How to Spot a Con Artist

Know the set-up. A prince, king, princess or some other form of royalty has just died in a developing nation (more often than not, Nigeria). The person contacting you, usually by email, will explain that they inherited some incredible sum of money, but they need some small sum of money to get the larger sum released by the bank (to pay taxes, liens, etc.). They are asking you to give them the smaller sum and promising to pay you a much larger portion back when they secure the money.^[2]

• A more recent variation of this set-up is the con artist telling you that he/she is a government official who is illegally transferring money out of Nigeria, and wants your help in his scheme. The 419ers do this because they feel they can keep you from alerting authorities to their scam by including you in their “illegal” plot.^[3]

Note the commonalities. Again, there are a number of variations on this scam, but they all entail the same thing- getting your money because you believed someone you never met. Look out for commonalities in 419 scams, which are:

• The person who has died is always royalty, and the person contacting you is their rightful heir. More often than not, they will say something to the effect of, “My uncle was the late King of Nigeria.” A simple Google search and common sense should tell you that Nigeria, a modern nation, doesn't have kings.^[4]
• The money that this person should have access to is being held up by some relatively small sum of money. Think about it, if someone in Nigeria really stood to inherit 5 million dollars, why would they need to reach out to a random stranger in America for $500 or $5,000?^[5]
• For whatever reason, these people tend to use strange and uncommon names, like “Festus”, “Octavius” or “Elmer”. When the name sounds fake, it probably is.
• The writing in these letters is usually riddled with spelling errors, grammar mistakes, syntactical errors, etc. Red flags should immediately go up when you see this. Well-positioned, and thus well-educated, Nigerians are well-versed in writing the English language. Why would a prince, who presumably has the best education money can afford, not be able to put a simple sentence together?^[6]

Watch for the scam. After sending the initial email, the person will ask you to respond by wiring them the small sum of money, which they will, of course, pay back with huge sums of interest. Unfortunately for you, there is no large sum of money and you won't be getting your money back.^[7]

• Often times, the 419ers will string you along for more money. After you send the first amount asked for, they will contact you again and say that there was some problem with the bank and they need more. If you keep sending them money, they will keep asking for more. There is really no pretense under which you can bring these people to justice, so they don't really have anything to lose or fear by being too greedy.^[8]

Put a stop to it. Again, there are a number of ways to spot these scams, and a whole bunch of ways to avoid them. You can ignore the email or letter, pass it on to your attorney or banker, or send the letter to the FBI. You are fine as long as you don't release any money or personal information to these scammers.^[9]

Shred financial documents. Don't ever throw away documents with your financial information on them without first shredding them. You can use an automatic shredder, scissors, or your hands for this. Make sure you shred bank and ATM receipts, credit card statements, or bank statements before disposing of them. ^[10]

Don't give out your credit card number. Never tell anyone your credit card number unless you know that person is a legitimate representative of a financial institution or real business. Banks and businesses generally refrain from requesting credit card numbers through emails and will not call you out of the blue asking for your credit card number. Never tell someone who called or emailed you your credit card information. ^[11]

Always review your financial statements. Banks and credit cards will send you monthly statements that will show where and what you spent your money on. Always review these documents carefully and notify your bank immediately if you notice a discrepancy on the statements. ^[12]

• You should keep a readily accessible list of numbers to call in the event that you lose your credit cards or your wallet. ^[13]

Know what to do. In the case that your identity has been stolen, you will want to notify your bank, credit card company and the credit bureau. Ask the credit bureau to make a note in their files that your identity has been stolen so that you have proof of the incident. ^[14]

Report nefarious activity. If you know of anyone who may be committing identity fraud or is receiving someone else's bank or credit statements, report them to the FBI or local law enforcement immediately.^[15]

Ask how they got your name. If they can't give you a good answer, they probably got it out of a phonebook, or through another one of their current victims. Long story short, they don't know you, they didn't come across your name through reliable sources, and there is no reason to trust them just because they looked up your phone number and name.^[16]

Get it in writing. Con artists don't like putting their scams in writing, and might try to say they don't have time to do so. Any time a person who is offering you something refuses to put it in writing, you should be very leery of them. They are likely con artists.^[17]

Ask them to talk to professionals. Any time you think someone may be trying to flim flam you, have them speak with your attorney, financial advisor, or accountant. A con artist will tell you they don't have the time, or they'll take down the contact info, but never make contact with your representatives.^[18]

Request references. Ask to speak with several people who have already completed transactions with this person and seen results. Search for the names and numbers in the phonebook or on the internet to make sure they're real people. Don't accept testimonials as a substitute.^[19]

Ignore pressure to act immediately. A con artist will try to convince you that you have to act right now or else you'll miss your golden opportunity. However, if the good deal is not going to be available tomorrow, then it's not worth the risk.^[20]

Check for complaints. You should take some time to check if any complaints have been filed against the person who is offering you a “great deal” or any other suspicious offer. Chances are the person is not using a real name, but they may be using similar monikers used in other scams. Some resources to find complaints against scam artists are:^{[21] [22]}

• National Financial Fraud Exchange (http://www.fraud.org/)
• North American Securities Administrators Association (http://www.nasaa.org/)

Look out for red flags. If you've already entered into a transaction with someone, there are some warning signs you need to be aware of. Keep an eye out for the following warning signs: ^[23]

• Secrecy - Are you asked not to tell anyone?
• Cash only - Many (but not all) con artists don't like to be paid by check because it leaves a paper trail.
• Jackpot just around the corner - The con artist is stringing you along while he or she collects more money from you (e.g. "Any day now...). Your own denial might allow this procrastination to go on far longer than common sense would allow, because you don't want to face the possibility that you've been duped.
• Procrastination turns into intimidation - When your patience runs thin and you begin to question the con artist's credibility, you may end up getting treated like a traitor, or even a fool. They might try to intimidate you so you'll stick around until they can flee with the money. (E.g. "You're as guilty as I am in this.")

Know your own weaknesses. There are characteristics and situations that con artists most often exploit. If you possess some of these characteristics, you need to be aware that con artists prey upon:^[24]

• Loneliness
• Sense of charity
• Desperation regarding money (e.g. heavily indebted, business financial problems)
• Being unhappy with your life, and a tendency to look for a "quick fix"
• Falling in love (If a new romantic interest wants you to throw in your lot with theirs, get a second opinion! Ask your family and professionals for their advice.)