While there’s an internet there will always be scams and dodgy dealings and where you find these you also find the potential for losing your hard earned money. Scams, lies, rip-offs and dodgy dealings come in all shapes and sizes and even though I mention the internet, this isn’t the only place to watch out for them – they are also rife on the high street and in places you’d never think to look. So how do you spot a scam and how do you avoid losing money to the charlatans of this world?

Things to watch out for

Scams and rip-offs are plentiful in today’s world. Some however are legal and to most they may not even seem like a rip-off. Examples of totally legal scams and rip-offs include restaurant service charges, credit card surcharges, booking fees on ticket hotlines, directory enquiry charges, fee-charging cash machines, savings accounts that charge you to withdraw your money and insurance-switching fees. Obviously there is no real way to get round most of these rip-offs but they are worth keeping in mind.

Then there are the scams, lies, rip-offs and dodgy dealings that just about class as ‘legal’. These include things like the ‘guaranteed winner’ lotteries that want you to phone their premium rate number and spend £10 finding out you’ve won a rubbish camera, the diet pills that allow you to lose tens of pounds without lifting a finger and the Pyramid schemes that reportedly make you thousands of pounds a month – providing you’re at the top of the pyramid. These should all be taken with a pinch of salt and hopefully most people realise they are scams by now.

And then there are the illegal scams and dodgy dealings that fraudsters have the gall to try. Unfortunately though people still fall for their lies and schemes and end up losing quite a lot of money in the process. Some of the more common illegal scams include the phoney emails from your bank asking you to confirm your log in details and passwords, the ‘work from home’ adverts that ask you to send a set-up fee before starting work and the winning lottery ticket that requires you to send a release fee before you can claim your winnings.

Spotting a Scam

Scamsters are becoming more and more cunning and likewise their scams are getting more and more convincing. You should watch out for anything that seems too good to be true – such as winning the lottery you never entered – and schemes that are offering you something for nothing, including the chance to invest in a new scheme that will make you millions over the next few years. It’s good to be sceptical in these situations.

You should also watch for people who ask for money up front or your bank/credit card details, especially if you have never heard of them before they phone you out of the blue. Use your head and think before you do anything – and assume it’s a scam unless they can prove different.