The Better Business Bureau is hearing from consumers who are receiving phone calls indicating they have won a lump sum amount of $3.5 million. But before funds are made available, the scammers instruct their victims to wire $25,000 cover insurance costs.
Consumers report that they were skeptical and asked for written proof that they indeed have won the money. Their requests are answered with a faxed letter that appears to be from Bank of America that references the Better Business Bureau and the city of Las Vegas. Included with the letter is a copy of a cashier’s check made out to the victim that appears to be drawn from Bank of America.
The letter states, “This is to certify that Better Business Bureau is being a customer with U.S. Bank. We <Bank of America> satisfactorily maintained an account with the current balance of $3,500,000.00 US DOLLARS, with a pending balance of $25,000.00 US Dollar for insurance before the funds is made available to (the victim’s name) attention through Bank of America.”
The letter goes on to say, “This letter has been issued for the purpose to show proof that we withhold the above sum of money mentioned.”
To appear legitimate, the letter contains Bank of America, BBB and the city of Las Vegas logos throughout and displays inaccurate return addresses for Bank of America as well as the Council of Better Business Bureaus.
If you get a call telling you that you are a winner, look for these red flags:
- Remember lottery tickets must be purchased. Sweepstakes usually involve application paperwork that you have completed. Government grants have a thorough application process as well.
- Don’t pay any money to collect supposed sweepstakes winnings. If you have to pay to collect your winnings, you’re not winning — you’re buying. Legitimate sweepstakes don’t require you to pay insurance, taxes or shipping and handling charges to collect your prize.
- Hold on to your money. Scammers pressure people to wire money through commercial money transfer companies because wiring money is the same as sending cash. When the money’s gone, there’s very little chance of recovery. Likewise, resist any push from the caller to send a check or money order by overnight delivery or courier. Con artists recommend these services so they can get their hands on your money before you realize you’ve been cheated.
- Remember that phone numbers can deceive. Internet technology allows con artists to disguise their area code so it looks like they’re calling from your local area. But they could be calling from anywhere in the world.
- The name on the check does not match the name of the company or person the consumer is dealing with.
- A lottery application or win announcement comes via telephone or mail from outside the country.
- The letter, fax or email is full of grammatical and spelling errors.
- The caller is pressuring for personal information.
For more information or to report suspicious solicitations, go to wynco.bbb.org.