The Utility Scam

[jeffrey]

The BBB is warning about a growing in popularity scam that targets consumers and their utilities bill. Basically, scammers claim that they are from a utility company and that a bill has not been paid. In order to not have the service shut off, the consumer is instructed to purchase a prepaid debit card and then asked for the number to pay off the bill. The debit card is then drained of all the money on it.

If you are asked to pay by prepaid debit card, this should instantly be a red flag. It is the growing method that scammers are asking for payment because the wire transfer companies have tightened their fraud prevention and they require no photo ID to use.

Three red flags to this scam from the BBB

1. You're asked to pay with a prepaid debit card. If scammers insist that this is the only way to pay (not by credit card or check), it's a scam.

2. High pressure tactic such as threatening to immediately shut of the utility if payment is not made right away. If they make this claim, hang up and call the utility's customer service number to make sure you're speaking with a real utility representative.

3. Never let anyone claiming to be a utility employee into your home that you have not scheduled an appointment with. If someone claiming to be from the utility company comes to your door, ask for identification and then call the utility's customer service number to confirm that this is a person sent by the company.

http://homes.yahoo.com/news/new-utility-scam-to-beware-of-214834097.html

[mariko]

Red flag, indeed! If the caller is legit, he would have directly taken the off from the payment method you have on their file. And there'd be no need for them to call you.

So if somebody calls about unpaid bills, it's suspicious.

[mariko]

Besides, the scam is already exposed. At Callercenter alone, several complaints have been posted, raising a warning to everybody. The phone numbers reportedly used by the scammers are also included so people know whose phone call not to accept.

[Blessed]

We have had one in our area looking like it came from our city water department. They want $4.95 a month to cover any damage from the street to your house. It is not coming from our city at all when you inquire. I wonder how many vulnerable people just assume it is from the city and sign up for the direct debit?