BBB Blog RSS Feed

How to Claim Your Unclaimed Property

5/23/2013

Posted on 5/23/2013 by
Do you have unclaimed property? If so, how would you know? Is it worth it to pay a service to help you identify unclaimed property? The Better Business Bureau of Minnesota and North Dakota (BBB) aims to help people who might fall into this category understand what they need to do to reclaim their assets and possessions.

Unclaimed property refers to accounts or assets held in financial institutions and companies that have had no activity or account holder contact for one year or more. This can include savings or checking accounts, refunds, customer overpayments, as well as contents of safe deposit boxes.

To begin searching for lost property, check legitimate sites like missingmoney.com, which is endorsed by the National Association of Unclaimed Property Administrators (NAUPA). This website has official records of unclaimed property from every state and most U.S. territories. Check for property in every jurisdiction in which you have resided. Though it is free to search, you may have to pay a small fee to obtain the property.

According to NAUPA, there are many businesses (sometimes called finders or locators) that find legitimate lost property for owners and inform them how to obtain it for a fee, usually a percentage of the total (some states limit the fee to 10 percent). Sometimes, companies will hire these firms to find you before they turn the funds over to the state. Ultimately the finder will ask you to sign a contract.

The majority of firms that provide these services work within the law, but there are also some unclaimed property scams around. To ensure the firm you're working with is legitimate, contact the BBB or the unclaimed property office in your state for more information before signing a contract. In Minnesota, the Minnesota Department of Commerce has an Unclaimed Property Unit, which refers people to missingmoney.com. North Dakota's Department of Trust Lands also has an Unclaimed Property Division: land.nd.gov/unclaimedproperty.

NAUPA offers the following tips to prevent your accounts or possessions from being designated as unclaimed property:

Deposit or cash all checks for dividends, wages, insurance settlements, etc. without delay.
Respond to legitimate requests for confirmation of account balances and stock holder proxies. Keep close track of your assets and investments.
If you have a safe deposit box, record its number, bank name and address, and give the extra key to a trusted person.
Prepare and file a will clearly outlining the disposition of your assets.

For more information on how to recover unclaimed property, check out unclaimed.org/what, and for additional consumer tips, please visit bbb.org/us/Consumer-Tips.

Beware of Memorial Day Scams Aimed at Military Personnel

5/23/2013

Posted on 5/23/2013 by
Memorial Day is a time to honor those who serve and remember those who have died serving their country. But sadly, it has also become a key opportunity for scammers to target those who are serving or have served previously, especially elderly veterans. As Memorial Day approaches, the Better Business Bureau of Minnesota and North Dakota (BBB) urges consumers and donors to watch out for scammers.

BBB Military Line, the military arm of the BBB, provides free resources, such as financial literacy information, access to BBB services and scam alerts, as well as complaint and dispute resolution for all branches of the U.S. military. The BBB warns of the following scams that are often directed at service members:

High priced military loans - Advertisements for loans that promise a guarantee, instant approval or no credit check will often come with hidden fees and extremely high interest rates. Remember that legitimate lenders will never guarantee a loan before you apply, and loans that require upfront fees are likely fraudulent.

Veterans' benefits buyout plans - This buyout plan will offer a cash payment in exchange for a disabled veteran's future benefits or pension payments. The cash amount is only about 30-40% of what the veteran is entitled to. These buyout plans can be structured in several different ways, so research them thoroughly before signing or agreeing to anything.

Fake rental properties - Stolen photos of legitimate rental properties are used in bogus advertisements that promise military discounts and other incentives. Servicemembers are told they have to pay a fee via wire transfer for security payments or a key to the property; in the end they receive nothing.

Phony jury duty summons - A caller clams to work for the local court system and states that the servicemember did not show up for jury duty and now there's a warrant out for their arrest. When the victim says they never got a summons, the caller will ask for a credit card number or Social Security number to clear up the matter - but don't give this information out. The threat of arrest is bogus and this is just another tactic to defraud you.

Misleading car sales - Websites posting classified ads will offer false discounts for military personnel or claim to be from soldiers who need to sell their vehicle in a hurry because they've been deployed. Upfront fees will be requested via wire transfer, and too often the cars advertised are non-existent.

Expensive life insurance policies - Members of the military are often the targets of high-pressured sales pitches that offer unnecessary, expensive life insurance policies. Solicitors may make false statements regarding the benefits that these policies offer.

The BBB recommends the following tips to avoid scams:

Do your research. Get as much information as you can about a business or charity before you pay. Check out a business' BBB Business Review at bbb.org or a charity's Charity Report at give.org.

Don't wire money to anyone you don't know. Money sent via wire transfer is practically impossible to track. Pay by credit card whenever possible, since you can dispute charges easily. Also watch out for 'offers' that require you to purchase Green Dot MoneyPaks and share the number on the back. This allows others to siphon funds from those MoneyPaks, leaving you with a worthless piece of cardboard.

Protect your computer. Don't click on links within unsolicited emails. Don't enter personal information on unfamiliar websites. Make sure that you have updated anti-virus software installed and use a firewall at all times.

Put an Active Duty alert on your credit reports when deployed. Doing so will minimize the risk of identity theft because creditors and businesses cannot issue or grant credit until verifying identity.

Visit bbb.org for more tips you can use, and for the latest consumer news, like us on Facebook at facebook.com/thefirstbbb and facebook.com/MilitaryLine.

It’s National Moving Month: Move Safely and Securely While Avoiding Scams

5/14/2013

Posted on 5/14/2013 by

May is National Moving Month, which kicks off the busiest time of year for Americans on the move. It also means a handful of unlicensed movers and dishonest operators are waiting to take advantage of unwary consumers. In 2012, the Better Business Bureau (BBB) received over 1.4 million moving-related inquiries and more than 9,300 complaints against movers. Complaints included damaged or missing items, big price increases over originally-quoted estimates, late deliveries, and goods being “held hostage” for additional – often disputed – payments.

The Better Business Bureau is again joining with the American Moving & Storage Association (AMSA) to provide important tips on how to avoid scams and find a trustworthy moving company:

Research the company thoroughly. While state regulations vary, all interstate movers must, at minimum, be licensed by the Federal Motor Carrier Safety Administration. FMCSA assigns a unique motor carrier number that can be verified at protectyourmove.gov.

Get at least three written in-home estimates. Not all quotes online or over the phone are legitimate, and shady operators are not likely to send an estimator to your home in advance. Also, remember that the lowest estimate can sometimes be an unrealistic, low-ball offer, which may well cost you more in the end.

Know your rights. Research your rights with either the FMCSA for interstate moves, or with the appropriate state agency for in-state moves. Interstate movers must give you two booklets detailing your rights. Also, enlist the help of the BBB or local law enforcement if the company threatens to hold your belongings hostage.

Consider purchasing full value protection. This coverage may cost a few dollars more up front, but it can provide some peace of mind and eliminate headaches after your move. Purchasing full (replacement) value protection from your mover means any lost or damaged articles will be repaired or replaced, or a cash settlement will be made to repair the item or replace it at its current market value, regardless of age. It’s important to note, for example, that the required minimum coverage of 60 cents per pound would not cover the replacement cost of a flat panel TV if damaged in transit. The cost of full value protection must be included in the initial estimate you receive for an interstate move. FMCSA requires interstate movers to offer arbitration to help settle disputed claims.

To check out a mover near you, and for more helpful consumer tips, visit bbb.org, and AMSA’s moving.org websites. For the latest marketplace news, follow the BBB on Facebook at facebook.com/thefirstbbb.

Helping Servicemembers Shine

5/6/2013

Posted on 5/6/2013 by

BBB partners with veterans groups for business training event

Burnsville, MN - May 3, 2013 - As the Better Business Bureau of Minnesota and North Dakota's (BBB) local Military Line® program nears its one-year anniversary, it will mark the occasion with an event promoting the hiring and nurturing of veteran talent. The BBB is partnering with the Minnesota Departments of Military Affairs and Veteran Affairs, and the United Veterans Legislative Council to offer Get in Line: Help Veterans Shine - a training event for business owners and hiring professionals. It will be held Tuesday, May 14 at the BBB's office in Burnsville.

"In only its first year, our Military Line program has seen tremendous response and provided outreach to servicemembers throughout Minnesota and North Dakota," said Lisa Jemtrud, Director of the BBB's Educational Foundation - the Institute for Marketplace Ethics. "This training builds on that momentum, with the goals of reinforcing to businesses what an asset veteran talent can be to their organizations and also to help veteran-owned businesses become aware of opportunities available to them through the state of Minnesota in regard to state-funded construction projects."

Among the speakers on May 14 will be Annette Kuyper, Director of Military Outreach for the Minnesota Department of Military Affairs, and Barb O'Reilly, Director of Women Veteran and Employment Initiatives for the Minnesota Department of Veteran Affairs. Vicki Lokken-Paverud, the BBB's Military Program Coordinator, will also be presenting, as well as Jerry Kyser, 1st Vice Chairman with the United Veterans Legislative Council of Minnesota.

Get in Line: Help Veterans Shine will discuss the many tax credits available to businesses hiring Veterans and help Veteran-owned businesses discover benefits that might be available to them. This seminar will also help business owners and hiring professionals:

Identify current challenges and develop strategies to recruit, hire and retain veteran talent.
Gain insight into the military culture.
Discover BBB Military Line outreach programs and resources.
Translate the experience veterans possess to civilian skill sets.
Learn about the Yellow Ribbon Recognition Program
Become aware of opportunities for Veteran-friendly and Veteran-owner Minnesota businesses.

When: Tuesday, May 14, 2013, 12:30 - 4:30 p.m.

Where: BBB of Minnesota and North Dakota, 220 S. River Ridge Circle, Burnsville, MN

Register online by May 9 at thefirstbbb.org/events. For more information or if you have questions, contact Vicki Lokken-Paverud at 651-695-2428 or vicki.lokken-paverud@thefirstbbb.org.

The BBB of Minnesota and North Dakota launched their local Military Line program on May 19, 2012. This program is designed to help Minnesota and North Dakota servicemembers and their families make wise financial decisions and avoid scams.

Supported by an established national network with a century of expertise in marketplace knowledge, the mission of the BBB Military Line is to improve financial readiness and consumer education for service members, their families, and the military community.

Go Clean's Record with Customers far from Spotless

5/2/2013

Posted on 5/2/2013 by

Burnsville, MN - April 30, 2013 - The Better Business Bureau of Minnesota and North Dakota (BBB) is issuing an alert regarding Go Clean, a St. Louis Park-based carpet cleaning service which advertises heavily through Groupon. The company has a rating of "F" with the BBB due to a pattern of complaints and failing to respond to a recent BBB advertising challenge. Currently, 28 complaints are closed as unanswered. Many customers allege they were billed at a rate far higher than the advertised price, with others saying they were double-billed by the company.

"The company advertisements say, 'No hidden charges,'" said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "However, time and time again consumers are telling us they hired the company to perform services at the advertised price and wound up being charged far more than that."

In one case, an elderly consumer states she tried to use the company's $149.95 coupon and wound up with a bill for over $1,200 - which includes a 10% senior discount the company offers.

Back in January, the BBB challenged the company to substantiate an advertising the company was running which claimed to offer a cleaning valued at $207 for $69. The company failed to respond to the BBB or provide substantiation as requested.

Recently, a number of customers have reported their credit cards were run by the company again; in some cases as much as a year after the company provided service. The BBB is encouraging all Go Clean customers, past and present, to monitor their billing statements closely and alert their credit card providers immediately if they notice suspicious or unusual charges. They may also want to consider contacting their local authorities in these instances.

