Fruad Example
Visa/MasterCard Fraud

This one is pretty slick since they provide YOU with all the information, except the one piece they want.  Note, the callers do not ask for your card number; they already have it.  Here is how the scam works:
Person calling says - "This is (name), and I'm calling from the Security and Fraud Department at VISA.  My badge number is 12460.  Your card has been flagged for an unusual purchase pattern, and I'm calling to verify.  This would be on your VISA card which was issued by (name of bank).  Did you purchase an Anti-Telemarketing Device for $497.99 from a marketing company based in Arizona?"
When you say "No", the caller continues with "Then we will be issuing a credit to your account.  This is a company we have been watching and the charges range from $297 to $497, just under the $500 purchase pattern that flags most cards.  Before your next statement, the credit will be sent to (gives you your address), is that correct?" 
You say, "Yes."
The caller continues - "I will be starting a Fraud Investigation.  If you have any questions, you should call the 1-800 number listed on the back of your card (1-800-VISA) and ask for Security.  You will need to refer to this Control Number."  The caller then gives you a 6 digit number. "Do you need me to read it again?"

Here's the IMPORTANT part on how the scam work.
The caller then says, "I need to verity you are in possession of your card." He'll ask you to turn your card over and look for some numbers. "There are  7 numbers; the first 4 are part of your card number, the last 3 are the Security Numbers that verify you are the possessor of the card."
These are the numbers you sometimes use to make internet purchases to prove you have the card.
The caller will ask you to read the last 3 numbers to him. After you tell the caller the 3 numbers, he'll say, "That is correct, I just needed to verity that the card has not been lost or stolen, and that you still have your card.  Do you have any other questions?"
After you say no, the caller then thanks you and states, "Don't hesitate to call back if you do," and hangs up.
You actually say very little, and they never ask for or tell you the card number. When a person tried to call back the real VISA Security Department, they were told it was a scam and in the last 15 minutes a new purchase of $497.99 was charged to their card. A real fraud report was made and the VISA account closed.
What the scammer wants is the 3-digit PIN on the back of the card.  Don't give it to them.  Instead, tell them you'll call VISA or Master Card directly for verification of their conversation.

The real VISA will never ask for anything on the card as they already know the information since they issued the card.  If you give the scammer your 3-digit PIN, you think you're receiving a credit; however, by the time you get your statement you will see charges for purchases you didn't make, and by then it's almost too late and/or more difficult to actually file a fraud report.

 
Justin Needs Bail Money

A lady received a call from Madrid, Spain.  The Caller said, "Your Grandson is in jail and needs your help." She replied, "Justin." (Now the bad guys have a name.)

From that point on they used Justin's name.  The bad guy told her he was Justin's attorney,"Please don't tell anyone.  Justin is ashamed and embarrassed. He needs $2500 now to get out of jail.  Again, don't tell anyone, Justin will pay you back." They gave her instructions for wiring the money to Spain.  She goes to her bank and draws out $2500, proceeds to wire the money to Spain.  She didn't sleep any that night because Justin is in jail in Spain.

(Justin's background: He works for an international company in Tulsa, married, and has two kids.  He doesn't do drugs.) 

Justin's grandma didn't try to call him, she didn't call Justin's dad (her son).  She didn't call Justin's sister who is an attorney.  Later she said she didn't want to get Justin in trouble.  The next day the bad guys call again.  "Thank you for the $2500. But it's not enough to get Justin out of jail.  Please send another $2500 to the same place." She goes back to the bank, draws out another $2500.  Her bank asks her questions, but she didn't want to get Justin in trouble plus it was her money so she didn't tell them anything.  She leaves the bank and heads to wire the money.  The bank calls my brother.  Did I tell you this is my Mother I'm talking about?  My brother gets to her before she arrived at the Western Union office.  She
is now mad at all of us because we are not telling her the truth and Justin is still in jail.  My brother had a melt down at that point.  I mailed her the article from the AARP about this scam.  She said you probably made that on your computer. 

Elaine Dodd, who is the Vice President of Fraud train for the Oklahoma Bankers Association said in a recent> article in the Oklahoman date 7/16/11 that "if they're determined to be scammed, there's nothing we can do about it.  Some people we can get stopped.  Others we can't."

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