The internet can offer information, entertainment, companionship, and shopping spree galore.  That’s why millions log in each day, but there are also criminals who log in looking to rip you off.  It’s called cyber crime and the FBI says more internet surfers are falling for the bait.  Let’s take a look at one cyber crime – internet scams – and the findings of a new report.

          According to a report issued by the Internet Crime Complaint Center (IC3), pets, romance, and secret shoppers are among the top scams used by internet thieves.  IC3 is a joint effort of the FBI and the non-profit National White Collar Crime Center. 

          In an effort to raise public awareness, the report describes the characteristics of the scams reported most frequently.  Here are the descriptions posted by the IC3.

Pet Scams

          You see an online (or offline) ad selling a pet and send in your money, plus a little extra for delivery costs.  But you never get the pet, the scam artist simply takes your money and runs.  Another pet scam involves you selling a pet.  You are sent a check that is actually more than your asking price.  When you ask about the overpayment, you are told it’s meant for someone else who will be caring for the pet temporarily.  You are then asked to deposit the check and wire the difference to this other person.  But the check bounces and you lose the money you sent to what turns out to be a fraudster.

Secret Shoppers and Funds Transfer Scams

          You’ve been hired via the web to rate your experiences while shopping or dining. You are paid by check and asked to wire a percentage of the money to a third party.  Like the pet scam, the check is bad and you are out the money you sent.  As part of the scam, the fraudsters often use (illegally) real logos from legitimate companies.  Other ways fraud scams work, involve renting out a property.  You are sent a check that is more than your rental fee and asked to wire the difference to someone else or you take a job that requires you to receive money from a company and redistribute funds to affiliates via wire.

Adoption and Charity Frauds

          You get a spam e-mail that tugs on your heartstrings, asking for a pressing donation to a charity and often using the subject header, “Urgent Assistance is Needed.”  The name of a real charity is generally used, but the money is really going to a con artist.  One set of scams in 2007, for example, used the name of a legitimate British adoption agency to ask for money for orphaned or abandoned children. 

Romance Fraud

          You encounter someone in an online dating or social networking site who lives far away or in another country.  That person strikes up a relationship with you and then wants to meet, but needs money to cover travel expenses.  Typically, that’s just the beginning.  The person may end up in the hospital during the trip or get mugged and need more money.

          In addition to scam descriptions, the IC3 report outlines some scary statistics.  According to the report, in 2007 the IC3 received 206,884 complaints.  Of the reports referred to law enforcement, the losses reported totaled nearly $240 million.  This is a $40 million increase from the year before.  If you think you have fallen victim to any cyber crime, you are urged to notify law enforcement or the IC3.