To avoid potential headaches and disputes, the BBB advises the following steps customers should take when hiring a carpet cleaner:

Be sure to check out businesses with the Better Business Bureau at 1-800-646-6222 or bbb.org.
Remember that price does matter. While no one wants to be overcharged, extremely low prices should also set off warning signals. Companies advertising very low prices may be practicing 'bait and switch' advertising. Once the workers arrive in your home, they quickly push a more expensive treatment for the cleaning or refuse to conduct the cleaning at the price advertised. Ask exactly what is included in the price and be sure to get it in writing before the crew begins any work.
Ask about potential changes that could affect the final cost of the service upfront.
If you have a new stain, you can call your carpet cleaning company for advice before you try do-it-yourself methods or over the counter products. Feel free to ask any questions you may have about the carpet cleaning process.
Review your carpet warranty before you have professional cleaning work performed. Be advised that certain types of cleaning products and equipment may void your warranty.
Carpets will look better and last longer if you have them cleaned regularly. Carpet manufacturers recommend annual cleaning. A reputable cleaning company will provide excellent results.
Ask your technician ahead of time what they do or do not move or if there are any extra charges for this service.
Try to be at home the first time you work with a new carpet cleaning company. Be sure to identify trouble spots before they arrive and point those out to your technician.
If a business offers a service or satisfaction guarantee, be sure to ask them to explain how they define "guarantee".
If a spot reappears after cleaning or there is any other problem with the cleaning, you should call within two weeks and a reputable company will address the problem.
Ask the cleaning company if they sub-contract any work. If they do, ask for the name of the company conducting the work in your home so you have an opportunity to research that company before you agree to the service.
Ask family, friends and neighbors for personal recommendations.

Summer is on the Horizon: BBB Warns Students of Rental Property Schemes

4/25/2013

Posted on 4/25/2013 by
Burnsville, MN – April 25, 2013 – With the school year winding down and summer just around the corner, many students are planning on moving out of college dorms - or their parents' homes - to find apartments or rental homes for the summer months and beyond. The Better Business Bureau of Minnesota and North Dakota (BBB) is reminding students of the importance of doing their homework to ensure online listings for rental properties are legitimate and avoid falling victim to scams.

"The Internet has made it very easy to search for rental properties," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "Unfortunately, it's also made it easier for scammers to create fake ads on sites like craigslist, which attract victims with promises of low rent, only to take their security deposits and leave them on the outside looking in."

In an effort to help students avoid rental scams, the BBB has compiled some helpful information and tips for those who are beginning their search for rental properties. Renters should be wary if:

The deal sounds too good to be true. Scammers will often list a rental for a very low price to lure in victims. Find out how comparable listings are priced, and if the rental comes in suspiciously low, walk away.
The landlord is located elsewhere and prefers to communicate solely via e-mail. Scammers might say they have just been relocated out of the country for a job or missionary work - don't believe it.
An online listing has grammatical or spelling errors – often a sign the ad may have been created by overseas scammers not familiar with the nuances of the English language.
You're asked to wire money through wire transfer services such as Western Union or MoneyGram, or if you're told the deposit or rent needs to be paid with a Green Dot MoneyPak card. Any money sent via these means is extremely difficult to trace, and there is little chance - if any - of getting your money back.
The rental requires a security deposit or first month payment without meeting the landlord, inspecting the property or signing a lease. It's never a good idea to send money to someone you've never met in person for a property you haven't seen. If you can't visit an apartment or house yourself, ask someone you trust to go and confirm that it's actually for rent - and make sure they have access to the property to inspect its condition - inside and out. In addition to setting up a meeting, do a search on the landlord and the property listing. If you find the same ad listed under a different name, that’s a sign that something is likely amiss.

For more helpful consumer tips, visit bbb.org/us/Consumer-Tips.

Green Dot MoneyPak Scams: What You Need to Know

4/24/2013

Posted on 4/24/2013 by
The Better Business Bureau of Minnesota and North Dakota warns consumers that online thieves have found a new method of siphoning cash from them: Green Dot MoneyPaks. These MoneyPaks, which are sold in stores throughout the U.S., are used to make same-day payments or add money to reloadable prepaid debit cards or PayPal accounts. This video talks about Green Dot MoneyPaks – which are a legitimate means of transferring funds – and explains how scammers are using them to defraud consumers.

Top Five Mobile Banking Tips

4/23/2013

Posted on 4/23/2013 by Dan Hendrickson
Gone are the days of waiting in line at the bank or even waiting for your computer to boot up. Now you can access your bank account from anywhere in the world via your smartphone or tablet. However, the Better Business Bureau of Minnesota and North Dakota (BBB) is reminding consumers and business owners they need to be more cautious than ever when banking through any device, as hackers can prey on the unsuspecting.

The BBB and FINRA Investor Education Foundation, part of the Financial Industry Regulatory Authority, offers these five tips on how to keep your identity safe and your money in the bank:

Use a password to protect your phone or tablet so that only you can access the information on your device. This will help protect you if you ever lose a device or have it stolen.

Never provide personal information unless you initiate contact with your bank or other financial institution. Financial institutions should not – and will not – request account numbers, Social Security numbers or other sensitive information through email or text messages. If you're not sure about a communication you receive, contact your bank or credit card provider by calling the number on the back of your debit or credit card.

Don't stay "auto-logged in" to your accounts. Even though it's convenient, it increases the risk that an unauthorized user will access your accounts.

Delete old texts and emails from your bank. Doing this reduces your exposure to fraud.

File reports if your devices are lost or stolen. Inform your wireless provider and financial institutions immediately.

Read more from FINRA about how to protect your money. For more tips you can trust, visit bbb.org and for the latest consumer news, follow us on Facebook at facebook.com/thefirstbbb.

BBB says Bogus Bills from AYPR Inc should be Returned to Sender

4/15/2013

Posted on 4/15/2013 by
Burnsville, Minnesota - April 11, 2013 - The Better Business Bureau of Minnesota and North Dakota (BBB) is warning businesses nationwide to be on the lookout for questionable bills from a company called AYPR Inc, which claims an address in Duluth, Minnesota. Complainants have stated the company is billing them for services they never ordered or authorized. Due to suspect business practices and a pattern of complaints, the BBB has given the company an "F," their lowest rating.

AYPR Inc. claims to publish a business directory and attempts to charge businesses for being listed or featured in that directory. However, in many schemes of this nature, businesses are tricked into paying for services they weren't interested in or something for which they didn't know they would be charged. Some complainants say the person AYPR claims authorized their billing no longer works for them or is not the person such authorizations would go through.

"We often see these directory billing schemes and far too often legitimate businesses fall for them, assuming the company has provided them a service of some kind," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "This is a good reminder for all companies of the importance of a verification system in their accounts payable departments."

In addition to the address the company claims in Duluth - which is a mail shipping and services store - the BBB has learned that AYPR is also claiming addresses in: Colorado, Idaho, Indiana, Louisiana, New Jersey, New Mexico, North Dakota, Oregon, Texas, Utah and Wisconsin.

Directory schemes begin when companies are contacted by phone asked a few vague questions "for verification purposes" or else they receive an innocuous fax which asks them to confirm basic company information and fax the form back to the sender. However, employees often don't realize that by simply providing this information they will be opening the door to future billings. Most of these faxes also have language buried in the fine print which states that by signing and faxing in the form businesses are agreeing to be charged for representation in directories - which may or may not exist - at a cost of hundreds or even thousands of dollars per year.

These scammers will also sometimes pretend to verify or renew a company's "existing" directory listing. They then send as many urgent invoices as it takes to get paid, sometimes including a useless "directory," sometimes not. They create confusion and count on an organization paying to avoid their hounding. When companies refuse to pay, the scammers may use high-pressure tactics, like bullying or threatening collection or legal action. Sometimes, they offer "a better deal" with a phony discount. Or, if a business received a directory, they may allow them to return it (if they pay the shipping costs), but insist on being paid for the so-called listing. These directories are usually worthless; they are rarely distributed or promoted as promised. In any case, if a business pays for their "listing," they likely will receive additional invoices ¬— either from the same scam artists or from others who have purchased their company's contact information.

The BBB and the Federal Trade Commission (FTC) suggest a few simple precautions to put an end to paying for goods or services you haven't ordered.

Designate certain employees as buyers. For each order, the designated buyer should issue a purchase order to the supplier that has an authorized signature and a purchase order number. The purchase order can be electronic or written. The order form should tell the supplier to put the purchase order number on the invoice and bill of lading. The buyer also should send a copy of every purchase order to the accounts payable department, and keep blank order forms secure.

Train Your Staff. Advise employees who are not authorized to order supplies and services to say, "I'm not authorized to place orders. If you want to sell us something, you must speak to ________ and get a purchase order." Establish a team of employees who order and receive merchandise or services and those who pay the bills to develop some standard procedures.

Check All Documentation Before You Pay Bills. If you receive merchandise, the receiving employee should verify that the merchandise matches the shipper's bill of lading and your purchase order. Pay special attention to brands and quantity, and refuse any merchandise that doesn't match up or isn't suitable. Don't pay any supplier unless the invoice has the correct purchase order number, and the information on the invoice matches the purchase order.

Know Your Rights. If you receive supplies or bills for services you didn't order, don't pay. Don't return unordered merchandise, either. Treat any unordered merchandise you receive, like a business directory or even office supplies, as a gift. It's illegal for a seller to send you bills or dunning notices for merchandise you didn't order or ask you to send back the merchandise — even if the seller offers to pay the shipping costs.

Report Fraud. If a business directory scam, or other business product or service scam, has struck your organization, file a complaint with the BBB (bbb.org) and the FTC (ftc.gov). You also can report scams to the Postal Inspection Service and your state Attorney General.

BBB Invites Public to Free Shredding Events on April 20

4/12/2013

Posted on 4/12/2013 by

Secure Your ID Day comes to St. Cloud

Burnsville, Minnesota - April 3, 2013 - The Better Business Bureau of Minnesota and North Dakota (BBB) and AARP North Dakota are sponsoring "Secure Your ID" Day events Saturday, April 20 in Fargo, Bismarck, Jamestown, with the BBB adding St. Cloud as a new addition to this consumer protection initiative. Area residents and businesses are encouraged to shred and properly dispose of their sensitive paper documents and CDs free of charge. Tips and resources on how to avoid identity theft will also be provided. These free, half-day events are part of a series of Secure Your ID Day events being hosted by Better Business Bureaus across the country.

The public and business community is invited to bring up to five boxes or bags of documents to be shredded. Documents to be shredded should be removed from binders, but staples, paper clips and CDs are okay as is. The goal of these events is to educate consumers about identity theft, which has been the top consumer complaint to the Federal Trade Commission (FTC) for the past thirteen years in a row. Identity theft occurs when your personal information - such as your name, Social Security or credit card numbers - are stolen or compromised and then used to commit fraud or other crimes. According to the latest Javelin Strategy and Research study, 12.6 million American adults were victims of identity theft in 2012.

The BBB and AARP ND, along with local partners The Bismarck Tribune, The Forum, Recall and Wells Fargo (Bismarck and Fargo), along with The Jamestown Sun, RSVP+ND South Central, MinnKota Secured Document Destruction Services and First Community Credit Union are sponsoring the North Dakota events, with Shred Right and the Minnesota Small Business Development Center serving as local partners for the St. Cloud event.

BBB Secure Your ID Day Details

Who: The BBB and AARP North Dakota, along with local partners The Bismarck Tribune, The Forum, Recall, Wells Fargo (Bismarck and Fargo); The Jamestown Sun, RSVP+ND South Central, MinnKota Secured Document Destruction Services and First Community Credit Union (Jamestown); and Shred Right and the Minnesota Small Business Development Center (St. Cloud).

What: Free document shredding and distribution of tips and resources for protecting your identity.

When: Saturday, April 20, 2013, from 8 a.m. to 1 p.m. (ND events) and from 9 a.m. to noon in St. Cloud.

Where: Wells Fargo parking lot, 1050 E. Interstate Ave., Bismarck; 2501 13th Avenue South, Fargo;
First Community Credit Union at 111 9th Street SW, Jamestown; and St. Cloud State University's Welcome Center at 355 5th Ave S.

For more information on Secure Your ID Day and identity theft prevention measures for both consumers and businesses, visit: bbb.org/us/secure-your-id.

