Fred Harteis News Articles - Think of a headline about the financial crisis, and criminals have found a way to exploit it. Bad credit? Bank problems? Home foreclosures? Each of these, and many more, comes with a matching scam, helping make today one of the most fertile periods ever for rip-offs. What follows are descriptions of today's most prominent scams -- or at least those we know about.
Foreign Currency
The dollar's volatility has led to a rash of currency con games. The hook is simple: A criminal promises high -- and often outlandish -- returns from foreign-currency trading. For example, in May 2008 the SEC charged Las Vegas-based Gold-Quest International with running a Ponzi scheme that raised more than $27 million from 2,100 investors by promising profits of 87.5% from trading foreign currency.
Energy
As energy prices soared for most of this decade, scams involving oil-and-gas deals made a big comeback, says the North American Securities Administrators Association. In one such case, the SEC recently charged Donald Allen of Colorado Springs and his two companies of defrauding investors by diverting for his personal use more than $2.3 million raised in a series of oil-and-gas deals.
Debt Negotiation
With average household debt at record highs and personal bankruptcy rates rising, it's no wonder more people are reaching out for help with their debts. It's tempting to pay someone who promises to make creditors go away. But some debt-negotiation companies counsel their clients to ruin. For example, the Federal Trade Commission last fall censured four companies that falsely claimed they could reduce clients' debts by up to 60%. The companies had also advised clients to stop paying their bills without telling them they could be sued by creditors. You can find a legitimate credit-counseling agency at www.nfcc.org or http://www.nfcc.org.
Mortgage-Foreclosure Rescue
More than half of homeowners who are late on their mortgage payments aren't aware that lenders have programs to help avoid foreclosure. People who don't know their options can fall prey to crooks who charge $1,000 or more for fraudulent foreclosure-avoidance services. If you have mortgage problems and your lender can't help, you have alternatives. Find a housing-counseling agency approved by the U.S. Department of Housing and Urban Development (links are listed at www.hud.gov). If you're worried about foreclosure, contact the Hope Now Alliance (www.hopenow.com or 888-995-4673).
Bank Phishing
Popular phishing schemes -- e-mails designed to get you to relinquish private security information, including your Social Security number -- falsely tell you your bank has been acquired. The FTC gives this example: "We recently purchased ABC Bank. Due to concerns for the safety and integrity of our new online-banking customers, we have issued this warning message ... Please follow the link below to renew your account information." Phishers also target mortgage accounts using similar pitches.
Source; Aol.com
About Fred Harteis: Fred Harteis leads Harteis International. Fred Harteis has a background in agriculture and has created many successful business ventures.
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