Avoiding the Latest Email Scams

It's bad enough we have to deal with the usual spam in our email boxes every day, telling us we can lose weight by staring hard into a mirror, become millionaires by snapping our fingers and enlarge certain parts of our body (regardless of our gender). Scams, hoaxes and other illegal schemes have always been a part of the package ever since the Internet became mainstream, but in recent years they've taken a more sinister turn, proving to be a very real threat to our bank accounts and lives. Not even our own identities are safe. While hindsight may be 20/20, it's far better to know what to look for ahead of time so you can avoid any trouble in the future. Familiarize yourself with the latest scams and you won't fall victim to them.

The most common scam is known as the pyramid scheme; like its offline counterpart, the email requests that you pay a membership fee or just invest your money with the assurance you'll reap a profit several times over. The idea is that those who pay a membership fee or invest in the business after you will be the ones paying your profit, just as your investment was paid to those ahead of you. In other words, the closer you are to the beginning of the scheme-the "top" of the pyramid-the more money you get. The problem is, eventually the scheme crumbles for lack of new members, leaving many patient investors at a loss. While you might think these scams are easy to spot, not all pyramid schemes ask you for money: some will offer to pay you money in return for sending "advertisements" to a specified email list. Even if they tell you the recipients have all requested the mail, the truth is you're now an accomplice in their scam and will be considered a spammer.

Another, more subtle (and more insidious) scheme comes in the form of an email that looks like it came from your bank or a company you know and trust. A link in the email takes you to a page with the message that you need to verify or update the information on your account. But it's what you don't see on the page you're filling out that makes it a scam: a keylogging program that captures the sensitive information you've just typed and sends it to the thief. Within minutes they have your password, social security number, credit card information and anything else you've disclosed on the form. This is called "phishing". The scam preys on your fear of having your account closed and urges you to take care of the situation immediately, without verifying that the company really did send you the email. The best way to protect yourself in this situation is to never under any circumstances click on a link in the email; instead, log on to the company's website in a separate window and check to see if your account actually does need to be verified or updated.

Perhaps the most deadly scam in existence today is the Nigerian, or 419, scam (419 referring to the corresponding code in Nigerian criminal law.) What starts as a benign greeting quickly becomes much darker, and has even taken the lives of a few victims who became involved with dangerous criminals as a result. The email pretends to be from a political or governmental figure, or the relative of an exiled ruler who needs your help transferring a great deal of money into your bank account. In exchange for your help they'll give you a hefty reward, often to the tune of several million dollars. In reality, the letter is an attempt to get your bank account information and turn you into an unwitting accomplice; the victim now becomes the felon. Some are so bold they'll ask you outright for a fee of some sort or a "gift of good faith". Never forget that a majority of these scammers are professional and know all the tricks to lower your defenses, going so far as to offer official-looking documents to "prove" their authenticity. If you've already fallen for this scam, or have corresponded with someone who sent you a 419 scam letter, contact your local authorities immediately; the FBI has a special interest in keeping Americans safe from this deadly scheme.

As with any potential scam in life, keep the following phrase in mind: when in doubt, throw it out. Delete anything that looks like spam or get an automated spam filter. It's better to delete the occasional authentic business opportunity rather than fall victim to a well-plotted scam.