BBB Provides Tips to Storm Damage Victims

4/12/2013

Posted on 4/12/2013 by
Burnsville, Minnesota - April 12, 2013 - The Better Business Bureau of Minnesota and North Dakota (BBB) is offering guidance to residents in Southwest Minnesota who suffered property or tree damage in this week's storm. The BBB reminds people to take precautions when cleaning up and making repair decisions. Though most contractors and tree trimmers have your best interests in mind, there are those few that are only interested in making a fast dollar. To avoid those bad actors, the BBB provides the following tips to homeowners who have incurred damage:

Get references from friends and relatives and contact the Better Business Bureau to obtain free Business Reviews on any company you are considering hiring. Visit bbb.org or call toll-free at 1-800-646-6222. Shop around and get more than one estimate.
Contact your insurance company immediately to inquire about policy coverage and specific filing requirements. This gets the ball rolling on the claim process.
All companies and individuals that provide tree care or tree trimming services and/or who remove trees, limbs, branches, brush or shrubs for hire must register with the state of Minnesota's Tree Care Registry. This includes public, private, and governmental entities. To verify registration, visit www2.mda.state.mn.us/webapp/lis/default.jsp. It's also a good idea to ensure tree trimmers and brush removal services have any necessary city permits.
Document the damage to your property (and autos); take pictures or video if possible.
Do not make any permanent repairs until you get approval from your insurance company. Your insurer might not fully reimburse you for permanent repairs made without their authorization.
Make any minor repairs to limit further damage to the home. You may be liable for damage that occurs after the storm has passed, so make temporary repairs, such as boarding up broken windows or throwing a tarp over a leaky roof. Be sure to save all of your receipts.
Ask all companies for proof of liability and workers compensation insurance as well as a license to do work in Minnesota. A contractor should be responsible for obtaining all necessary permits, not you.
Prepare a written contract agreement with anyone you hire. It should specify the work to be done, the materials to be used, and the price breakdown for both labor and materials.
Be aware that anything you sign is a contract. Read carefully and avoid signing an "estimate" or "authorization" form before you have actually decided to hire a particular contractor. Pay special attention to any details in bold, that are underlined or that you need to initial.
Be sure the name, address, license number and phone number of the contractor appear on all invoices and contracts.
Any promises made orally should be written into the contract, including warranties on materials or labor.
Never pay in full for all repairs in advance, and do not pay cash.
Review all documentation before signing on the dotted line and before making any payment. Be sure it specifies the schedule for releasing payments to the contractor. Ask for a start and end date for the work to be done.
Although you may be anxious to get things back to normal, avoid letting your emotions get the better of you. Don't be pressured into making an immediate decision with a long-term impact. Make temporary repairs if necessary. Storm victims should never feel forced to make a hasty decision or to choose an unknown contractor.

Better Business Bureau Calls for 2013 Torch Award Nominations

4/1/2013

Posted on 4/1/2013 by

Awards formerly called BBB Integrity Awards

Burnsville, Minnesota - April 1, 2013 - The Better Business Bureau of Minnesota and North Dakota (BBB) is once again calling for nominations for the premier award in business ethics - the BBB Torch Award for Ethics. Previously called the Integrity Award, the Torch Award for Ethics is bestowed upon companies who display outstanding ethics in their dealings with customers, employees, vendors and their community. All for-profit businesses of any size, owned or operated in Minnesota or North Dakota, are eligible. Nominees must be in good standing with the BBB; however BBB Accreditation is not a requirement to compete for the award. The nomination deadline is May 6, 2013.

"The Torch Award for Ethics embodies its name. It recognizes the companies in our marketplace that shine brightest; those organizations which set an example and light the way for all others," said Dana Badgerow, president and CEO of the Better Business Bureau.

Nominations are open to the public. Companies can be nominated online by visiting thefirstbbb.org or by sending the company name, contact name, address, phone number, and email along with the nominator's name and phone number to: BBB, Attn: Mackenzie Kelley, 220. S. River Ridge Circle, Burnsville, MN 55337; or by faxing the information to 651-695-2487. Company owners or employees may also nominate their own firms.

Entrants are judged on six areas of their business: Leadership Commitment to Ethics; Communications of Ethical Practices; Organizational Commitment to Ethical Practice; Organizational Commitment to Performance Management Practices; Organizational Commitment to Ethical Human Resource Practices; and Organizational Commitment to the Community.

"People can nominate companies which have earned their trust and respect in just one transaction or those businesses they frequent and enjoy dealing with on a regular basis," added Badgerow.

BBB Promotes Financial Literacy Month

4/1/2013

Posted on 4/1/2013 by

Cooperative effort highlights cause throughout April

Burnsville, Minnesota - March 28, 2013 - Financial Literacy Month in Minnesota kicks off on April 1, and the Better Business Bureau of Minnesota and North Dakota (BBB) is partnering with ten state agencies on educational initiatives. The purpose of this cooperative effort is to generate awareness on the topic of financial literacy and empower tens of thousands of Minnesota students, soldiers, families, and senior citizens to learn more about their finances and make informed decisions to secure a successful financial future.

"We see firsthand how important financial literacy truly is," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "People on sound financial footing are far more apt to do their due diligence and avoid falling victim to offers or promises that sound - and far too often prove to be - simply too good to be true."

Governor Mark Dayton declared April to be Financial Literacy Month in Minnesota last year. The Minnesota Department of Commerce leads this initiative. In addition to the BBB, other participating agencies include the Minnesota Departments of Corrections, Education, Employment and Economic Development, Higher Education, Housing Finance, Human Rights, Human Services, Military Affairs, and Revenue. The BBB is also a member of the Financial Literacy Roundtable.

The focus of the Roundtable is to celebrate Minnesota's progress and partnerships on financial literacy, engage in constructive dialogue, and pursue new opportunities for program development, improvement and collaboration. The Roundtable is made up of non-profits, government agencies, private enterprises, and financial institutions.

In addition to co-sponsoring free shredding events in Bismarck, Fargo, and Jamestown, North Dakota and their first such event in Minnesota - in St. Cloud - on Saturday, April 20, as part of Secure Your ID Day (minnesota.bbb.org/secure-your-id), the BBB will also be a featured presenter across the state during the month of April to discuss financial literacy and current financial scams (focusing on senior citizen and military community audiences). For a schedule of events or to schedule a speaker for your group, please contact Gary Johnson, Senior Program Manager, 651-695-2424 or gary.johnson@thefirstbbb.org.

Customers Report Lackluster Experiences with Platinum Resort Services

3/26/2013

Posted on 3/26/2013 by

Promised payments not made, consumers left in limbo

Burnsville, Minnesota - March 21, 2013 - The Better Business Bureau of Minnesota and North Dakota (BBB) is issuing a nationwide alert in regard to Platinum Resort Services, a company which claims to offer services to those interested in buying, selling or renting resort and timeshare properties. The company, which has been given an "F" rating by the BBB, claims an address in downtown Minneapolis, but the BBB has determined that's a virtual office address and the company has no physical presence here. Customers allege that after paying upfront closing costs to Platinum Resort Services, the company has failed to disburse proceeds from claimed sales or rentals of their vacation properties as agreed upon.

"This seems to be yet another case of a timeshare scam," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "The company makes big promises, collects upfront fees, and then when the time comes for them to ‘pay up,' they find convenient excuses to delay and keep customers at arm's length."

Platinum Resort Services claims to be "a team of experienced Property and Vacation Ownership Agents." However customers who have complained to the BBB say the company has failed to honor their promises and charged them for services which may not have been provided. Four of the six complainants allege the company has failed to pay them proceeds - in some cases, tens of thousands of dollars - from resort properties the company claims it has sold on their behalf. Two other complainants allege the company agreed to act as a broker by renting their timeshares to others and paying them rental fees. Both of those complainants also state the company failed to follow through with promised payments after collecting upfront fees.

In one case, customers who believed they had sold their rental property purchased another property. However, they now find themselves in the nebulous position of possibly owning two properties and paying associated monthly fees for both. These customers state they have been told the person they were talking with at Platinum Resort Services is no longer employed there and the operator fielding calls for the company would not let them speak to a manager.

The company has responded to complaints brought to its attention by the BBB, but two complaints have been closed as unresolved. Three more are pending. In their responses, the company has stated they "do not receive a commission until a property is sold or weeks are used." Even if that claim is accurate, consumers are out the money they paid the company upfront and left with only the company's word that their properties were sold or rented. Another recent response from the company regarding a timeshare they were supposed to rent states that the customer's filing a complaint with the BBB is what's causing delays in payments and goes on to say that if the customer wants their refund they must first close their BBB file.

"This is simply another delaying tactic," adds Badgerow. "People who are having issues with this company should feel free to file complaints with us. They should also file complaints with their state Attorney General's Office and at www.ic3.gov."

The BBB advises people looking to sell their timeshare properties to always:

Be realistic. In regard to timeshares, it's generally a buyer's - not a seller's - market. Unscrupulous timeshare resellers may claim that your property is in demand and they can sell it immediately; unfortunately, these promises often prove to be false.
Investigate. Don't be dazzled by a fancy website or one that has photos of exotic locales. Use a business you can trust - check out free BBB Business Reviews at bbb.org.
Watch out for upfront fees and requests to wire funds. Many complaints to the BBB regarding timeshare resellers involve situations where people were told they needed to wire "escrow funds," or that they just had to pay taxes or closing costs and their timeshare would be sold. Never wire money to someone you don't know.
Confirm licensing requirements - Verify where the company is located and in what states it does business. Ask if the company's salespeople are licensed to sell real estate where your timeshare is located. If so, confirm that with the state licensing board.
Get the facts on the figures - Find out if the business charges a commission. Do they handle the entire closing and provide escrow services? Do they charge an up-front listing or advertising fee? What does it cover and is it refundable?
Don't fall for the hard sell or an offer that sounds too good to be true - Don't agree to anything over the phone but instead ask the salesperson to send you written materials; take the time to think it over and don't allow yourself to be pressured.
Employ common sense. If a company is located in Minnesota, why are they asking you to wire money across borders?

BBB Warns of Fake Auto Dealer Websites

3/19/2013

Posted on 3/19/2013 by

Three recent cases of phony businesses claiming to be in North Dakota

Burnsville, Minnesota - March 19, 2013 - The Better Business Bureau of Minnesota and North Dakota (BBB) is urging consumers considering an online car purchase to be extra cautious following three recent incidents involving bogus auto dealer websites, each claiming to be located in North Dakota. This scheme was first brought to light by the BBB in our area in late 2011 – when another bogus online entity claimed to be operating an auto dealership in Southern Minnesota – and it appears to be spreading.

"Buying a car online calls for a considerable amount of due diligence," said Steve Farr, Auto Industry Liaison for the BBB of Minnesota and North Dakota. "But even as consumers are doing their homework on a particular vehicle, they should research whether the 'dealer' itself is what it seems -- particularly when purchasing from an unfamiliar dealership in another part of the country."

In the three most recent cases investigated by the BBB, the 'hook' used to entice customers was similar – authentic-looking used auto dealer websites featuring high-end luxury cars such as Ferraris and Bentleys, often priced thousands of dollars below typical book value. Each site claimed a physical address in North Dakota, and provided one or more North Dakota phone numbers for people to contact.

Last October, a Connecticut consumer alerted the BBB to a website purporting to be 'Wieser Autos', on 7th St S in Fargo (this is not to be confused with Wieser Auto Sales, a legitimate used car dealer in Wahpeton, ND). The BBB's investigation revealed that no such dealer was licensed in North Dakota, and that many of the website's auto listings were lifted directly from online inventories of legitimate car dealers around the country. The Fargo address the phony company claimed actually belonged to an unsuspecting business not connected with the shady website.

The BBB immediately contacted the web provider hosting the bogus website, reporting its findings and urging the provider to suspend the site. The website was taken down within a few days, although the BBB subsequently learned of a victim in California who sometime in the weeks prior had wired away over $23,000 to scammers for a truck he never received.

In November, the BBB received a complaint from an Illinois consumer about a website claiming to be 'Golden Motor Group' on Morrison Ave in Bismarck. The BBB once again determined that listed vehicles actually belonged to other, legitimate dealerships, and that the address listed was a rented storage locker. The BBB was again able to have that website shut down. Unfortunately, the consumer who reported the scam had already wired away $32,000 for a sports car that was never delivered.

The most recent example of this scam came in February, when a consumer in Hawaii contacted the BBB about a website purporting to represent 'Nationwide Motor Center,' with an address on North 4th St in Grand Forks. Once again, the BBB was able to establish that the dealership and its inventory were non-existent, and the web provider quickly opted to shut down the site when presented with these findings.

