on the total pending a final inspection and acceptance of the work. Remember that once they have all their money you will never get them back to fix anything that is wrong.
Incredible. He's a liar, go figure. More Of The Same is what we can expect if he is elected, Heaven help us.
It is even more of a scam since the Red Cross specifically states online that they do not accept material donations of any sort. No canned food, no blankets, no clothes. The Red Cross states they don't have the manpower and resources to receive, categorize, store, and deploy material donations. They have also stated that they cannot and will not receive Romney's truck of donations. If one single Red Cross volunteer or official would have been involved in Romney's Red Cross Aid Event, he would have known they do not accept material donations under any circumstances. So the question remains, where is that truck full of food going, his own pantry?
For Travisaurus- perhaps people are talking about Romney dismantling FEMA is because he said so himself!! He stated that he would turn emergency actions back over to the individual states and end FEMA.
Know whereof you speak before choosing and voting!
Kai, he also stated shortly after that comment that it would be even better to take the responsibility off of state hands and push it towards the private sector. Could you imagine how detrimental it would be if the East Coast had to depend on a business trying to decide the most profitable way for themselves and shareholders to recover from a disaster?
And to Travisaurus, we are getting that idea from his own mouth, if you think we are making it up and don't believe it. Well why don't you watch it come out of his own mouth?
http://www.youtube.com/watch?v=RTSHxR_4rc8
The Nigerian Prince will help them
Regardless how much you tell the people these scams will net millions for these criminals. Some people believe anything.
You mean like Romney/Ryan supporters?
Charity scams ?????? Why not call it what is really is, a "Republican Party fund raising campaign".
I think that the people who perpetrate these frauds are one of the lowest life forms imaginable - I can only hope that when they're caught they're made to work off their ill gotten gains by helping to clean up the incredible mess this horrible storm left. The easiest way to prevent getting taken on home repairs is to insist on getting copies of the contractor's license and insurance (they should have both general liability & worker's comp), never pay cash up front and get several estimates in writing that you can call your local builder's association for a reference on. Living in Florida has made me even more aware of how so-called home repair contractors can really screw you over if you're not careful, they come out of the woodwork like roaches after any big storm. Most areas have a Red Cross center or Salvation Army where donation can be made to help out those who are affected by this storm.
People are suffering due to the storm. We have a Presidential candidate that wants to privatize FEMA, the very entity that exists to support these people. Scammers are trying to bilk money out of caring people and as a result, you can bet donations to the storm victims are lower.
And people wonder why I have lost all hope for humanity...
Gabriel Camomescro, When you feel like giving up, remember why you held on for so long in the first place. We all have our own life to pursue, our own kind of dream to be weaving, and we all have the power to make wishes come true, as long as we keep believing.
All hope for humanity has been gone for a long time. Now we are in survival mode. Dog eat dog, get what you can and screw the other person. The only ones that will be left are the ones that still believe. AND that is few and far between. So sad this is happening in the USA.
Rfrisch, humanity isn't gone. It's because we have so many self centered jerks and dirt bags around that make humanity look bad, you know, the ones that "get what you can, and screw the other person"! And don't worry, even if they are found out, they won't be turned away, because humanity doesn't stoop that low.
The richest people in America live within farting distance to the storm damage. And a lot of the damage is to their property. Let them finance their own recovery.
you're talking about the homeless in NYC, of course?
I think he's talking about the scummy bastards who work(?) on Wall Street.
justvisiting - not all who were impacted by Hurricane Sandy are the richest people in America. And, even if they are rich, it does not mean that they deserve to lose all of their belongings. How about you either show compassion, or refrain from commenting. It's quite difficult here in NJ right now, and your unkind words do not help.
JustVisiting, that is such a sad comment. I can't help but wonder why you would say anything so unkind. Being rich is no relief for suffering and there are a lot more people in NYC that aren't rich, and who do desperately need help. I'm sorry for you....you seem to be terribly angry and that is truly sad.
Typical right wing romney/ryan bot
Wolves will be wolves, coyotes will be coyotes and the vultures are always circling. Offsetting this are the people who will go out of their way to help no matter what. God bless them.
Too bad tarring and feathering isn't still a thing. Our colonial ancestors knew how to deal with fraud.
