Financial transactions are a major part in the lives of individuals in Alabama and elsewhere. Being a consumer is commonplace, whether it is at a store or on-line, and dealing with consumer debt is unfortunately also fairly common. Thus, those overwhelmed by consumer debt seek different avenues to address or eliminate their consumer debt. Because many want to avoid the bankruptcy process, some fall victim to debt elimination fraud.
It is important for everyone to understand what consumer fraud is and how to avoid it and protect from it. There are a variety of different types of consumer fraud that include scams and other efforts to obtain financial information or cash from consumers.
As online activity becomes increasingly common, fraud and theft can increase as well, unfortunately. Because of this, it is important to know how to stay safe online, which begins by understanding what identity theft is and what it refers to.
The rate at which Alabama consumer fraud is increasing year-by-year is staggering. In a study, it was discovered that fraudsters are becoming much more technologically advanced, with the vast majority of crimes taking place online. These hackers are often untraceable, and may be located anywhere in the world. Unfortunately, many are never identified and brought to justice.
In the fifth and final installment of our consumer fraud series, we are going to discuss high yield investment fraud. Although it can happen to anyone, this type of fraud is more common among those in a higher income class. In addition, victims can be non-profits, charitable organizations, or even municipalities. The reason is that those individuals or organizations are more likely to show interest in a high yield investment opportunity.
So far in our consumer fraud series we have learned about three different types of fraud: identity theft, phishing, and cashier's check fraud. We know that there are numerous ways scammers can steal information and use it for fraudulent purposes, and we have identified some specific scenarios in which the theft could take place. This week, we are going to focus on a fourth type of fraud known as fictitious or unauthorized banking.
In the third week of our consumer fraud series, we are going to talk about what is known as cashier's check fraud. This form of fraud is becoming increasingly prevalent due to the length of time it can take for a bank to determine that a cashier's check is fraudulent.
Last week, we talked about a type of consumer fraud known as identity theft. We discovered how it can happen and what signs to be aware of. This week, we are going to focus on a second type of consumer fraud known as phishing.
Unassuming parties become victims of consumer fraud every day, all across the nation. Over the next few weeks, we will identify five of the most common types of consumer fraud, as well as discuss how they happen and what you can do to protect against them.
Banks are an American institution, dating back to our earliest history. Then and now, we need a place to keep our money and sensitive information private and protected. While many banks do a great job of this, sometimes, a bank might not be upholding its responsibility to consumers. When this happens, one may want to file a complaint against a bank.