One new 'twist' in the Grand Forks case was that the consumer first encountered 'Nationwide Motor Center' through a listing on Cars.com, a legitimate auto advertising and research site. A contact claiming to be a private individual indicated she was consigning her truck due to 'financial hardship,' and urged the consumer to contact 'Nationwide' about the purchase. Thankfully, the consumer's instincts told him to cut off communication with the 'consignor,' and he alerted the BBB.
In light of the spread of phony auto dealer websites, the BBB offers the following tips to consumers considering an auto purchase online:

If the deal sounds too good to be true, it probably is. In each example of this scheme, cars were advertised at prices substantially below book value for comparable vehicles. Use online resources such as Kelley Blue Book to get a sense of how much you might realistically expect to pay for a used car.
Research the dealer, just as surely as you'd research the car. Start by visiting BBB.org, to verify that the business has a listing and complete contact information. Ensure that the business is licensed as an auto dealer in the state. In North Dakota, dealer licensing is administered through the Department of Transportation. In Minnesota, the Department of Public Safety handles dealer licensing, and maintains a 'Dealer Lookup' page on its website.
Do a little Internet 'detective work.' If the vehicle listing provides a VIN number, do a simple Google search to see if that same listing appears elsewhere on the web. If you see it listed in the inventory of another dealership elsewhere in the country, you’ll know something is amiss.
Watch for geographic and other visual inconsistencies. Many of the vehicle photos on the three websites referenced above clearly showed palm trees and mountain ranges in the background, something not typically seen if a vehicle is photographed and available for sale in North Dakota. Other photos were clearly stock images, and not actual vehicle photos.
If a purported dealer attempts to rush you into sending money to 'hold' a car or hesitates when you ask if you can see or inspect the vehicle, move on. The BBB urges consumers not to send money for an online vehicle purchase without having an opportunity to see the vehicle first, or to have it inspected by a third-party inspector of your choosing.

BBB Tips on Spring Carpet Cleaning

3/14/2013

Posted on 3/14/2013 by

When contacting a carpet cleaning company, it’s always important to ask questions about the price of the service and specifically what is included in the price for that service. Many of the complaints the Better Business Bureau of Minnesota and North Dakota (BBB) receives against carpet cleaners involve situations where a company advertises they will clean two rooms for a given price and then the final bill is much higher than the advertised price.

To avoid potential headaches and disputes, the BBB advises customers to take the following steps when hiring a carpet cleaner:

Be sure to check out businesses with the Better Business Bureau at 1-800-646-6222 or bbb.org.
Ask about potential changes that could affect the final cost of the service upfront.
If you have a new stain, you can call your carpet cleaning company for advice before you try do-it-yourself methods or over the counter products. Feel free to ask any questions you may have about the carpet cleaning process.
Review your carpet warranty before you have professional cleaning work performed. Be advised that certain types of cleaning products and equipment may void your warranty.
Carpets will look better and last longer if you have them cleaned regularly. Carpet manufacturers recommend annual cleaning. A reputable cleaning company will provide excellent results.
Remember that price does matter. While no one wants to be overcharged, extremely low prices should also set off warning signals. Companies advertising very low prices may be practicing ‘bait and switch’ advertising. Once the workers arrive in your home, they quickly push a more expensive treatment for the cleaning or refuse to conduct the cleaning at the price advertised. Ask exactly what is included in the price and be sure to get it in writing before the crew begins any work.
Ask your technician ahead of time what they do or do not move or if there are any extra charges for this service.
Try to be at home the first time you work with a new carpet cleaning company. Be sure to identify trouble spots before they arrive and point those out to your technician.
If a business offers a service or satisfaction guarantee, be sure to ask them to explain how they define “guarantee”.
If a spot reappears after cleaning or there is any other problem with the cleaning, you should call within two weeks and a reputable company will address the problem.
Ask the cleaning company if they sub-contract any work. If they do, ask for the name of the company conducting the work in your home so you have an opportunity to research that company before you agree to the service.
Ask family, friends and neighbors for personal recommendations.

Is a Smartphone Credit Card Processor Right for Your Business?

3/14/2013

Posted on 3/14/2013 by
Gone are the days of having to rely on your "brick and mortar" store to drive shoppers to your business. Traveling retailers can make a sale with just the touch of a button and the swipe of a credit card via their smartphone. Using smartphone credit card readers, businesses have the capability of taking their sales to the next level, but your BBB is advising business owners to make sure that such a system is right for their business.

Do your research. Just like a landline-based credit card system, you'll need a merchant account to process payments, a scanner device to read the card, and software (app) to make it run. Don't skimp on research. Start with your bank or your credit card service for suggestions on recommended services and devices. Check out all vendors at bbb.org. Ask for references.
Choose the right combination. Your smartphone merchant account might interface with your existing landline-based account, and that will make life easier. Build from there; find the app you feel comfortable using that has the features you want. There are over a hundred apps available for different smartphones; each is usually compatible with a number of different swiping devices. The reader itself is the last step (and the easiest to replace or exchange).
Read the fine print. Using a smartphone credit card reader might be a great way to increase your sales while on the road. However, make sure to read the fine print for the smartphone app to make sure that you won't be charged while you're not using it.
Offer the customer service your shoppers expect. Some shoppers may not be familiar with this kind of payment method. Be sure to offer them the option of having a receipt emailed to them, or even offer to print the receipt there with a separate smartphone printer. This will reduce the hassle should your customer want to return the product.
Beware of scams! As with any emerging technology, scammers are figuring out how to exploit vulnerabilities. Don't buy the devices or apps from vendors you don't know.

Visit BBB's website for more Business Tips or join our LinkedIn business group.

National Consumer Protection Week - Sign Up for a Tip-a-Day!

3/1/2013

Posted on 3/1/2013 by
As part of the 15th Annual National Consumer Protection Week (NCPW), the BBB of is offering consumers seven helpful tips, one for each day of the week. To receive a BBB tip-a-day on the latest consumer topics during National Consumer Protection Week (March 3 - 9), sign up here: https://cbbb.wufoo.com/forms/email-sign-up/.

NCPW is the time of year when government agencies and nonprofit organizations across the country work together to offer consumers a wealth of helpful tips and information. The BBB is encouraging everyone to be aware of their rights as consumers and to strive to make better-informed purchasing decisions.

"National Consumer Protection Week is always a great time for people to take stock of their habits and things they could do better in terms of managing their money and protecting themselves from fraud," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "Everyone is a potential target for scams and this is a great way to remind consumers that they can certainly take action to reduce their risk of becoming a victim."

In conjunction with the BBB, Valley News Live (KVLY-TV) in Fargo, North Dakota will be hosting an all-day Scamathon on Wednesday, March 6, featuring interviews with the BBB during their newscasts and a phone bank, where BBB staff will be available to answer questions throughout the day from 8 a.m. to 6:30 p.m. Consumers can call 800-646-6222 with their questions. Trained BBB Resource Specialists are available at that number throughout the year Monday through Friday from 8 a.m. to 5 p.m. to answer questions and inquiries from the public and the business community. Free Business Reviews are also available 24 hours a day at bbb.org.

NCPW.gov offers consumers a wide selection of free materials to learn how to protect their privacy, stay safe online, manage their money, avoid identity theft, understand mortgages and steer clear of fraud and scams. People can also visit www.bbb.org/us/Dispute-Resolution-Services/Identity-Theft-Resources for more tips on how they can become wiser consumers.

BBB Warns of Utility Scam Tripping Wires

2/19/2013

Posted on 2/19/2013 by

Public advised to watch out for phony representatives

Burnsville, Minnesota – February 14, 2013 – The Better Business Bureau of Minnesota and North Dakota (BBB) is warning consumers and businesses to be on alert for phone calls or visits from people going door to door trying to collect money fraudulently by claiming utility bills are overdue and must be paid with reloadable debit cards, such as Green Dot MoneyPak cards. The BBB reminds consumers and business owners not to be pressured into making payments on the spot and to contact their utility companies directly if the status of their account is called into question or if they suspect the possibility of fraud.

"This is a particularly bold scam," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "Obviously, it's more important than ever to know who you're dealing with and to verify the information you’re given before doing anything."

The BBB is aware of this scheme being attempted recently in the Brooklyn Park area, where unidentified individuals went door to door trying to fraudulently collect utility payments, and in many other regions around the country where this scheme has been attempted both in person and over the phone. People who have questions about the identity of individuals on their doorstep are urged to be cautious and to contact the police if they have concerns about their safety.

In recent years, scammers have been trying to capitalize on people's unfamiliarity with reloadable debit cards such as Green Dot MoneyPak cards. Though these cards themselves are a perfectly legitimate means to transfer money, many people don't realize that once they share the numbers on the back of these cards, anyone with that information can siphon funds from the cards almost instantaneously. In cases like this, any individual who followed the instructions they're given would discover quickly the card they had loaded with funds would be drained of value and they would still owe the utility in question – be it their water, gas, cable or electric bill.

To avoid falling victim to this spreading scam, the BBB advises the following:

Keep in mind that while utility companies may contact customers whose accounts are overdue, they will usually first do so through the mail. They will only send representatives to your door to collect payments after they have made every attempt to work with you to keep your account current. Even then, they will have proper identification and welcome you to call the utility company to verify their identity. However, neither they nor phone representatives will demand that payments be made via a reloadable debit card.
If you have doubts about a caller's identity or suspicions about the purpose of the call, hang up and contact your utility directly to verify any information received.
Be aware that many utility companies offer payment options if your account is in arrears or if you need assistance. Visit their website or call them directly for more details.
Contact the BBB with questions toll-free at 1-800-646-6222.

BBB, Partners Launch ND Committee Against Marketplace Fraud

2/13/2013

Posted on 2/13/2013 by

Inaugural meeting held in Fargo

Burnsville, Minnesota – February 12, 2013 – On Thursday, February 14, the Better Business Bureau of Minnesota and North Dakota (BBB), brought together leading federal and state regulatory agencies – including the Federal Trade Commission (FTC) – as well as other law enforcement organizations to convene the first meeting of the North Dakota Committee Against Marketplace Fraud (CAMF) in Fargo. The BBB established CAMF meetings in Minnesota in 2007.

“We’re very excited to bring this initiative to North Dakota and proud to work closely with so many established agencies and consumer protection organizations,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “We feel by pooling our efforts, we’ll all be better equipped to act quickly to crack down on fraudulent offers and entities.”

Due to the sensitive nature of the topics being discussed, CAMF meetings are not open to the public. And because information disseminated may be used in investigations and sometimes prosecutions, the individual representatives from the different agencies and regulatory bodies all sign non-disclosure agreements prior to participating in these meetings. The goal of the meetings is to share information and help identify fraudulent offers and problematic business practices, thereby allowing each agency to prioritize their investigative or enforcement efforts.

“We’ve had terrific results with CAMF in Minnesota, and we’re confident this initiative will enjoy the same success and help all involved serve the people of North Dakota even better,” added Badgerow.

Going forward, CAMF meetings will be held quarterly in North Dakota. Just some of the agencies represented at the inaugural meeting on February 14 included: Federal Trade Commission; ND Secretary of State’s Office; United States Postal Inspection Services; Internal Revenue Service – Criminal Investigation Division; ND Protection and Advocacy Project; Fargo Police Dept. – Financial Fraud Division; FBI – North Dakota District Office; ND Department of Health; U.S. Secret Service – ND Division; Homeland Security – ND Division; and Homeland Security – State and Local Intelligence Center – ND Division.

BBB, University of St. Thomas Announce Second Ethics Summit

2/5/2013

Posted on 2/5/2013 by

Discussion to include business ethics challenges and solutions to promote a healthy marketplace

Burnsville, Minnesota – February 5, 2013 – The Better Business Bureau of Minnesota and North Dakota (BBB), in partnership with the University of St. Thomas’ Opus College of Business (UST), will host the second annual Business Ethics Summit on Wednesday, February 20 from 8 to 10:30 a.m. The event will take place on the University of St. Thomas’ campus in downtown Minneapolis, where business leaders, ethics officers, college students and professors will gather to take part in a free-flowing dialogue about the critical role business ethics plays in today's workplace.

“Last year’s Business Ethics Summit was such a success that it was obvious it had to become an annual event,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “We feel by bringing current ethical leaders together while incorporating the viewpoint of today’s students, the ensuing discussion will really resonate and pay dividends in the future.”

