BBB | Greater MD reminds consumers to be on alert for "mystery shopper" or "secret shopper" scams. In this scheme, fake checks are sent to consumers with instructions to cash the check at their bank, shop at certain stores and report on their service, then wire a portion of the money back to the "company."
The most recent Maryland secret shopper scam emerged using the false address of 660 W. Redwood Street, Baltimore, MD, 21201. This is the same address used by Master Research, a multi-tiered mystery shopper scam that targeted people nationwide in late 2007/early 2008. In both cases, the consumer was instructed to go to Wal-Mart to wire the money.
In the past, BBB reports indicate fraudulent checks used in these scams can range from $1,000 to $4,000. Usually, the shopper is instructed to keep a portion of the check as compensation for their time and service. Victims have told BBB once the money is wired, they soon learn from their bank the check was returned and is likely fraudulent. Unfortunately, the consumer is still held responsible for their own transactions, including the wired money.
BBB heeds Marylanders should not cash checks from businesses or individuals they do not know unless they have done homework.
"Whether it is a secret shopper scam or a scheme sweepstakes, fake checks look like the real thing, but are used to fool you into the impression you aren't losing any money. This is a tactic that has successfully picked the pockets of far too many and unfortunately we see no indication the scheme will stop anytime soon," says Angie Barnett, president & CEO of BBB | Greater MD.
BBB and MD Attorney General's office offer tips to help you evaluate the legitimacy of checks you receive from individuals or businesses you do not know:
- Independently verify the check is drawn from an actual account at a legitimate financial institution.
- Do not rely on the telephone number listed on the check. Use directory assistance to get the telephone number of the financial institution and call them to verify the check.
- Do not rely on the money until the funds have been collected by your financial institution - this can take five or more business days. Funds 'available' is not good enough.
If you have questions about whether a transaction is legitimate, talk to your bank or credit union. For more tips and to file a complaint or report an experience concerning counterfeit checks, go to this FBI site: http://www.ic3.gov. To check a business Reliability Report and to find trustworthy businesses, visit www.bbb.org.
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