RyoGeo
Global Moderator, Voice of Reason, Member #13
- Joined
- Aug 14, 2000
- Posts
- 2,495
In an effort to keep people informed on how to best protect themselves in buying on the Internet, member <a href="http://www.neo-geo.com/cgi-local/ultimatebb.cgi?ubb=get_profile;u=00006540" target="_blank">Red Dragon</a> has written up a short FAQ on Internet fraud based on his real life dealings with such as a professional fraud buster. Please read below.
Arm yourselves with knowledge! wink
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The most important thing for a scammer is to protect himself. They want to protect their identity in any way possible.
First, they need to do the internet work. So since proxies ain't cutting it as protection.. they simply hack into some fast NT or Linux server and browse the internet from there. Don't think they need to be some kind of a computer master mind to do that. Just by having an account on your computer with a weak password or no password at all, no firewall or anti-virus can protect your computer from the smallest hacking n00b in the world. The script kiddies use a scanning program brute force ip ranges for passwords. Whether you believe it or not, they get results in minutes, and a few out of every hundred computers are vulnerable. The same way can be used to steal sensitive personal information like credit cards, or just to setup an XDCC server to serve warez and porn on IRC.
Next, they need a place to receive all the stolen merchandise and money without risking their name, right? Unfortunately, not everyone is as stupid as Shawn Anderson. Most scammers don't use their real address to receive stolen merchandise. This can be done several ways. Some browse the internet for abandoned and unsold houses and use them for a week or two. Others acquire a fake ID and rent an apartment somewhere around the city. This can be done by visiting a couple of internet forums and spending a couple of hundred bucks. With just $200-$400 bucks, they buy a fake copy of someone's ID, a fake copy of his Social Security Number, and even a fake copy of his credit card. All they do is change the picture.
Now, it is safe to say that they are ready to go. They protected their computer and identity. All they do now is start stealing money from the poor people that work hard their whole life to get somewhere. There are several popular places they go to: Ebay, Yahoo Auctions, Shopping websites, and Forums. Some go for the bigger hits like Western Union, Banks, and Stock Market. Basically, anything that has to do with cash on the internet. I will do a brief explanation on a few of those.
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EBAY oh_no
Most of you already know, scams happen on ebay all the time. There are two ways to do this.
1) They go to the same IRC channel or forum they went to for an ID, and they go ahead and get a stolen ebay seller account with nice amount of feedback. They prefer inactive accounts.. accounts that are not used by the owner for quite a while. By just looking at the last couple of transactions in their feedback, they can see if the account is active or not. Next, they list tons of auctions without intending to send anything. After receiving the money orders, they use the fake ID to cash the money orders at any currency exchange around the city.
2) They get stolen paypal accounts or credit cards to buy merchandise from ebay sellers. Where do they get those? You guessed it.. that fucken IRC channel or forum that is causing the whole market big losses oh_no .. they win something, send stolen money .. you do the math
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Yahoo Auctions
Same as above
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Shopping Sites
They use the stolen credit cards to get merchandise shipped to that apartment they rented with the fake ID.
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Basically, everything else works the same way. As you can see, by just spending a few hundred bucks, those people can cause you your life earnings.
Again, I did not post this to tell people to go ahead and steal money. I posted this to show you that no matter how things look like.. there is a big risk. Which is why you should be alot more careful now when you buy or sell on the Internet.
Here are a few things you can do to protect yourself or at least lower the chance of getting scammed.
1) If using paypal, only accept payments from verified accounts, only send merchandise to confirmed addresses on the paypal file, and only accept cash payments. Credit card payments have higher risks.
2) If trying to deal with a new member, make sure you ask for references. No matter how convincing they sound, you never know.
3) If a seller showed you an ebay account as reference, make sure he actually owns it. This can be done by emailing the owner of the account. This doesn't do much .. but anything for extra protection.
4) When doing deals with high amounts of money, it helps if you do it through ebay. Ask the seller to list the item on ebay first. Later, you can request their address and phone number to see if they actually own the account.
5) Try to do COD (cash on delivery) or Escrow when you deal with large transactions. Even though there are fees, it's better to pay a little than lose everything.
6) If you are forced to do credit card transactions, call the bank and credit card holder for authorization. This way you can make sure that the card holder is buying the merchandise, not someone else.
7) If accepting credit cards, only ship merchandise to billing address on credit card.
8) Never leave sensitive information like Social Security or Credit Card information on your computer. You never know who is browsing those files.
9) Make sure you have a very secure password on all the accounts on your computer. Otherwise, there is no way to protect yourself against hackers. Also download all the new patches and security fixes for your operating system.
10) After you finish browsing the internet, make sure you delete all the cookies and temp files from your computer. If you entered a password or your credit card.. it's there.
11) Scan your computer for viruses often. Even though they don't do much. If you have a trojan horse or backdoor.. this helps.
12) Always check the task manager for suspicious processes in the background. You don't want keyloggors running there.
13) When you are dealing with someone, make sure you keep your emails and his till the transaction is complete and safe.
14) When you ship something, make sure you do tracking confirmation or even better signature confirmation. Keep the receipts and never throw them away. You don't want people to claim they never received your stuff.
This is basically all I can think of for now. But if you have a specific transaction that you are kinda unsure of, just drop me a PM or post here and I will be more than happy to help it go through safely.
I really hope this helps guys, let us make this place a safer place for neo lovers to buy and sell their stuff... all to build the neo community.