The 2012 Business Ethics Summit witnessed ethics officers and executives from General Mills, CenterPoint Energy, Best Buy and many other leading firms discussing real-life ethical scenarios their companies have faced or face on a regular basis. A recurring theme from last year’s Business Ethics Summit was the correlation between strong ethics and long-term success. Among many notable quotes from last year’s event, Dean Christopher Puto of the Opus College of Business stated, “The reward for being a good business is profit.”

KSTP’s Tom Hauser returns as event moderator, and Karen Himle, who is on the Board of HMN Financial and previously served as Vice President of University Relations at the University of Minnesota and Executive Vice President and President of The Children’s Hospital Foundation, will be the keynote speaker. Panelists at this year’s event include: Mary Benhardus, Handi Medical Supply; Dr. Stuart Dalton, White Bear Animal Hospital; Heather Hille, The Toro Company; Keturah Pestel, Thrivent Financial for Lutherans; David Rodbourne, Center for Ethical Business Cultures, UST; and Terry Stamman, Twin Cities Siding Professionals.

“As a leader in the field of business ethics education and research,” said Dean Puto, “the Opus College of Business is proud to facilitate ongoing discussions about ways to turn theory into workplace practice.”

In an effort to broaden the conversation about ethics today and encourage participation during the event, the BBB has launched a Twitter hashtag, #BBBSummit. BBB staffers will moderate a “Tweet Wall” during the event, providing updates on the event and subsequent discussions.

The Business Ethics Summit will also once again offer the Better Business Bureau Ethics Showcase (bbbethicsshowcase.org), an online gallery of business ethics materials used by top companies and institutions. Continuing education ethics credits are also available and can be earned for several professions. Contact Mackenzie Kelley at 651-695-2482 or mackenzie.kelley@thefirstbbb.org with questions or for more information.

Registration is required and open to the public at bbbsummit.org.

Location:
Terrence Murphy Hall, Opus College of Business
University of St. Thomas
1000 LaSalle Avenue
Minneapolis, MN 55403

Date and Time:
Wednesday, February 20, 2013
8 a.m. to 10:30 a.m.

Cost (breakfast is included):
$29 / Person
$25 / BBB Accredited Businesses
Free / College Students

Special thanks to our event sponsor: Minneapolis/St. Paul Business Journal

About the Better Business Bureau

The mission of the Better Business Bureau is to be the leader in building marketplace trust by promoting, through self-regulation, the highest standards of business ethics and conduct, and to instill confidence in responsible businesses through programs of education and action that inform, assist and protect the general public. Our hours of operation are 8 a.m. to 5 p.m. Monday through Friday. Contact the BBB at bbb.org or 651-699-1111, toll-free at 1-800-646-6222.

Better Business Bureau Releases 2012 Complaint, Inquiry Statistics

1/30/2013

Posted on 1/30/2013 by

Burnsville, MN - January 24, 2013 - The Better Business Bureau of Minnesota and North Dakota (BBB) has compiled the Top Ten industries for consumer complaints and inquiries, according to their final statistics for 2012. For the year, the BBB provided over 2.7 million instances of service to the public - a new record.

The BBB handled just over 24,200 complaints in 2012, about the same amount as the previous year. They resolved roughly 90% of them. "Our complaint levels have remained steady for the last three years," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "We're pleased that's the case, but, as always, our goal is to have people visit bbb.org before making purchasing decisions, to find reputable companies and hopefully avoid issues."

Complaints against auto dealers - used cars and new cars - took the top two spots in 2012, followed by complaints against auto repair companies and siding contractors. Used car complaints handled by the BBB typically involved consumer claims that cars were not in the condition promised. Complaints against new car dealers generally touched on issues involving sales of previously-owned vehicles or alleged issues with service or repairs. However, the complaint resolution rates for the used and new car industries were 92% and 98%, respectively - both above the average resolution rate for BBB complaints.

Five separate categories in the construction industry made this year's Top Ten complaint list. The construction industry also topped the list of inquiries from the public in 2012, with collection agencies coming in second. Two new additions to this year's top ten consumer inquiries list were Internet Shopping and Home Builders, which reflects the shift in customer shopping habits and would also seem to indicate an improving real estate market.

Top Ten industries by volume of complaints:

1. Auto Dealers - Used Cars
2. Auto Dealers- New Cars
3. Auto Repair & Service
4. Siding Contractors
5. Contractors - General
6. Roofing Contractors
7. Banks
8. Construction & Remodeling Services
9. Windows- Installation and Service
10. Property Management

Top Ten industries by consumer inquiries:

1. Contractors- General
2. Collection Agencies
3. Pillows
4. Construction & Remodeling Services
5. Roofing Contractors
6. Auto Dealers- Used Cars
7. Internet Shopping
8. Marketing Programs & Services
9. Home Builders
10. Property Management

"As always, these statistics tell a story but not the full story," added Badgerow. "It's certainly not to single companies in these industries out or label them as problematic. It's simply a snapshot of trends we noted in our marketplace over the past year."

BBB Tips on Finding a Tax Preparer

1/21/2013

Posted on 1/21/2013 by

Burnsville, Minnesota - January 17, 2013 - Tax season is here once again, and thanks to the demise of the so-called payroll tax holiday - which expired on December 31 - all workers will pay higher taxes this year. The Better Business Bureau of Minnesota and North Dakota (BBB) reminds people that it's better to start gathering the materials you'll need to file your 2012 tax return earlier rather than waiting until the last minute. And don't forget, IRS rules say taxpayers are legally responsible for what's on their tax return even if it is prepared by someone else, so it's important to be selective when hiring an individual or firm to prepare your return.

"Most tax professionals provide quality service," said Dana Badgerow, President and CEO of the Better Business Bureau of Minnesota and North Dakota. "Still, we have seen cases where businesses have closed suddenly or stopped communicating with their clients. It's important to check out company track records and feel comfortable with the tax preparer you choose."

The BBB offers the following advice on tax preparation and how to find a trustworthy tax preparer:

Ask around. Get referrals from friends and family on who they use and check BBB reports on tax preparers and tax preparation services at www.bbb.org/search.
Don't fall for the promise of big refunds. Be wary of any tax preparation service that promises larger refunds than the competition, and steer clear of tax preparers who base their fee on a percentage of the refund.
Look for credentials. Ideally, your tax preparer should either be a certified public accountant, a tax attorney, an enrolled agent or a certified E-file provider. Be sure to find out if the preparer is affiliated with a professional organization that provides or requires its members to pursue continuing education and holds them accountable to a code of ethics.
Make sure they have a Preparer Tax Identification Number (PTIN). A PTIN must be obtained by all tax return preparers who are compensated for preparing or assisting in the preparation of, all or substantially all of any U.S. federal tax return, claim for refund, or other tax form submitted to the IRS.
Investigate whether the preparer has any questionable history with your state's Board of Accountancy (for CPA's), the State Bar Association (for attorneys) or the IRS Office of Professional Responsibility (OPR) for enrolled agents.
Remember that a Paid Preparer is required by law to sign your return and fill in the preparer areas of the form. They should also include their appropriate identifying number on the return. In addition, the preparer must give you a copy of your return.
Think about accessibility. Many tax preparation services only set up shop for the months leading up to April 15. In case the IRS finds errors, or in case of an audit, you might need to be able to contact your tax preparer throughout the year; be sure to find out how you would do so.
Read the contract carefully. Read tax preparation service contracts closely to ensure you understand issues such as how much it is going to cost for the service, how the cost will be affected if preparation is more complicated and time consuming than expected and whether the tax preparer will represent you in case of an audit.
Don't forget about Free File. If your income is $57,000 or less, Free File offers free Federal tax preparation and e-filing. It's available only through IRS.gov, where a number of tax software companies make their products available for free. Some also support state tax returns for free. www.irs.gov/uac/Free-File:-Do-Your-Federal-Taxes-for-Free.

For more advice on finding professionals you can trust, visit bbb.org/us/bbb-news.

Animal Wellness Plans and Pet Insurance may help take bite out of vet bills

1/18/2013

Posted on 1/18/2013 by

BBB Advice on finding the best coverage for your pet

January 8, 2013 - Burnsville, MN - Nurturing and caring for your pet may be easy, but paying for quality veterinary care over the course of your pet's life might not always be quite as easy. Most pet owners are able to cover the costs of routine vaccinations and yearly checkups out of pocket, but what about unforeseen injuries or illnesses? Some pet hospitals, veterinary clinics and other animal organizations now offer wellness plans or insurance plans to help pet owners manage costs as well as the health of their pets. The Better Business Bureau of Minnesota and North Dakota (BBB) is reminding people to be sure they're clear on the differences between the two types of coverage.

"Both pet wellness and pet insurance plans offer benefits to consumers, as well as their pets," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "The key is investigating your options and deciding if one or both is the best choice for you."

Wellness plans are generally for proactive, preventative care. Pet hospitals and veterinary clinics refer to them as "discount membership" programs for pet owners to receive discounts on routine services pets typically need. These often include office visits, physical exams, vaccines, and screening for illnesses. Plans like these usually require a one-time annual payment or 12 monthly payments. There are no deductibles with wellness plans, but they do not cover unexpected health issues or emergency situations. Consumers should be sure to ask if their wellness plan renews automatically and be clear on how they can opt out of their plan - as well as ask if any cancellation fees will apply.

Pet insurance plans generally cover treatment for animal illnesses or injuries. These plans require monthly premiums and cover a large portion of the cost of diagnosis and treatment for emergency situations; however, there may be exclusions as well as caps on your claims. Ultrasounds, x-rays, blood work and surgeries are just a few of the services that would likely be covered under an insurance plan, but not a wellness plan. Some plans don't cover pre-existing conditions or chronic issues such as kidney failure, diabetes or arthritis. Certain breeds or dogs of a certain age might also be exempt from some types of insurance coverage. As with other insurance plans, deductibles and co-pays may apply.

The BBB provides the following tips for pet owners interested in health plans for their pets:

Not all plans are created equal. Compare the insurance and wellness plans offered by different pet hospitals and animal organizations to understand the differences in coverage and options available to you.
Make sure you're clear on the effective date of whatever plan you purchase. Your coverage may not begin on the date you sign the contract and you could end up being charged more than you expect if an office visit becomes necessary or an emergency occurs in the timeframe in between.
Keep a copy of your wellness plan or pet insurance coverage on hand. Make sure you're clear on what is and what isn't covered.
Ask your veterinarian. They should be able to answer any questions you have about your pet and help you select the coverage that's best for you.

Fake Tech Support Calls Can Leave You in the Lurch

1/18/2013

Posted on 1/18/2013 by
BBB Advises Extreme Caution

Burnsville, Minnesota - January 17, 2013 - The Better Business Bureau of Minnesota and North Dakota (BBB) is noting an uptick in reports of the "Tech Support" scam. Consumers have contacted the BBB in recent days reporting phone calls from people identifying themselves as computer technicians and telling potential victims they're calling because they've noted issues with their home - or business - computers. The BBB is urging people not to be fooled by these calls, as they are not legitimate and are designed to either solicit credit card numbers or gain remote access to computers, which could lead to personal or financial information being compromised.

"As in most cases, there's a level of plausibility to this scam," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "Scammers tell consumers they're calling because of an operating flaw or because they've noticed their computers are running slow. And many older computers do run slow. However, consumers need to know these cold calls are bogus. When you have a computer problem, you call the expert. It's not the other way around."

In many instances of this scam, people report the callers have foreign accents. They also sometimes identify themselves as being with Microsoft.

According to Microsoft, once these scammers are given access to a computer they can install malicious software, steal personal information, take control of the computer remotely or direct customers to fraudulent websites where they are asked to enter their credit card information.

The BBB offers these tips to avoid the Tech Support scam:

Don't trust cold calls. Remember, computer firms don't call you about a problem - you call them. Also, never give out your personal information over the phone to someone you don't know. If a caller claims there's a problem with your computer, simply hang up.
Protect your computer - All computers should always have the most recent updates installed for spam filters, anti-virus and anti-spyware software and a secure firewall.
Find a computer repair firm you can trust. If you are having computer problems or technical issues, visit bbb.org to find a BBB Accredited Business you can depend on.

BBB lists Top Ten Scams of 2012

1/16/2013

Posted on 1/16/2013 by
Burnsville, Minnesota - January 10, 2013 - As we ease into the New Year, the Better Business Bureau of Minnesota and North Dakota (BBB) is taking time to look back at the Top Ten scams of the past year. The list is an informal one compiled by BBB staff and weighs scams by how widespread they were and the effect they had in the Minnesota and North Dakota marketplace.

