W
Pricing Scams by
the AT&T, MCI, Pac Bell and Dialfreecalls.com. |
Nature of the Scam.
Undertaking massive advertising campaigns,
promising low rates for both domestic and international calls, including low
rates on phone cards but charging phenomenally higher rates in reality, never
fixing the problem, ignoring the customer, and allowing no effective way for
customers to reach customer service.
Example.
AT&T advertises 55 cents/minute for calls
to India. In reality, it charges over $3.25. What's more, even this rate varies
from customer to customer prompting one to wonder whether billing is
entirely at the whims of the company. The fraud of this nature by AT&T is
particularly rampant and Indians are specifically prone to falling prey to it.
At the time of arriving in this country, they have little knowledge of the
relative respectability of different telecom companies, and knowing that
AT&T is large they infer by implication that it also must be honest.
There are innumerable examples of Indians having been ripped off this way. Read
about some of the incidents here,
courtesy www.path2usa.com.
Another example.
Here is a quote from one of the typically
fraudulent advertisements by the AT&T. This one relates to domestic calls.
"We can now give you 5 to 7 cents per minute long distance rates to
anywhere in the country, 24 hours a day, 7 days a week -- no restrictions,
unlike before. In addition, if you change over today, we will credit ALL
transfer fees with your telephone company, and give you 60 free minutes per
month anywhere in the U.S., in the first 3 months -- total, 180 free
minutes."
In reality, they charge 82 cents per minute with a $3.00 connection fee. Find it
unbelievable? Read all about it here,
courtesy www.bestfrauds.com. This portal
calls
it "the biggest fraud of 2000".
What's particularly disgusting and infuriating is that they despite innumerable
calls, letters, threats, petitions, they make it a point not to correct it,
making one believe that all this is perfectly systematic and organized. Similarly,
MCI promises calls for 30 cents a minute to India, but in reality charges $1.19.
Read about the expereinces of some of the Indians here,
courtesy www.path2usa.com. Fraud
by Dialfree.com. Nature of the fraud.
Dialfreecalls.com promises five free domestic calls
worth 30 minutes each per month and low rates for subsequent calls. Visit www.dialfreecalls.com
and see for yourself how convincing they appear.
In reality, they charge over $3 for domestic calls.
So members, please do not succumb to this red herring by this unscrupluous
organization.
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Do
Nature of the scam.
The "809" scams come in various guises
but in a nutshell, they all involve a message to you (either by email,
phone or pager) asking you immediately call a number in the "809" area
code to avoid some bad consequence (such as litigation, or to receive
information about someone who has been arrested or died) or to gain some benefit (such as winning a wonderful prize).
The Catch.
The area code 809 belongs to the Carribean. People
dialing this code do not know they are making an international call because the
809 code looks quite like a US area code. The rate
charged is very high - reportedly over $25 per minute. The person
answering the call naturally keeps the caller engaged for as long as he can.
Students have been particularly susceptible to this fraud. Read about the
experience of a student here,
courtesy Rice University.
Members, please be very careful returning phone numbers to area codes you
don't recognize, especially when you receive calls, emails or pages with urgent
messages that you call these numbers. Call your long distance phone company's
operator to find out where the area code is located (or look it up at www.555-1212.com),
and only call numbers that make sense to you.
Listed below are some of the pay-per-call numbers in the Carribean we came
across.
Please note that the list is not exhaustive and they may be many more
pay-per-calls numbers in the Carribean. Our intention is to apprise you with the
scope of the problem.
Antigua / St. John
268-404-4000 to 404-6999
809-404-7411
Dominican Republic
809-404-4000 to 404-6999
809-412-0785 to 412-0787
809-412-0960 to 412-0964
809-414-1000 to 414-1499
809-470-0000 to 414-1949
809-474-0001 to 474-9996
809-476-0105 to 476-0112
809-476-0131 to 476-0135
809-476-0314 to 476-0319
809-476-1001 to 476-1020
809-476-1200 to 476-1229
809-476-1350 to 476-1399
809-476-1400 to 476-1446
809-476-1600 to 476-1629
809-476-1765 to 476-1796
809-476-1930 to 476-1999
809-537-0300 to 537-0899
809-540-5000 to 540-5199
809-563-0000 to 563-0199
809-563-0300 to 563-0699
809-563-9000 to 563-9199
809-563-9300 to 563-9899
St. Vincent
809-456-0000 to 456-9999
809-457-0000 to 457-9999
809-458-0000 to 458-9999
809-485-0000 to 485-9999
809-490-0000 to 490-9999
809-493-0000 to 493-9999
An additional pay-per-call number scam.
Nature of the scam.
Some 800 numbers reportedly roll over to "809" and other foreign
"pay-per-call" numbers with little or no warning.
How it works.
You see an ad on the Internet or in a newspaper for an overseas job opportunity
as a "secret shopper" or a "mystery shopper." You call the
listed 800 number to either learn more or to apply for the job. You are left on
hold for 15 to 20 minutes. You are either warned that the call is being rolled
over to a toll call, or you're not warned. However, even when people are warned,
they don't realize that the roll over is to an international,
"pay-per-call" number. When you are finally connected, you're told all
the positions have been filled. When you receive your phone bill, you have a
very large charge.
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I have
Phone Scams Related
to Downloads from the Internet. |
Nature of the scam.