If you fall for one of these scams you get what you deserve. Don't be a dumbass
Nothing new, after every disaster the scammers all come swarming, like flies to sh*t. While NY & NJ are probably the top states in corruption and they probably deserve these people (karma...) Just say no, charity starts at home!
Please do NOT paint NY and NJ with a broad brush. There are lots of wonderful people here, salt-of-the-earth people...
and liars
Joe and 1911bill - I don't know what's worse.. thinking you're being funny about insulting residents of NY and NJ during a rough time for us... or being serious and lumpting together a group of people whose only common denominator is geography. There are corrupt, "bad" people in every state. Instead of wasting your (and our) time commenting negative statements, please leave the concerned alone to deal with cleaning up our states, ensuring those who were hit hardest are able to rebuild, and generally getting back to life.
Um.. have you been to Washington DC? The wonderful state of Louisiana? Show me a place in the entire US that is free of corruption.
I will tell you whats worse. Living in NYC or NJ
I think what you meant to say was- all NJ politicians are corrupt, not the citizens. Although Christie has done a great job & im not a repub. We do have some thievinbastards in trenton though. NY, not so much. Illinois might be a close second.
Make it simple on yourself, and just make your check payable to the American Red Cross. Most towns have a local office you can call and get the exact information you need. I have done that already and they are ready, willing and able to assist you.
don't tell me what to do
on my list putting the gun in my mouth now because you have shamed me into it. Why is your opinion anymore valid than mine?
I will as soon as you answer the question
Typical
That you have no argument that your opinion is anymore valid than mine
Remember, your phone is your property. If something even remotely sounds fishy...hang up! I've done this several times. People asking for credit card #'s. I just say "I don't feel comfortable about this" and "click". All done.
I string them along, give them phony info, put them on hold forever. I love jerkin their chain. You'd be surprised how easy it is too if you let them think you dont know any better.
Facebook CumberlandCountySPCA, PetsonDeathRow, UrgentDeathRowDogs, nycurgentcats, WoodbridgeAnimalShelterandPetAdoptionCenter, LibertyHumaneSociety, AACanimalcontrol, WVAnimalShelter, GastonACNCAvailablePets, Cliffords.Army, StokesCountyAnimalShelter, CWAnimalShelter, HartfordAnimalShelter, IOWAnimalShelter, OttawaHumane, UrgentOhioDogs, ARPFV, TNDeathRowDogs, FriendsofArizonaShelterAnimals, DeridderAnimalControl, southernpinesanimalshelter, Urgentdogsbrowardanimalcareandadoption, UrgentCatsofMiami, Florencelauderdaleshelter, colbertcountyshelter, huntsvilleanimalservices, murraycountyshelter, HCASVolunteers, FOSCGA, TerrellCountyAnimalControl, UrgentOhioCats, NorthPlatteAnimalShelter, MoberlyMOAnimalShelter, storycountyanimalshelter, TNDeathRowDogs,BlountCountyAnimalCenter, justiceokanimals, friends.of.mannford.shelter,savepinalanimals, savepinalkitties or IrvingAnimalShelter. PetHarbor and local Humane Societies and SPCAs also have pictures of some shelter animals online.
If you love and want to help animals do your research first. Send your donations to established LOCAL rescue groups and shelters. HSUS and PETA are not animal rescue groups. HSUS gives less than 1% of the funds they collect to animal rescue. Just research their behavior after Katrina in Louisiana. PETA is widely known for euthanizing all pets that come into their shelter. All this information is on the internet and is posted by legitamite entities, including, but not limited to government officials who have had dealings with these groups. They are Animal Rights not Animal Welfare. Huge difference. Local Rescue groups desperately needs funds and fosters. Keep your money in communities that need it. God Bless all those animals and the volunteers working so hard to save them.
I absolutely agree. I am an animal lawyer and l/t animal rescuer. We are setting up a NP to help locally LEGAL TLC] with education and getting laws enacted locally, which often spread across the country, such as Suffolk County, NY's cell phone/driving law and now, first Animal Abuser Registry in the U.S.
The money to help veterans and Service Members will be, at least for now, for Long Island SM and vets. We also are getting donations of service and goods, such as veterinarians, food, toys, meds, beds, crates, etc. A big focus is on ways so that people feel comfortable because there are so many frauds out there, even before Sandy.