"2012 continued to be a big year for 'classic scams' such as bogus timeshare resellers or asphalt scams, where companies knock on doors claiming to have excess materials from other jobs," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "However, we also saw the emergence of a highly malicious text scam and a utility scam that had many consumers mistakenly believing the government would be paying their utility bills."

In no particular order, the Top Ten scams of 2012 according to the BBB were:

Phony debt collectors telling consumers they faced arrest if they didn't make an immediate payment on bills they may or may not have owed. Under the Federal Debt Collection Practices Act, debt collectors cannot threaten people with arrest.
A text scam in January which resulted in a $10 charge - per text - on the cellphone bills of people who received the unsolicited messages, regardless of whether or not they opened or responded to these messages.
Sweepstakes scams. Consumers continued to be victimized by emails, texts or letters informing them that they had won sweepstakes. Unfortunately, these were only ploys to get people to pay - supposedly for taxes or insurance purposes - fees to collect non-existent prizes. Remember, if you're told you have to pay or wire money to collect a prize, you haven't won anything.
Deed Scams. Consumers receive official-looking notices which look like bills for a copy of their property deed. The BBB reminds consumers they generally don't need copies of their deed, and also that companies who send out these mailings charge homeowners more than 40 times the price they would pay if they were to purchase the same copies themselves at their county offices.
Bogus timeshare resellers. In 2012, the BBB identified four entities claiming Minneapolis and St. Paul addresses, all purporting to be resellers of timeshare properties. However, a closer review of these companies revealed they were not located here and none of them were legitimate organizations. Complaints regarding timeshare resellers often involve situations where people were told they only needed to wire "escrow funds," or that they just had to pay taxes or closing costs and their timeshares would be sold. Never wire money to someone you don't know.
Asphalt Scams. Traveling crews go door to door claiming they have extra asphalt from a nearby project and they're willing to work at a discounted rate. However, the quality of work is often sub-par and the final cost can sometimes be double - or many times - the quoted price.
Utility Scam. In early July, our area was hit by a nationwide scam which claimed the government would pay people's utility bills through a new federal program. Through social media, customers shared a fraudulent bank routing number that would supposedly pay their utility bills via automated telephone payment services. The payments were initially accepted but later declined after the bank account number proved to be phony.
Romance Scams. Scammers use dating sites, chat rooms and social networking sites to woo singles and eventually convince them to hand over money. The BBB advises people to try to meet someone locally, as there's a far higher risk of running into a long-distance scammer when your only contact with the suitor is online.
Ransomware. A tricky new computer virus that delivered pop-up messages to infected machines which claimed to be from the FBI and threatened people with a fine or prison unless they paid a fee to have their computer unlocked. The BBB advised affected consumers to pay an expert to fix their computers - not the scammers - and urged all computer users to make sure their computer had the most recent updates installed for spam filters, anti-virus and anti-spyware software, as well as a secure firewall.
Power4Home Pro. A company which claims a Minnesota address (however it's a UPS Store) and also claims on their website they can teach people how to "slash their power bill or eliminate it completely." The company has an F rating with the BBB due to unanswered complaints and a pattern of complaints alleging incomplete orders or non-shipment of training materials. The company also failed to provide the BBB with substantiation of savings claims made on their website.

BBB Advice on Handling Debt Collectors

1/16/2013

Posted on 1/16/2013 by
Burnsville, Minnesota - January 3, 2013 - Consumers who owe money or are behind on their bills may legitimately be contacted by debt collectors. However, the Better Business Bureau of Minnesota and North Dakota (BBB) is reminding consumers to be aware of their rights and also providing some tips on best practices when it comes to handling debt collectors.

Debt collectors seek to reclaim funds on past-due accounts on behalf of creditors, businesses or individuals. But sometimes debt collectors go too far, or in some cases even turn out to be an identity thief trying to get you to divulge personal or financial information, such as your Social Security, bank or credit card numbers.

"Consumers need to be clear on what debt collectors can and cannot do," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "If the caller is abusive or refuses to reveal the name of their organization, people need to report this type of behavior."

When you're contacted by a debt collector, the BBB recommends that you:

Know your rights. Review the federal Fair Debt Collection Practices Act (FDCPA), which sets standards for collection agencies and prohibits abusive tactics. The FDCPA is enforced by the FTC and violations should be reported. Debt collectors:

Cannot threaten you with arrest.
Are not allowed to make idle threats, express or implied, or use abusive language.
Should not discuss consumers' accounts with unauthorized third parties.
Must investigate the validity of a dispute over a debt.

Verify the legitimacy. Get the debt collector's name as well as the name of their company to research the collection agency further. See if they have a website or a Business Review at bbb.org. Verify that the representative who called is affiliated with the collection agency. Also, make sure the company is licensed to do business in your state. In Minnesota, collection agencies have to be licensed by the Minnesota Department of Commerce; in North Dakota by the Department of Financial Institutions.

Request written proof. By law, a collection agency must provide a validation notice within five days of contacting you about the debt. Within 30 days of receiving their validation notice, send the debt collector a written request to verify the details of the debt. Do not provide personal or financial information until the validity of the debt and the debt collector has been confirmed. If the debt cannot be verified or if requested documentation isn't provided, be extremely wary.

Don't ignore the collector. It is best to respond immediately, even if you don't believe the debt is yours. Otherwise, the collector may continue contacting you or file a judgment.

Do not claim a debt that isn't yours. Making a payment on a bill just to make the collector "go away" is a bad idea. Even making just one payment can indicate that you are accepting the full responsibility of the debt. The invalid debt could also reflect as a liability on your credit report.

Contest errors. If no debt is confirmed, contact any involved parties to clear up possible inaccuracies on your credit report, such as: the debt collector; the creditor or company claiming unresolved accounts; and the major credit bureaus.

Check for identity theft. If you're contacted by a collection agency regarding erroneous bills or debts, it could be an indication of identity theft; an imposter may be using your identity to make purchases, open accounts or obtain credit. Review your credit report to identify fraudulent activity. Visit annualcreditreport.com for a free yearly credit report and visit the FTC's website for advice on Resolving Specific Identity Theft Problems relating to debt collectors.

Know your responsibilities. It is not against the law for a debt collector or creditor to contact you regarding unpaid debts. Try working with them to resolve issues. Discuss the possibility of a payment plan and request obligations in writing.

Stop intrusive collector calls. According to federal law, a debt collector cannot continue to contact you - at work or home - if you tell them to stop. Write a letter stating not to contact you anymore. Save a copy of the letter then send the original via certified mail and request a return receipt. If a debt is owed, the collector or creditor can still take legal action to collect funds and may contact you to apprise you of their action.

Report Scams. Debt collection victims can file complaints with the:

Better Business Bureau.
Federal Trade Commission.
State Attorney General's Office and other local consumer affairs agencies.
American Collectors Association (ACA International) processes complaints on its member debt collectors; find out if the debt collection agency is a member.

Timeshare reseller scams hit home

1/8/2013

Posted on 1/8/2013 by

Twin Cities a "virtual" home for offshore fraudsters in 2012

Over the course of 2012, the BBB identified four entities claiming Minneapolis and St. Paul addresses, all of which purported to be resellers of timeshare properties. However, a closer review of these companies and the complaints filed against them revealed that they were operated remotely - likely from Mexico - and none of them were legitimate organizations.

"The timeshare reseller scam is a very devious and a very costly one," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "In some cases, people have lost tens of thousands of dollars to these fraudulent entities or others like them. And that money, in all likelihood, is gone forever."

In almost every documented case of this fraud, customers were contacted by individuals claiming to represent companies that had secured buyers for their timeshares. Consumers were then told they had to wire escrow funds to Mexico - or money to cover transfer fees, closing costs or taxes and liens - in order to complete the sales of their timeshares. Upon wiring funds as requested, customers were either informed unexpected costs had arisen and they would have to wire still more money, or else the individuals they were dealing with dropped out of contact upon receipt of the original funds.

The four shady companies which the BBB brought - or helped bring - to light last year were: Events, Etc, Event Consulting Services, Global Consulting & Real Estate Services and Renaissance Marketing of Property. All four entities proved to have no actual physical presence in Minnesota, and all have F ratings with the BBB.

Events, Etc. was an event planning business which operated lawfully in Minnesota from 1992 to 2011. Sometime after that company closed, however, an offshore entity appropriated their company name and address, re-registering it with the state of Minnesota, and then created an authentic-looking website purporting to offer event planning services - which was the same false claim made by both Event Consulting Services and Global Consulting & Real Estate Services. These entities claim the same address in downtown Minneapolis. Though the phone line for Event Consulting Services is still active, the websites for both companies appear to be down.

Renaissance Marketing of Property, identified most recently as being one of these fraudulent entities, was the target of a recent Cease and Desist order filed by the Minnesota Department of Commerce due to a lack of proper licensing and employment of bait and switch tactics.

"Four entities of this nature claiming an address in our area over this period of time is somewhat unusual," added Badgerow. "It's most likely a sign the scammers are trying to strike while the iron is hot. The best way for people to guard against this scam is to be aware of its hallmarks."

The BBB advises people looking to sell their timeshare properties to always:

Be wary. If you currently own a timeshare and are approached by a company offering to help you sell it, use caution.
Investigate. Don't be dazzled by a fancy website or one that has photos of exotic locales. Use a business you can trust - make sure the timeshare reseller you use is a BBB Accredited Business or at the very least has a track record in the industry and a good rating with the BBB. You can check out a business's BBB Business Review at bbb.org.
Watch out for upfront fees and requests to wire funds. Many complaints to the BBB regarding timeshare resellers involve situations where people were told they needed to wire "escrow funds," or that they just had to pay taxes or closing costs and their timeshare would be sold. Never wire money to someone you don't know.
Confirm licensing requirements - Verify where the company is located and in what states it does business. Ask if the company's salespeople are licensed to sell real estate where your timeshare is located. If so, confirm that with the state licensing board.
Get the facts on the figures - Find out if the business charges a commission. Do they handle the entire closing and provide escrow services? Do they charge an up-front listing or advertising fee? What does it cover and is it refundable?
Don't fall for the hard sell or an offer that sounds too good to be true - Don't agree to anything over the phone but instead ask the salesperson to send you written materials; take the time to think it over and don't allow yourself to be pressured.
Employ common sense. If a company is located in Minnesota, why are they asking you to wire money across borders?
Be realistic. In regard to timeshares, it's generally a buyer's - not a seller's - market. Unscrupulous timeshare resellers may claim that your property is in demand and they can sell it immediately; unfortunately, these promises often prove to be false.

BBB's Top Ten tips for choosing a garage door repair company

1/8/2013

Posted on 1/8/2013 by
Burnsville, Minnesota – December 5, 2012 – As temperatures begin to drop – albeit slowly – the Better Business Bureau of Minnesota and North Dakota (BBB) is offering some tips on choosing a garage door repair company. Though there are many reputable firms to choose from, the garage door industry has historically had some issues; typically with non-local businesses claiming a local connection.

"Most business owners know that many customers prefer to deal with a local company," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "To capitalize on that, some out of state firms purchase local phone numbers which re-direct to call centers elsewhere. While this practice is not uncommon, we prefer it when companies are upfront about their location and clear in regard to their local presence."