--------------------------------------------------
Thanks again to <a href="http://www.neo-geo.com/cgi-local/ultimatebb.cgi?ubb=get_profile;u=00006540" target="_blank">Red Dragon</a> for creating this.
Arm yourselves with knowledge! wink
----------------------------------------------------------------------------------------
The most important thing for a scammer is to protect himself. They want to protect their identity in any way possible.
First, they need to do the internet work. So since proxies ain't cutting it as protection.. they simply hack into some fast NT or Linux server and browse the internet from there. Don't think they need to be some kind of a computer master mind to do that. Just by having an account on your computer with a weak password or no password at all, no firewall or anti-virus can protect your computer from the smallest hacking n00b in the world. The script kiddies use a scanning program brute force ip ranges for passwords. Whether you believe it or not, they get results in minutes, and a few out of every hundred computers are vulnerable. The same way can be used to steal sensitive personal information like credit cards, or just to setup an XDCC server to serve warez and porn on IRC.
Next, they need a place to receive all the stolen merchandise and money without risking their name, right? Unfortunately, not everyone is as stupid as Shawn Anderson. Most scammers don't use their real address to receive stolen merchandise. This can be done several ways. Some browse the internet for abandoned and unsold houses and use them for a week or two. Others acquire a fake ID and rent an apartment somewhere around the city. This can be done by visiting a couple of internet forums and spending a couple of hundred bucks. With just $200-$400 bucks, they buy a fake copy of someone's ID, a fake copy of his Social Security Number, and even a fake copy of his credit card. All they do is change the picture.
Now, it is safe to say that they are ready to go. They protected their computer and identity. All they do now is start stealing money from the poor people that work hard their whole life to get somewhere. There are several popular places they go to: Ebay, Yahoo Auctions, Shopping websites, and Forums. Some go for the bigger hits like Western Union, Banks, and Stock Market. Basically, anything that has to do with cash on the internet. I will do a brief explanation on a few of those.
----------------------------------------------------------------------------------------
EBAY oh_no
Most of you already know, scams happen on ebay all the time. There are two ways to do this.
1) They go to the same IRC channel or forum they went to for an ID, and they go ahead and get a stolen ebay seller account with nice amount of feedback. They prefer inactive accounts.. accounts that are not used by the owner for quite a while. By just looking at the last couple of transactions in their feedback, they can see if the account is active or not. Next, they list tons of auctions without intending to send anything. After receiving the money orders, they use the fake ID to cash the money orders at any currency exchange around the city.
2) They get stolen paypal accounts or credit cards to buy merchandise from ebay sellers. Where do they get those? You guessed it.. that fucken IRC channel or forum that is causing the whole market big losses oh_no .. they win something, send stolen money .. you do the math
----------------------------------------------------------------------------------------
Yahoo Auctions
Same as above
----------------------------------------------------------------------------------------
Shopping Sites
They use the stolen credit cards to get merchandise shipped to that apartment they rented with the fake ID.
----------------------------------------------------------------------------------------
Basically, everything else works the same way. As you can see, by just spending a few hundred bucks, those people can cause you your life earnings.
Again, I did not post this to tell people to go ahead and steal money. I posted this to show you that no matter how things look like.. there is a big risk. Which is why you should be alot more careful now when you buy or sell on the Internet.
Here are a few things you can do to protect yourself or at least lower the chance of getting scammed.
1) If using paypal, only accept payments from verified accounts, only send merchandise to confirmed addresses on the paypal file, and only accept cash payments. Credit card payments have higher risks.
2) If trying to deal with a new member, make sure you ask for references. No matter how convincing they sound, you never know.
3) If a seller showed you an ebay account as reference, make sure he actually owns it. This can be done by emailing the owner of the account. This doesn't do much .. but anything for extra protection.
4) When doing deals with high amounts of money, it helps if you do it through ebay. Ask the seller to list the item on ebay first. Later, you can request their address and phone number to see if they actually own the account.
5) Try to do COD (cash on delivery) or Escrow when you deal with large transactions. Even though there are fees, it's better to pay a little than lose everything.
6) If you are forced to do credit card transactions, call the bank and credit card holder for authorization. This way you can make sure that the card holder is buying the merchandise, not someone else.
7) If accepting credit cards, only ship merchandise to billing address on credit card.
8) Never leave sensitive information like Social Security or Credit Card information on your computer. You never know who is browsing those files.
9) Make sure you have a very secure password on all the accounts on your computer. Otherwise, there is no way to protect yourself against hackers. Also download all the new patches and security fixes for your operating system.
10) After you finish browsing the internet, make sure you delete all the cookies and temp files from your computer. If you entered a password or your credit card.. it's there.
11) Scan your computer for viruses often. Even though they don't do much. If you have a trojan horse or backdoor.. this helps.
12) Always check the task manager for suspicious processes in the background. You don't want keyloggors running there.
13) When you are dealing with someone, make sure you keep your emails and his till the transaction is complete and safe.
14) When you ship something, make sure you do tracking confirmation or even better signature confirmation. Keep the receipts and never throw them away. You don't want people to claim they never received your stuff.
This is basically all I can think of for now. But if you have a specific transaction that you are kinda unsure of, just drop me a PM or post here and I will be more than happy to help it go through safely.
I really hope this helps guys, let us make this place a safer place for neo lovers to buy and sell their stuff... all to build the neo community.
--------------------------------------------------
Thanks again to <a href="http://www.neo-geo.com/cgi-local/ultimatebb.cgi?ubb=get_profile;u=00006540" target="_blank">Red Dragon</a> for creating this.