Ditto for local rescue groups, where we (and you) can go and see for yourself. If you have no money, no problem-donate your services-do laundry, walk dogs, give meds...even going there and doing your regular job (such as on a laptop) is a major help when you take the dog or cat into the spare room with you (in our case, the laundry room we bought washer and dryer for to wash the linens), that human contact, snuggling by your legs, etc. Skip the gym and exercise the dogs.
I go around doing seminars on animal law and stay for hours also, not just to help people interested in animals but also to stay transparent.
I wish we didn't have to watch everything and make sure everything is transparent but this is what this world has come to and we have no problems letting people come and see us.
Time to run and see what we can do at the local shelter, already went to some friends nearby-power is out all over, except, for some reason, my house.
Please skip any lawyer jokes; many of us went to law school to help underdogs. While we have to do some "regular" law to pay bills on our modest homes and Corollas, a lot of pro bono work is done. You just seem to hear about the baddies.
I'll skip the lawyer jokes.Because your little female dog life choice is such fertile ground for comedy
The first scammer to take advantage of the disaster was Mitt Romney, with his Non-Campaign Rally "rellef event" that really was a campaign rally, complete with fake canned food drive.
Yeah that is exactly what is going to happen. See above statement about not being a dumbass
Cameron,
I don't believe your post for one moment! Shame on you!
Was Ryan there fake washing dishes?
Cameron is actually telling the truth. Many articles out there about it.
There are indeed lots of article about it, blogs not valid news sources and they all cite back to one original blog with no facts to back it up
May these spineless scammers a.k.a vultures rot in hell.
Romney will in his magic underwear.
Seek out and beat,as in mercilessly,anyone convicted of taking advantage
Seek and Beat...I like that...catchy
Just like one sign said at a store. "If you Loot, We Shoot". They are all scum of the earth for taking advantage of the disadvantaged. Highway robbery of those injured physically, emotionally, and financially. Put all that scum under the jail, and throw away the key.
i'am a contractor in michigan, and been for 23 years' why doesnt the media tell the public how many contractors get scamed on there money, honest contractors! i have 17 leans on peoples properties, cause they give me a line of bull when they have to pay me the balance, its been going on for 6 years now, before when the economy was good people would get scared if i put a lean on there house, cause there property was worth more then what they owe now, they dont care cause if they owe 100,000 there house is only worth 50,000, before if they owe 100,000 there house was worth 200,000, ive been scamed over 63,000 this year, and its still not the end of the year,and i do excellent work! every one of my jobs' when i finish' is approved by inspection' and i get stiffed on the final balance,so there is alot of scaming customers!allso
They knew Obama was going back out to campaign. What did they expect to happen.
Travis == Yes your favoite liar does very much intend to cut FEMA. He wants to cut every, yes every Federal agency. He wants to eliminate many, including FEMA. Too bad, that way he can't appoint a horse trader such as we had under Bush. Yeah, Brownie you're doing a great job. Bush back slapping his FEMA director after Katrina. Then Brownie was forced to resign for failing to understand that FEMA did not buy and sell horses, but rather was intended to help people. At that point Brownie's Republican character took over. What me help people? Well under Romney you can expect more of the same.
You might alo want t rethink your contributions to the Red Cross. While the local chapters do very good work, your contributions firt go to pay the obscene salay of the Chairman of the American Red Cross at somewhere just under $400,000 per annum. That is far too much to pay for the head of a charity. This is exceeded ony by the head of UNICEF at $500,000 per annum. Remember, merely because the charity has namd itself after the United Nations, it has nothng to with it. Alo look at the contributions to the Red Cross. Ths organization has a habit of funneling conributions into other cases than the one for which they have made an appeal. In other words, money contributed expressly for Sandy victims, may not go to them at all. Give the money to your local chapter with the strict understanding it is to go to Sandy victims. Do not give money to the National office in Washington.
Scams, like Mitt Romney's fake charity scam event ?!!!
Romney will do anything to raise money then hide it in the Caymans. WOW!
The scum always comes out of the woodwork. And the pres has gone campaigning.
This is a national emergency. These scammers should be treated just like looters during a declared state of emergency: eligible to be shot on sight.
Disgusting and intolerable.