To help consumers avoid problems and find reputable companies, the BBB offers these tips on hiring a garage door repair firm:

Check out free BBB Business Reviews at bbb.org or by phone at 800-646-6222. Use the BBB's Online Directory to find reliable Accredited Businesses. Remember, good garage door companies come in all sizes. Large marketing campaigns or big ads do not always mean a bigger company, or one that provides better service.
Be wary of business phone lines that are answered generically, such as "Service" or "Door service." Some businesses operate under many names and have to answer the phone in a non-specific manner. Ask the receptionist for their business name and address. If they won't provide this information, you may not be dealing with a local business.
Keep in mind that any business can buy multiple phone lines. Local numbers don't always mean you're dealing with a "local" business.
Ask at least three companies to come to your home and evaluate your needs. Comparison shopping in this manner allows you to consider differences in price and varying opinions on what should be repaired or replaced. Be sure to ask questions and also ask if there's a service charge involved for coming out and providing an estimate.
Get everything in writing. Ask for an estimate before agreeing to any service. You may want to sign an authorization form after you approve the estimate. Be sure to review and understand the services, products, costs and disclosures before any work is performed.
Request references with names and contact information from consumers who have recently had work performed by the company. Be sure to take the time to contact those references.
Take note of marketing techniques such as advertising discounts or the promise of lowest prices. Remember, the only way to know if you are getting a fair price is to comparison shop to see what other businesses are charging for the same service. Keep in mind that a company offering the lowest price may or may not offer the best service.
Some companies state that they can provide same day service. This may certainly be a benefit; however, it's important to weigh convenience against waiving your ability to shop around and compare prices.
Any advertisement that makes any type of rating claim (i.e. rated #1 in customer service) should also list the independent third party that provided the award or designation, along with the date it was received.
When purchasing a new garage door, keep the records for the manufacturer brand and model number of all door components (door sections, hardware, track, springs, etc.). Also, request a warranty card and owner's manual and read these thoroughly. You may need this information if you have questions about the warranty or product liability.

Give Wisely This Holiday Season via the BBB Wise Giving Alliance

12/21/2012

Posted on 12/21/2012 by

December is a critical fundraising month for charities. Many people make year-end gifts for tax reasons, or to extend the spirit of the season and their generosity to those less fortunate. The Better Business Bureau of Minnesota and North Dakota (BBB) offers a few DOs and DON’Ts that apply any time of year when it comes to charitable giving – and will help ensure your donations do the maximum amount of good.

DON’T succumb to high-pressure, emotional pitches. Giving on the spot is never necessary, no matter how hard a telemarketer or door-to-door solicitor pushes it. The charity that needs your money today will welcome it just as much tomorrow, after you’ve had time to do your research.

DO check out the charity carefully. Make sure you feel comfortable with how your money will be spent. Don’t just take the word of someone else; go to www.give.org to verify that a charity meets BBB Wise Giving Alliance’s 20 Standards for Charity Accountability.

DON’T assume that only “low overhead” matters. How much money a charity spends on the actual cause – as compared to how much goes toward fundraising and administration – is an important factor, but it’s not the whole story. A charity with impressive financial ratios could have other significant problems such as insufficient transparency, inadequate board activity and inaccurate appeals.

DO be sure it’s the right charity. With so many similar-sounding organizations, names can blur in a donor’s mind. Many phony charities purposefully choose a name that sounds similar to more familiar, legitimate outfits.

DON’T assume that the charity wants any item you donate. Worn out, unusable or unwanted donated goods cost charities millions of dollars each year because the organization has to bear the cost of tossing the unacceptable donation. If you have questions about an item’s acceptability, visit a given charity’s website or call them directly and ask.

DO consider easy text-to-give options. The BBB Mobile Giving Foundation makes it easy to give smaller donations (usually $10) to charities they monitor, including those providing relief to victims of Hurricane Sandy. Go to mobilegiving.org to find out more.

Donors can check out the BBB Wise Giving Alliance evaluations on nationally soliciting charities for free at give.org.

Purchasing a Gift Card? Read This First!

12/21/2012

Posted on 12/21/2012 by

Gift cards make excellent presents, especially during the holidays when you’re unsure of what to buy for a family member or friend. But like everything else, gift cards may have hidden fees and strings attached. The BBB reminds consumers it’s important to read the fine print before making your purchase and presenting gift cards to co-workers, friends or loved ones.

In recent years, both the United States and Canada have made changes in federal laws to improve consumers’ chances of getting full value out of the cards they buy and give. These rules generally apply to gift certificates, store gift cards and general use prepaid cards, which are often branded by payment networks such as Visa or MasterCard.

Despite some historical issues with gift cards – such as cards getting lost or people receiving cards which have had their value siphoned off by scammers – sales of gift cards are still expected to increase this year. According to a survey by Consumer Reports, 62 percent of consumers are planning to buy gift cards this holiday season.

Here are some helpful tips from BBB regarding gift card purchases:

Buy from sources you know and trust. Avoid buying gift cards from online auction sites, because the cards may be counterfeit or may have been obtained fraudulently.

Read the fine print before you buy. Is there a fee to buy the card? If you buy a card by phone or online, are there shipping and handling fees? If you don't like the terms and conditions, buy elsewhere.

See whether any fees will be deducted from the card after you purchase it.

Inspect the card before you buy it. Verify that none of the protective stickers have been removed. Make sure that the codes on the back of the card haven't been scratched off to reveal a PIN number. Report any damaged cards to the store selling the cards.

Give the recipient your original receipt so they can verify the card's purchase in case it is lost or stolen.

Consider the financial condition of the retailer or restaurant.

Know the rules: Visit .ftc.gov/bcp/edu/pubs/consumer/alerts/alt010.pdf for more information on gift cards.

Ransomware locks up computers

11/28/2012

Posted on 11/28/2012 by

BBB says virus might cost you - but don't pay the scammers

Burnsville, Minnesota - November 28, 2012 - A tricky new computer virus is making the rounds, and infected users see pop-up messages which claim to be from the FBI and threaten people with a fine or prison unless they pay up. The virus, meanwhile, locks up your computer, holding it - and you - hostage, thus its name: "ransomware." Computer users pick up this virus by clicking on malicious links in emails and messages sent through social media sites, or by visiting compromised websites. From there, a notice like the one below appears. The Better Business Bureau of Minnesota and North Dakota (BBB) is offering some tips on how to avoid ransomware and advice on what to do if you become the next victim.

Your PC is blocked due to the illegal viewing or distribution of copyrighted content. To unblock the computer, you must pay the fine of $100.

People who have been hit by ransomware report seeing different versions of these warning messages; some ask for larger amounts of money and some claim to be from local police or the Recording Industry Association of America (RIAA). However, all of these messages are fraudulent. Users are told they need to pay requested amounts via a prepaid Green Dot MoneyPak cash card - which are difficult to trace - or they will be locked out of their computers permanently and face possible criminal charges. While it's true that computer users will remain locked out until they get expert help, the threat of legal action is nothing more than a bluff.

"This scam, like so many scams, operates on fear and confusion," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "Faced with supposed large fines or the threat of investigation by the FBI, it's easy to see why people follow these bogus instructions. We're telling people not to fall into that trap."

People with infected computers will want to have the issue addressed as quickly as possible. It will likely take a computer repair expert or firm - one that's been checked out first at bbb.org - to restore functionality and remove any lurking malware. However, the BBB is advising people not to pay the scammers. Computer security experts are confident that paying the scammers will not get your computer unfrozen. In fact, some believe that might just open the door to increased demands. People should also ignore any requests to provide personal or financial information.

To avoid ransomware, consumers should:

Make sure their computer has the most recent updates installed for spam filters, anti-virus and anti-spyware software and a secure firewall.
Avoid questionable websites and don't click on any suspicious links.
Be aware that social networks are used to transmit and spread this virus and others like it.

It's also a good idea to keep all your files backed up. If your computer becomes infected by ransomware, you should contact a computer expert or repair firm immediately and file a complaint with the FBI at ic3.gov.

BBB Advice for Wired-in Shoppers

11/26/2012

Posted on 11/26/2012 by

Stay Safe while Shopping Online

Burnsville, Minnesota - November 19, 2012 - The Better Business Bureau of Minnesota and North Dakota (BBB) suggests that people who do most of their holiday shopping online follow these simple steps to help ensure they get the best deals and avoid becoming a victim of fraud:

1. Protect your computer - A computer should always have the most recent updates installed for spam filters, anti-virus and anti-spyware software and a secure firewall.

2. Stick to trustworthy websites - Check on the seller's reputation and record for customer satisfaction at bbb.org. Look for the BBB seal and other widely-recognized "trust marks" on retailer websites. Always remember to click on the seals to confirm that they are valid.

3. Protect your personal information - Take the time to read the privacy policy of websites you visit and understand what personal information is being collected and how it will be used. If you don't see one posted, be aware your information may be sold to others without your permission.

4. Beware of deals that sound too good to be true - Offers on websites and in unsolicited emails can often sound too good to be true - especially ones offering extremely low prices. When visiting a website, look for misspellings and grammatical errors, as these are signs the site might be fraudulent. Trust your instincts. Don't be afraid to pass up "deals" that might cost you money and lead to headaches.

5. Beware of phishing - Legitimate businesses do not send emails claiming problems with an order or an account to lure the "buyer" into revealing financial information. If a consumer receives such an email, the BBB recommends picking up the phone and calling the retailer you dealt with or your credit card provider to confirm there really is a problem with the transaction.
Always be extremely protective of your personal and financial information.

6. Confirm your online purchase is secure - Shoppers should always look in the address box for the "s" in https:// and in the lower-right corner for the "lock" symbol before paying.

7. Pay with a credit card - It's best to use a credit card, because under federal law, the shopper can dispute the charge if he or she doesn't receive the item. Shoppers also have dispute rights if there are unauthorized charges on their credit card.

8. Keep documentation of your order - After completing the online order process, there should be a final confirmation page or the shopper might receive confirmation by email. Save a copy of that as well as any emails for future reference and as a record of the purchase.

9. Check your credit card statements often - Don't wait for paper statements; the BBB recommends consumers check their credit card statements for suspicious activity by checking statements online regularly or by calling their credit card companies if fraud is suspected.

10. Know your rights - Federal law requires that orders made by mail, phone or online be shipped by the date promised or, if no delivery time was stated, within 30 days. If the goods aren't shipped on time, the shopper can cancel and demand a refund. There is no general three-day cancellation right, but consumers do have the right to reject merchandise if it's defective or was misrepresented. Otherwise, it's the company's policies that determine if the shopper can cancel the purchase and receive a refund or credit.

For more advice on staying safe online this holiday season, visit www.bbb.org/us/consumer-tips-holiday.

BBB Offers Tips to Black Friday Shoppers

11/16/2012

Posted on 11/16/2012 by

Burnsville, Minnesota - November 15, 2012 - Thanksgiving is almost here, and this year Black Friday shopping will begin earlier than ever - kicking off Thanksgiving evening at some retail outlets. The Better Business Bureau of Minnesota and North Dakota (BBB) is offering tips to people planning on taking advantage of Black Friday - traditionally the day after Thanksgiving - sales offers.

"Black Friday only seems to get bigger - and start earlier - each year," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "We try to remind people to plan ahead, be mindful of their budgets, and always be clear on store return policies. On big ticket items especially, there may be restocking fees if a consumer wishes to make a return."

Black Friday shoppers should also be sure to keep these tips in mind:

Getting the real deal. Do you know if a sale is really a sale? Many times companies boast "70 percent off," but 70 percent off what? It always pays to comparison shop. If a company is advertising a "Going out of Business" sale, don't automatically assume they are offering the best prices in town. Take the time to check prices on the same items at other stores.
Search for Black Friday Ads Ahead of Time. Newspapers often have coupons that give discounts for Black Friday. Black Friday ads are also posted on the Internet. Some sites post ads for Black Friday before they are published.
Return policies, restocking fees and refunds. Ask for the store's return policy before you make your purchase. Companies are not required to give you your money back, but they need to post their return policy prominently near the cashier. Also, always ask about restocking fees, and save your receipts in one place so you don't lose them. Many companies will require you to produce a receipt for a return. Ask for a gift receipt.
Gift cards. Gift cards regularly top consumers' wish lists. Federal rules govern gift card sales, and those rules state:
- An inactivity fee cannot be charged until the card has not been used for 12 months.
- Gift cards cannot expire for at least 5 years.
- No more than one fee (of any kind) can be charged to the cardholder in a single month.
- Information printed on the card must disclose fees and expiration date and provide a toll-free phone number or website where you can get more information.
- A one-time fee can be charged when you buy the card, though this generally only applies to gift cards purchased through your credit card company - not those purchased directly from stores and restaurants.
Note: These rules do not cover reloadable cards, such as prepaid phone cards or debit cards from the big credit card companies. Rebate and loyalty reward programs are also exempt. If you receive a gift card, you should redeem it promptly if possible.
Check out the company. Visit bbb.org or call 800-646-6222 to obtain free Business Reviews. Remember, BBB Business Reviews have been optimized for smartphones.

Lastly, consumers are encouraged to have fun and be safe. Remember, there will be many more sales as we go through the holiday season.

