Prize Scams: Warning Signs And How To Avoid Them

Everywhere in the world, the need for money has made people vulnerable to prize scams and many fantasize about winning big prizes. Winning would be nice, imagine going on that vacation you’ve wanted so bad but this is what attracts scammers. Prize scams are pretty much ancient but it’s unfortunate that so many individuals still succumb to them. There are certain approaches to avoid prize scams and we’ll share them here including what to do if you’re a victim of these scams.

What is a prize scam?

Prize scam is a form of fraud that has become so widespread and alarming nowadays. A prize scam is when you receive an unusual phone call, message, letters, pop-ups, or email from fraudsters who claim that you’ve won a prize. It could be a huge amount of money, a new car, an iPad, or a dream trip you’ve fantasized about. 

Prize scam warning signs

Here are some signs to look out for in order to avoid prize scams:

You didn’t sign up for it. How can you win a prize you know nothing about and you weren’t even participating in. You receive a phone call and they’re so convincing? First, ask yourself when you signed up for it and how. If you didn’t then they’re just scammers using persuasive language to lure you into giving them confidential information so they can scam you.

Coercion to act instantly. A scammer will put pressure on you to act before you lose your win and even use threats. If it’s a phone call they’d even tell you not to hang up so you don’t have time to check any details or confirm if it’s legitimate.

Paying for your prize. Why is it a prize if you have to pay for it? If they ask for shipping fees, processing charges, taxes or any form of fee concerning the prize they claim you won, it’s a scam.

Asking for your personal or financial information. It’s definitely a prize scam if they ask for confidential and financial details. Don’t allow them to lure you into giving any personal information.

Phish surveys and prize giveaways. Be on the lookout for these. Scammers post surveys or prize giveaways on social media asking people to promote, follow, or like their merchandise and then propose to send you cash/prize. It’s a scam and they’ll lure you into giving them your confidential information. 

What to do in case you are a victim of prize scams

If you’ve been scammed and may have given your bank information,  ensure to call your bank or the wire transfer company immediately. When you act quickly they may be able to reverse your money. You can also report to the police in your area or the consumer protection office and see if there’s anything they can do. This might help catch the scammers. 

Sadly, prize scams aren’t going anywhere soon, nonetheless, stay watchful, continually verify all the accessible data, and be very keen. 

Lost any funds to prize scams? Please start with our FREE CONSULTATION  to start your journey towards recovering your funds.

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