Credit Card Debt Scams

Welcome back to Fraud Fridays!

Today, we will be talking about Credit Card Debt Scams. Otherwise known as, Credit Repair Scams.

How it works: Fraudsters will offer to pay off your bills and will do so with fraudulent funds. Sometimes it will be your credit card bill, but it can be any bill that can be paid online. Once they "pay it off," they will ask you to send them money or purchase items for them. The fraudulent transaction will be reversed in the future, and you will never be able to keep the money. This scam happens on sites like Craigslist, Twitter, Instagram, and also some dating sites, including SeekingArrangement.

Fraudsters may also falsely promise to negotiate with their creditors to settle or otherwise reduce consumers' repayment obligations. These operations often charge cash-strapped consumers a large up-front fee, but then fail to help them settle or lower their debts – if they provide any service at all.

The FTC and FCC have wonderful pages on their websites about Credit Card Scams that I would recommend if you wish to read further!

Come back next Friday for another dose of knowledge!