National Grid is warning consumers about a utility bill payment scam. Scammers are calling National Grid customers and claiming to be a official representatives. They have been calling businesses in the Rhode Island area and claiming that the businesses have a past due account balance. The scammers threaten to turn off the business' utilities if immediate payment over the phone is not received. 
National Grid warns customers that they do call about past due balances, but they do not demand immediate payment over the phone.
Customers should contact National Grid if they believe they have been contacted under fraudulent circumstances or if they believe they have been victim to this scam.
If you are contacted by an alleged National Grid representative, BBB advises you to end the conversation and contact National Grid. This way, customers will know who they’re contacting and can inquire about any outstanding bills.
As always, never give out personal or banking information to unfamiliar people. For more information, visit, http://www.abc6.com/story/23110034/national-grid-warns-customers-about-scam.
A BBB-accredited ad agency in San Antonio, TX recently discovered that bogus checks claiming to be from their company were being used in an over payment/money wiring scam. The checks looked very professional, with the company name and actual routing and account numbers.
People who answered work-at-home want ads on Craigslist were caught up in the scheme. One woman was asked to send out fake checks on behalf of the scammers and was paid by Western Union. When she noticed the Western Union payment was in someone else’s name, she called the real ad agency and asked, “Am I working for you?” The answer was “no.”
She had already sent out 200 bogus checks.
According to the ad agency, the scammers somehow intercepted a check that was sent to a client. They knew something was wrong when someone tried to cash it in another state. Scammers “washed” the check and used it as a template for numerous fake checks in the ad agency’s name.
Which brings up some important tips for businesses regarding checks:- Monitor your accounts payable. Stop payment on the check and send out another one if too much time goes by and the check appears to be “lost.”
- Use tamper resistant checks. Checks with security features make it harder for crooks who may intercept them to counterfeit or alter them.
- Keep track of check orders. Notify your check supplier and bank if you order checks that don’t arrive in a reasonable amount of time.
- Keep checks secured. Keep reserve supplies of checks, deposit slips and other banking documents locked up and limit the number of people who can access them.
- Keep your eye on the ball. Don’t leave checks or other bank records unattended while you serve customers. Someone might take them while you aren’t looking.
The most sophisticated identity thieves are now pursuing even bigger payoffs by targeting businesses. Because businesses have higher credit limits and make larger purchases than consumers, charges by scammers are less likely to be noticed by owners, accountants and creditors.
ID theft aimed at stealing directly from a business isn’t the only type of commercial identity theft. Another form of business identity theft happens when a scammer poses as the company in order to rip off unsuspecting consumers. Following are examples of common business identity theft schemes identified by BBB.
Defrauding the BusinessA crafty ID thief can do a lot of damage with a company’s Employer Identification Number, including gaining access to bank and credit card accounts or opening up new lines of credit under the business’s name. Business identity theft can also be perpetrated by scammers—and sometimes even employees—who purchase items in the company’s name either for personal use or to resell.
Phishing E-mailsPhishing e-mails are a common example of business ID theft, and all are designed to defraud consumers. Phishing e-mails are spam disguised as messages from a business or government agency, and are used to coerce sensitive financial information from the recipient or to install malware and viruses on recipients’ computers.
Defrauding ConsumersIn many cases, criminals will hijack a company’s name and reputation to commit consumer fraud, such as advance fee loan or lottery scams. Scammers use and leverage the company’s identity and good reputation to create a trustworthy façade behind which they operate their scam. In BBB’s experience, business owners are usually alerted to the identity theft by angry consumers who were ripped off by the scammers.
Following are steps BBB recommends small business owners take to mitigate harm if their business identity has been stolen.
Alert the AuthoritiesBusiness owners need to immediately contact their local police department if they believe the company’s identity has been compromised. In some cases where bank or credit accounts have been compromised, law enforcement investigators may want the accounts to remain open in order to track down the thieves. If scammers are using the company’s name on phishing e-mails or with phony Web sites, business owners can also contact the FBI’s Internet Crime Complaint Center at www.ic3.gov.
Alert Bank and Credit Card CompaniesIf scammers are accessing the business’s credit or bank accounts, forging company checks or opening up new lines of credit, it’s important for a small business owner to notify financial institutions involved in order to limit any further unauthorized transactions. Before closing any accounts, the business owners will want to receive the go-ahead from law enforcement so as not to jeopardize ongoing investigations.
Alert the PublicIf the company’s identity has been stolen and is being used to rip off customers, warning the public is a top priority to prevent additional people from becoming victims. An easy first step is to prominently post a warning on the company’s home page briefly explaining the threat. Depending on the scope of the scam, business owners might also want to consider alerting media or making direct contact with customers via phone or e-mail. Businesses can also contact their BBB for help in getting information out to consumers quickly.
Review Credit ReportIf the business is a sole proprietorship, then the same consumer protections apply as if an individual’s ID were stolen—such as access to free credit reports and the ability to place a fraud alert on the report. Unfortunately for most businesses, monitoring their credit history is not that easy. Business credit reports exist; however, they don’t typically include the information necessary for detecting fraud. Small and medium-size enterprises can, however, increase internal controls and monitoring of accounts in order to better track abuses.
