Protect Yourself From Financial Scam Artists
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If you’ve felt like you’ve been taken sometime during this recession, join the crowd. Bernie Madoff may have been a prominent scam artist that got caught, but there are bound to be hundreds more that are still out there trying to swindle money. The fact is that as times get tough, many people do try to scam other people as a way to generate income, and sometimes it can be hard to tell who the good guys or the bad guys are as greed takes a hold. For your protection, always deal with others in a business-like and professional manner to help you avoid being scammed, especially in your financial dealings where money is involved.
Do Your Due Diligence
Whether you’re hiring someone, getting hired, or signing a financial contract, always do your due diligence. Even if the person you’re dealing with seems above reproach, it doesn’t hurt to run a background check on them or their company. Read all the fine print, and send a copy to your lawyer to verify whether it’s a sound deal. Even long term relationships can stand a little scrutiny as those people may try to add additional fees to your service, without your consent. Don’t assume that because you’ve had a long-term financial relationship with a company or person, that they don’t need to be re-evaluated on a yearly basis. It can help save you money in the long run.
Get It In Writing
It can’t be stressed enough, but all financial dealings should come with contracts that explain the terms of agreements. The contract should read exactly as it was discussed on the phone, and it should be reviewed by your legal representative in cases where the loss could be substantial if the contract is incorrect or fraudulent. Never sign anything you don’t understand.
Don’t Give Out Personal Information
If someone on the phone calls you and asks for personal information, even if they say they are a company you do business with, tell them you don’t give that information to people over the phone. Even credit card companies will not ask for your full number, as they only need the last four digits. Don’t use your personal information for online passwords and keep your private life private on social networks. Don’t offer up social security numbers or anything that can compromise your financial life without just cause.
Get Financial Protection
If you have various accounts, it would be a good idea to get a credit monitoring service. These services are offered by the credit bureaus to make sure no one steals your identity and uses your lines of credit to stick you with fraudulent purchases. Notify your lenders and banks in the event that a breach in your identity or security is recognized. They will be able to tell you how to modify your accounts to help reduce the possibility of theft, whether in the form of money or your identity. Put in place precautions and policies to make sure the breach doesn’t happen again.
This entry was posted on Thursday, October 22nd, 2009 at 9:35 am and is filed under Insurance. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.
