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Scam Alert: Popular Online Scam Tricks You Into a Costly Membership

What ever happened to businesses behaving ethically?  The old saying "What's good for the customer is good for the bottom line" is a thing of the past for too many businesses these days.

Why is it that these days someone has to get hauled before Congress or threatened with new regulations before they do right by customers??

This week three major internet companies--Affinion, Vertru and Webloyalty--were slammed by a Senate committee for tricking online shoppers into signing up for subscription services online.

If you are doing any holiday shopping online this year, this scam alert is especially timely.

Here's how it works...you are online buying movie tickets, flowers or some other item.  Before you complete the sale, an offer pops up that promises you $10 cash back on your next purchase or some other reward.  These offers usually look like they are from the company you are doing business with, not some third party you don't even know.

Now here's the scam--when you click "yes" or "continue," you are right then and there entering into a contract with one of these three companies for a membership club.  The credit card information you just entered for your purchase is passed along to the new company without you having to re-enter it or even being told it is happening!

Unsuspecting consumers often don't even realize they have signed up until they see the monthly charge start showing up on their credit card bill!

More than 450 companies have partnered with these three firms, so if you are doing any online shopping this holiday season, chances are you will see one of these offers!

Don't fall for it!  Just close out any pop up or click "no thanks" on any "special" offers like this.

Read More In: Family & Money

Ken and Daria Dolan have hosted their own national radio program for 22 years, anchored their own television shows on CNN, authored six books on money matters, served as money contributors on CBS This Morning and have now launched a comprehensive web site and free e-letter at Dolans.com.


Tags : Scam Alert

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Survey Says

Discussion:    Add a Comment | Comments 1-3 of 3 | Latest Comment

November 28, 2009 6:01 PM

I guess I should not be surprised considering things I have seen even among small businessmen. Of course not all are that way but I believe in general, business has lost a great deal of trust with Americans and part of the reason the Left got in during the election.

December 19, 2009 7:35 PM

Send out a warning that many men are being scammed from certain dating sites. These women pretend to be your friend, and ask you to send money or cash phoney checks or fake money orders.
Many of these women post lovely photos begging to come to America.

December 21, 2009 12:07 PM

I met a lady through an associate. The lady I met will be called Ms. A. Ms. A told me she could reduce my mortgage on my home and pay off all my bills. I had questions about her being able to do all of this. She later started talking with my husband. My husband understands and speaks very little English. When I was at work she would visit my husband, speak to him in his native language. She took him to a bank where she is well know, got him to take out a $7,000 loan, bought expensive purses and other items on my husband's credit cards. Then she moved, told us if we call the police, my husband would be arrested because he defaulted on the loans and credit cards. We had to file bankruptcy. I would like for this lady to be caught. So she will not swindle anyone else.

Discussion:    Add a Comment | Comments 1-3 of 3 | Latest Comment

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