Myth Busters: Dispelling Myths about Fraud

There are all sorts of myths, half-truths and misconceptions flying around when it comes to fraud. Below we list a few common myths out there. Busting these common myths will minimize your chances of being scammed.

• All companies, businesses and organizations are legitimate because they are licensed and monitored by the government: This is not always true. While there are rules about setting up and running a business or a company in Canada, scammers can easily pretend to have approval when they don't. Even businesses that are licensed could still try to scam you by acting dishonestly.
• All Internet websites are legitimate: This is not always true. Websites are quite easy and cheap to set up. The scammers can easily copy a genuine website and trick you into believing it is legitimate.
• There are short cuts to wealth that only a few people know: This is not always true. Ask yourself the question: if someone knew a secret to instant wealth, why would they be telling their secret to others?
• Scams involve large amounts of money: This is not always true. Sometimes scammers target a large number of people and try to get a small amount of money from each person.
• Scams are always about money: This is not always true. Some scams are aimed at stealing personal information from you.

Report It! Stop It!

Stopping fraudsters is critical. By reporting a scam, you help prevent others from becoming fraud victims. The information you provide is important! If you decide to file a complaint, it is important that you keep any evidence you may have related to your complaint. Keep items in a safe location in the event that you are requested to provide them. This information may form an important part of any investigation. The information you provide could be used as evidence during a prosecution.

To report a scam, contact the:

Canadian Anti-Fraud Centre
www.antifraudcentre.ca or call 1-888-495-8501

In addition, credit bureaus can put a fraud alert on your account, which will alert lenders and creditors of potential fraud:

Equifax: 1-800-465-7166
TransUnion: 1-866-525-0262
1-877-713-3393 for Quebec residents

Stay tuned for more about fraud in the coming days.

Click here for more about fraud.

* With information from the Government of Canada Competition Bureau web site and The Little Black Book of Scams published by the Competition Bureau Canada 2012.