For Immediate Release	CONTACT:	Holly Anderson, ext. 114
December 15, 1997
		(202) 835-3323

Tips for Shopping on Line and Avoiding Fraud

Washington, DC... During the busy holiday season, the ease of online shopping has even more appeal than ever. But crooks also recognize the potential of cyberspace. The same scams that have been conducted by mail or phone can now be found on the Internet, and new technologies are resulting in new ways to commit crimes against consumers.

That's why the Internet Fraud Watch is offering consumers the following tips for shopping online:

• Do business with companies and people you know and trust. Be sure you know who the company or person is and where they are physically located. Businesses operating in cyberspace may be in another part of the country or in another part of the world. Resolving problems with companies that are unfamiliar can be more complicated in long-distance or cross-border transactions.

• Understand the offer. Look carefully at the information about the products or services, and ask for more information, if needed. A legitimate marketer will be glad to provide it; a fraudulent marketer won't. Be sure you know what is being sold, the total price, the delivery date, the return and cancellation policy, and the terms of any guaranty. The federal telephone and mail order rule, which also covers orders by computer, requires goods or services to be delivered by the promised time or, if none was stated, within thirty days. Print out the information so that you have documentation if you need it.

• Check out the company's track record. Ask your state or local consumer protection agency if the company has to be licensed or registered, and with whom, and check to see if it is. You can also ask consumer agencies and the Better Business Bureau in your area about the company's complaint record. But keep in mind that fraudulent companies can appear and disappear quickly, especially in cyberspace, so lack of a complaint record is no guarantee that a company is legitimate.

• Never give your bank account numbers, credit card numbers or other personal information to a company you don't know or haven't checked out. And don't provide information that isn't necessary to make a purchase. Even with partial information, con artists can make unauthorized charges or take money from your account. And until the new encryption systems that are being developed are in place, it may be safer to provide your payment information by telephone than online.

• Take your time to decide. While there may be time limits for special offers, high-pressure sales tactics are often danger signs of fraud.

• Don't judge reliability by how nice or flashy a website may seem. Anyone can create, register and promote a website; it's relatively easy and inexpensive. And just like any other forms of advertising, you can't assume that someone has screened and approved it.

• Know that people in cyberspace may not always be what they seem. Someone who is sharing a "friendly" tip about d money-making scheme or great bargain in a chat room or on a bulletin board may have an ulterior motive: to make money. And sometimes those friendly people turn out to be crooks!

• Know that unsolicited e-mail violates computer etiquette and is often used by con artists. It also violates most agreements for Internet service. Report "spamming," as unsolicited e-mail is called, to your online or Internet service provider.

• Don't download programs to see pictures, hear music, or get other features from websites you're not familiar with. You could unwittingly download a virus that wipes out your computer files or even hijacks your Internet service, reconnecting you to the Net through an international phone number, resulting in enormous phone charges.

• If you need advice about an Internet or online solicitation, or you want to report a possible scam, use the Online Reporting Form or Online Question & Suggestion Form features on ADDRESS/URL or call the National Fraud Information Center hotline at 1-800-876-7060.

The National Consumers League, founded in 1899, is America's pioneer consumer organization. NCL's three-pronged approach of research, education and advocacy has made it an effective representative and source of information for consumers and workers. NCL is a private, nonprofit membership organization dedicated to representing consumers on issues of concern.