Stimulus Scam

With talk of multi-billion dollar stimulus plans ruling the news, it's no surprise a new round of stimulus scams are afoot. Scam artists are already using luring headlines to reel in unsuspecting consumers. You've possibly seen the ads - they feature photos of President Obama and Vice President Biden and claim anyone who applies can get free money. They claim the stimulus package provides for easy-to-get grants for virtually anyone who registers. They offer compelling testimonials describing people who used grant money to pay off their mortgages or fix their homes. The Federal Trade Commission is warning people the promise of stimulus money in return for a fee or financial information is always a scam.

There's more than one way to perpetrate a stimulus scam and the FTC offers this advice to protect yourself:
 

• Free is free. Some scam artists ask you to send a small processing fee, supposedly to get a much larger check in return. That's money you'll never see again. Even if they tell you that you'll only need to pay $1.99 for membership, don't do it. Scammers often bury fine print on their sites and can charge you hefty fees if you don't cancel your membership.
• Beware if someone asks for your bank account number so they can "deposit" your check. They can use the information to clean out your account or open new ones using your identifying information.
• Some stimulus scams encourage you to click on links, open attached forms or call phony toll-free numbers ---- which can install harmful spyware software, on your computer.
• If you get a message offering you money from the stimulus program in exchange for your personal information, ignore it, delete it or throw it out. Don't trust a rebate company claiming to have stimulus payments for you.
• Remember, the Internal Revenue Service doesn't send stimulus e-mails like this asking for personal information. If you get an unexpected e-mail claiming to be from the IRS and asking you to call a number or e-mail back personal information, forward it to phishing@irs.gov, then delete it without clicking on any links or opening any attachments.
• The government doesn't charge people to apply for a grant or to get a list of grants. If you want to apply for a government grant, check out the free list at www.Grants.gov .

 For more information, visit www.ftc.gov/bcp/edu/pubs/consumer/alerts/alt125.shtm .