You are enticed to download software from the internet. Once the software is
installed, it takes over the computer's modem, disconnects it from the existing
ISP, and calls and connects to an international number all of course without the
knowledge of the user. Before dialing, it mutes the computer's speakers, so you
don't suspect a thing.
How it works.
People surfing the net come across advertisements at sites like
www.beavisbutthead.com or www.sexygirls.com for "all nude all free"
pictures. The catch? They have to download special Windows 95 software. Once the software is
installed in the home computer, it cuts
off the local internet service provider, such as America Online or CompuServe,
and dials a number in the former Soviet republic of Moldova, in Eastern Europe.
People continue to surf the Web, not knowing they have been switched to a
foreign line at toll charges of $2 to $3 a minute. Even when they log off, the
modem keeps the connection - running up the phone bill - until they turn off
their computer.
Profits are shared between the Moldovan phone company and the scam artists.
Another downloaded related scam.
If you search the web looking for free internet access, you might come across an
organization by the name "action" which promises free internet access
provided you download their dialer.
On dialing using it, you are connected to a server in the country of Vantuatu.
This server hosts adult entertainment sites.
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My
Frauds Related to
Phone Cards. |
Here are the results of a survey of phone cards
conducted by Attorney General, Dennis C. Vacco, as reported by the Better
Business Bureau.
"- Many prepaid phone cards do not disclose the information, especially
information about their rates, necessary to enable consumers to make informed
purchasing decisions.
- Of the 14 cards tested, most made express promises of substantial savings,
and most failed to disclose the basis of the claimed savings.
- The quality of the service provided can vary dramatically among prepaid
phone cards. Some cards provide excellent service. With others, consumers may
encounter trouble connecting to their call or with the quality of the call.
Still others charge for uncompleted calls or turn out not to work at all.
- There are also significant differences in the features provided by prepaid
phone cards. Some cards provide no extra features, while others provide
consumers with such benefits as the ability to proceed in different languages,
speed dialing, the ability to be recharged to add additional value and
protection against loss.
- Additional benefits often come at a price. The more features a prepaid
phone card has and the more information it provides its users, the more
expensive it tends to be."
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Would
Frauds
Related to Free Phone Cards. |
Nature of the Fraud.
You are enticed to give away your email address and other personal
details (including possibly your credit card number) in return for
free domestic phone card upto 50 minutes of calling time.
The Catch.
The free card invariably never materializes. Instead, what you get
is a barrage of emails and/or phone calls from marketers.
Examples.
The following "free" phone cards are being advertised at
the moment:
1. 50 minutes of calling time from YesFree.com
2. 55 minutes of calling time from 101FreeCalls.com
3. 5 free calls worth 30 minutes each per month from DialFreeCalls.comThe
Reality.
1. YesFree.com asks you are asked to furnish your postal address, birth
date etc. Once you have filled out the form, there is no mention of
the card, simple as that.
Check it out for yourself, here!
2. At 101FreeCalls.com, you are asked to supply your email address
under the pretext of their sending to you a weekly e-zine containing
"free offers and special gifts". Once you have given away the email address, you are asked to fill out a long survey
(involving more personal questions) for five minutes of calling
time! (We gave up at this point). For the remaining 50, it asks you,
simply, to visit tel3.com (the latter is a genuine free phone card
provider, though. Check it out in the free
cards section.)
101FreeCalls's gimmick is all for you to see, here!
3. We have mentioned about DialFreeCalls.com earlier. In a nutshell,
Dialfreecalls.com promises five free domestic calls
worth 30 minutes each per month and low rates for subsequent calls. Visit www.dialfreecalls.com
and see for yourself how convincing they appear.
In reality, they charge over $3 for domestic calls. Read
about the experience of one of our countrymen here,
courtesy www.path2usa.com.
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pumps
Things
to Explicitly Watch Out for While Buying Phone
Cards. |
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- Date of Expiry.
Many phone cards have an expiry date. Normally this
begins the first time the card is used. You can call up
to the value available on the phone card until you reach
the cutoff date. Typically ranges are 14 days, 30 day,
six months, or one year. Generally all unused minutes
are lost when the card expires. (This is not always the
case and on some cards lost minutes can be recouped by
upgrading)
- Billing Increments.
This is the minimum call duration and the increment used
to calculate the call cost. Typically calling cards have
a one minute minimum. Beware the cards that have minimum
times of two to three minutes. You should consider cards
that have a 60 second minimum and have a low billing
increment. Low billing increments start at 1 second.
- Rounding up.
Incomplete time increments are always rounded up to the
next highest time unit. So if your time increment is 3
minutes and you make a 4 minute call - you will be
charged for 6 minutes.
- Surcharge.
This is discussed above. For the sake of completeness
cards that have a very cheap per minute rate often have
a very high connection fee or surcharge. Making short
duration calls with this type of card can be very
expensive. You should use this type of card to make long
duration calls particularly to International
destinations.
- Delivery charge.
Calling cards come in three forms:-
- 1)Actual plastic phone card
- 2)Actual plastic phone card and an e-mail PIN
- 3)PIN only (no plastic)
There CAN be a delivery charge if you are going to get
the plastic variety. Normally this is the USPS cost but
it could be courrier charge. Do not buy low value cards
if there is a delivery charge.
- Finance Charges.
You can pay for calling cards by all the traditional
methods. Sometimes there is a financial charge - for
example if you are buying a $20 card there is no point
in paying a $15 charge for the privilege of paying for
it by wire transfer. Do not buy low value cards if there
is a finance charge. You will not be getting a bang for
your buck.
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