|
|
|
|
By Susan K. Gower
Tempting, isn’t it? But beware - you may be the target of a travel scam. The Federal Trade Commission estimates that consumers lose over forty billion dollars a year to telemarketing fraud. People over the age of 65 make up nearly fourteen percent of the population, but they account for a much higher percentage of the victims of consumer fraud. According to consumer fraud agencies, seniors sometimes have difficulty recognizing fraud when it appears. There are many reasons for this difficulty. Many people remember a time when business was based upon traditional values and done in a personal way, on a handshake. Also, according to the AARP, older people who fall for scams may believe they actually have a good chance of winning the prize, or have already won the prize. Some people find it difficult to end unwanted telemarketing calls and may be reluctant to seek advice about confusing “offers,” fearing that reporting a scam will lead to loss of independence. Retired people are often the target of scams because scammers assume that retirees have valuable assets and substantial savings. Regardless of how much money they actually have, potential scam victims may be worried about money and therefore, more susceptible to claims of quick profits, or free or discount travel. Others may be suffering from mental confusion, making them easier to con, or may just be lonely and vulnerable to charm and attention. Whatever the reason, the economic consequences of consumer fraud are devastating. When someone who lives on a fixed income is defrauded, it is nearly impossible to replace the money lost. While there are some legitimate trips sold over the phone or by mail, fraudulent trip offers are common. The moment you hear “You have won a vacation,…” you should be on the alert. These fraudulent trips often begin with an invitation to sign up for a “free” vacation at a restaurant, health club, or other public place. Soon after you sign up, you may receive a phone call, letter, fax, or e-mail telling you that you have won a vacation. What you may have actually won is a sales presentation. In other words, it may be a misleading vacation package that is tied to a long time-share sales presentation, or a misrepresented sales package riddled with hidden fees. Be careful when you hear the word “offer” in connection with one of these travel packages. When you get a call, or place a call in response to some form of mail, the salesperson may ask for your credit card number to bill your account for the “bargain” travel package. Additional contacts or “offers” may require you to pay additional fees to receive the actual destinations, accommodations, or various service fees. These sales pitches often include oral, or spoken, promises for deals that will never be delivered. If you do get written materials, they may bear little resemblance to the promises that were made on the phone. The sales person may require you to make payment in advance, so that you have no written contract or proof of the services you are paying for. They also often employ high pressure tactics, such as warnings that the offer will be ending soon. If you try to ask questions, your concerns will be brushed off or you will be made to feel foolish for questioning the deal. Susan Grant, Director of the National Consumer League’s Fraud Center, says, “When it comes to free or incredibly cheap trips, ask yourself, ‘What’s the catch?’ It may not be fraudulent, but may just be part of a sales pitch. Trips that seem incredibly cheap may actually have hidden charges. There is another charge, then another charge. Don’t make assumptions about what is included in the package. Something which you might assume would be included in the package might not be. Or the person you are speaking to might lie. Do some comparison shopping – look online, consult with a travel agent. See what an equivalent trip costs.” The hook - or what makes these scams so tempting to their victims - is that the vacation offer is often in a low price range, but still sounds reasonable, or at least possible. Such a trip sounds terribly appealing to anyone longing for a luxurious getaway (in other words, practically everyone.) So how can you tell a legitimate travel package from a fraudulent one? Be cautious of offers for free, or very low priced trips. It’s not free if you have to buy something. Resist high pressure tactics. If it is a truly good deal, it will usually still be a good deal tomorrow. Ask detailed questions and don’t allow the sales person to evade. Ask the sales person to repeat the name of the company and spell it. A fraudulent company may use a name which is deceptively similar to a well know company. Ask about hidden costs and get the exact names of hotels, airports, airlines and other businesses. Then verify the arrangements. Ask about cancellation policies and refunds. Get all of the information in writing before you agree to buy or give out a credit card number. Don’t give your credit card number or bank information over the phone unless you have confidence in the company you are dealing with. If, after doing your homework, you still have doubts, say no. Susan Grant reminds consumers, “Definitely do your homework. Sometimes it is worth going to a travel agent, especially if you are traveling someplace you are not familiar with. Some travel agents now charge a small fee, but a consultation with a travel agent may be worth a small fee. If you are unfamiliar with the company offering the trip, check with the Better Business Bureau or the state or local consumer protection agency in the state where the company is located. Some states require registration, bonding or insurance. We get a lot of complaints from people about different types of travel scams. In addition to the loss of money, there is an emotional loss. The trip may have been important, a family reunion, or a special trip for an anniversary. The victim may be emotionally devastated. If you checked out the company and decide to go ahead with a trip, we caution people to keep all of their documentation and to pay with a credit card, because you can dispute the charges if you do not get the services you were promised.” Resources: National Consumers League Minnesota Attorney General’s office
|
Dream Vacation . . . Not!