Support Your BBB on Thursday, November 15!

11/12/2012

Posted on 11/12/2012 by

The BBB's Educational Foundation, The BBB Institute for Marketplace Ethics, will once again participate in Give to the Max Day, a day where Minnesotans come together to raise as much money as possible for non-profits in a 24-hour period. This year's event takes place Thursday, November 15, and we're asking for your support. Our goal is to expand fundraising efforts to support our outreach programs. Last year, we obtained 25 new donors from GiveMN, with the average gift totaling just over $50.

Your support will allow us to provide more intensive outreach services and educational trainings to our seniors, military service members and their families. These programs will help people in these high-risk groups avoid fraud, make sound financial choices and become wiser consumers. So if you're planning to donate during Give to the Max Day this year, please keep the BBB Foundation in mind – thank you!

For more on what your donation will go to support, visit www.minnesota.bbb.org/senior-outreach and www.minnesota.bbb.org/military-line.

And remember, all donations are tax-deductible!

BBB Tips on Hiring a Locksmith

11/5/2012

Posted on 11/5/2012 by

There are times when everyone needs a locksmith. Sometimes this involves having locks replaced, but usually when people are in need of a locksmith, it’s an emergency or time is of the essence – such as when keys are locked in cars or people are unable to get inside their homes. No matter how stressful the situation, the Better Business Bureau of Minnesota and North Dakota (BBB) reminds people they need to take the time to look after their interests and ensure they won’t be hit with unexpected charges when hiring a locksmith.

“Though locksmiths aren’t near the top of our list in terms of volume of complaints, the resolution rate of complaints we do receive is eye-opening,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “Just slightly over 25% of the complaints filed in the last three years against locksmiths in our area have been closed as resolved.” Overall, the BBB complaint resolution rate is just over 90%.

The majority of complaints filed against locksmiths involve situations where consumers allege they were quoted one price and then the final bill proved higher than expected. To help avoid situations like this, the BBB recommends the following:

· Check with the BBB for a free Business Review on a company before you do business with them. Our Business Reviews have been optimized for smartphones and are available at bbb.org or by telephone at or (800) 646-6222. Find BBB Accredited locksmiths via our Online Directory (http://www.bbb.org/minnesota/accredited-business-directory).

· If there’s time, shop around. There are times it may not be feasible to get multiple quotes. Still, it’s always a good idea to do some investigating. When possible, seek estimates from at least three companies. Ask what the price quoted includes: is it just the service call or does it also factor in labor and parts? Make sure there are no hidden fees. Also, get names from company representatives you speak with on the phone.

· Ask for a worst-case scenario. A knowledgeable locksmith will know of any potential circumstances that may arise which would incur extra charges, so always ask for a worst- case scenario estimate. Provide the locksmith with as much information as possible.

· Does the locksmith have a shop? Find out if the locksmith has a shop rather than just a website or an ad in the phone book. Make sure the company has a location listed. Ask how long he/she has been in business.

· Ask about training and experiences. Experienced locksmiths have the tools and training to provide quality service. Knowing the “tricks of the trade” can save time and money on labor. Professional locksmiths know the right hardware for your application; inexperience can cost more when the job is not done right the first time.

· Be aware of companies who use an 800 number. If you are dialing an 800 number, chances are good the company is based in another state.

· Ask if the company is insured. Anyone can make a mistake; if work performed leads to property damage, insurance should cover your losses.

· Ask for customer references and follow up on them.

· Be cautious if a locksmith immediately tells you he has to drill and replace the lock. Make sure you’re comfortable with work the locksmith recommends. If you get an uneasy feeling about their approach, it’s probably best not to proceed. Be aware, though, you may still be charged a service fee, even if you call off the work.

· Ask for ID and business card. When the locksmith arrives, ask for ID and a business card. Make sure you are comfortable with the person you’re entrusting your security with.

· Get an itemized estimate. Never sign a blank form authorizing work.

· Beware of ad claims. Beware of claims such as “We’re locally owned and operated”; “45 years in business”; or “We’re # 1.” Companies may also list certain certifications that are incorrect or old. Ask for details about any such claims.

· Be leery of exaggerated claims. Claims like “Service in 15 minutes” or “We’ll beat any price.” These claims are easy to make but tough to deliver on.

· Treat this as a security issue. Locksmiths have access to your house/car: you are entrusting your security to them.

· Pick a company from the Associated Locksmiths of America (ALOA). ALOA is an organization of locksmiths who abide by a code of ethics, have professional trainings, are aware of industry news in their area, are able to obtain professional certification levels through standardized testing, agree to analyze security problems and provide best solutions for their clients, and agree to abstain from using improper or questionable methods of soliciting patronage. For more information about your local chapter of Associated Locksmiths of America visit www.mnaloa.org.

BBB Advice for Donating to Hurricane Sandy Relief Efforts

10/31/2012

Posted on 10/31/2012 by

As Hurricane Sandy churns into the history books, millions of people along the East Coast and down through the Caribbean will be struggling for months, if not years, to return their lives to normal. Everyone who wishes to help those impacted by this catastrophic storm is encouraged to do so. In order to help ensure those donations do the most good, the Better Business Bureau of Minnesota and North Dakota (BBB) provides some tips for donating to relief agencies and charities.

“This deadly storm leaves behind a wide swath of destruction and despair,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “Millions of people have been affected, and it’s going to require a lot of assistance - public and private - to get people back on their feet. Still, due diligence is important. You want to be sure the charity you’re supporting has the resources to offer support where it’s most needed.”

The BBB offers the following advice for donors looking to find trustworthy charities:

· Visit www.bbb.org/charity to research organizations you’re considering supporting.

· In the immediate aftermath of a disaster, financial donations are most helpful. When the cleanup and rebuilding phase begins, then clothes and household items are sought. But in the short-term, basic needs such as food and shelter come first.

· Consider making initial donations to established charities such as The American Red Cross (www.redcross.org/) or other organizations which have vast experience in carrying out relief efforts in the wake of natural disasters

· Be sure that the charity is well-positioned to provide assistance in the affected regions. However well-intentioned they might be, not every charity has the infrastructure in place to be able to effectively deliver aid to those most in need.

· Don’t give your credit card number or other personal information to a telephone solicitor or in response to an e-mail solicitation.

· Be aware that while donating via text (through your cell phone carrier) is an easy way to give, funds will likely not be available for relief efforts as quickly as they would be if donations were made directly through the websites of individual charities and relief organizations. In some cases, it can take months for such donations to be received.

· Don’t give in to excessive pressure for on-the-spot donations. Be especially wary of any offer to send a “runner” to pick up your contribution.

· Be wary of charities that are reluctant to answer reasonable questions about their operations, finances and programs.

· Don’t give cash. Checks or money orders should be made out to the name of the charitable organization, not to the individual collecting the donation.

· Beware of fake charities that imitate the name and style of well-known organizations in an attempt to confuse donors.

· Be wary of appeals that are long on emotion, but short on describing what the charity will do to address the needs of victims and their families.

· Make sure your contribution is tax deductible: donations should be made to charitable organizations that are tax exempt under section 501(c)(3) of the Internal Revenue Code. Go to IRS Publication 78 on the IRS’ website for a current list of all organizations eligible to receive contributions deductible as charitable gifts.

For additional information you can trust when making giving decisions, or to view BBB Wise Giving Reports on charities across the nation, start with www.give.org.

2012 Better Business Bureau Integrity Award Recipients Announced

10/30/2012

Posted on 10/30/2012 by

The Better Business Bureau of Minnesota and North Dakota (BBB) announced the recipients of the 2012 BBB Integrity Awards at a ceremony held at the Minnesota History Center in Saint Paul on October 29. This year's keynote speaker was Holly Petraeus, head of the Office of Servicemember Affairs, part of the recently created Consumer Financial Protection Bureau in Washington DC. KOOL 108's Lee Valsvik served as emcee of the event and Best Buy was the presenting sponsor.

The Integrity Awards were held as part of the BBB’s Centennial Gala. This year’s theme was “Lighting the Way,” in honor of the founding of the BBB in the Twin Cities back in 1912. The BBB of Minnesota and North Dakota is proud to be known as “the first BBB.”

“This year’s Integrity Awards were especially memorable, as we celebrated our organization’s 100th anniversary,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “It was therefore fitting that history was made: for the first time, two outstanding businesses were named winners in the same category.”

The 2012 Integrity Award winners are:

Category I:

- Mark O. Finney, DDS
- White Bear Animal Hospital

Category II:

- Twin Cities Siding Professionals

Category III:

- Handi Medical Supply, Inc

Category IV:

- Discovery Benefits, Inc.

Businesses that were chosen as finalists were: Brett Dorrian Artistry Studios; Pet Buddy Plus; Lakeside Cabinets and Woodworking; Raymond Auto Body; Labrador LifeScience; Master Collision Group; CenterPoint Energy and Park Dental.

Winners of the Student of Integrity Scholarships - which are awarded to high school seniors who demonstrate, through essay, their understanding of integrity and how they have implemented that in their lives - were also announced.

"These scholarships are a little different because they focus not so much on grades but on students' application of ethics. They reward tough choices these young adults have made," said Lisa Jemtrud, Director of the BBB Institute for Marketplace Ethics. "This year's scholarship winners and applicants clearly understand the importance of high character."

Winners of this year's Student of Integrity Scholarships are:

Alex Savitt, Chaska, MN: $5,000
Stephanie Olson, Bemidji, MN: $1,500
Lexie Anderson, Richfield, MN: $1,500

The BBB Integrity Awards are presented each year to companies who exemplify ethical behavior and display integrity in all aspects of their operations; toward their employees, vendors, customers, and within their community. Companies must also uphold BBB standards. BBB Accreditation is not required. Winners are chosen by an independent panel of judges. Nominations are currently being accepted for the 2013 BBB Integrity Awards and may be made by customers, vendors, or even the company itself. Visit www.thefirstbbb.org for more information.

Best Buy is the 2012 Integrity Awards presenting sponsor. Additional sponsors for the event are: CenterPoint Energy, Think Mutual Bank, Gray Plant Mooty, ABRA Auto Body, Financial Concepts, Inc., Northland Group, Clear Channel Radio, Minneapolis/St. Paul Business Journal, Pioneer Press, Clear Channel Outdoor, Del Monte Agency, Prairie Business Magazine, Memory Vision, and Rippe Print. 2012 Student of Integrity Scholarship sponsors are: Hubbard Broadcasting, Cedar Valley Exteriors, Diversified Exteriors, Globe University, and Multiventure Properties.

Phishing Scam Looks Like BBB Email - But It's Not

10/25/2012

Posted on 10/25/2012 by

The Better Business Bureau's name and logo continue to be misappropriated by criminals in an ongoing phishing scam. The emails look very much like notice of a complaint from the BBB, but contain links to malware that can infect your computer, steal passwords, etc. The BBB is working with law enforcement, as well as with a private deactivation firm (at our own expense), to shut down as many criminal websites as possible. To date, we have shut down well over 100 sites.

If you get an email that looks like it is a BBB complaint, here is what you should do:

1. Do NOT click on any links or attachments.

2. Read the email carefully for signs that it may be fake (for example, misspellings, grammar, generic greetings such as “Dear member” instead of a name, etc.).

3. Be wary of any urgent instructions to take specified action such as “Click on the link or your account will be closed.”

4. Hover your mouse over links without clicking to see if the address is truly from bbb.org. The URL in the text should match the URL that your mouse detects. If the two do not match, it is most likely a scam.

5. Send a copy of the email to phishing@council.bbb.org (Note: This address is only for scams that use the BBB name or logo)

6. Delete the email from your computer completely (be sure to empty your “trash can” or “recycling bin,” as well).

7. Run anti-virus software updates frequently and do a full system scan.

8. Keep a close eye on your bank statements for any unexpected or unexplained transactions.

If you have a business and are not certain whether the complaint is legitimate, contact your local BBB at 800-646-6222 or ask@thefirstbbb.org.

BBB of Minnesota and North Dakota wins prestigious Mott Award

10/8/2012

Posted on 10/8/2012 by

Award Honors Excellence in Communication

October 5, 2012 - Burnsville, MN - At the recent Assembly of Better Business Bureaus held September 30 – October 3 in Washington D.C., the Better Business Bureau of Minnesota and North Dakota (BBB) won the Marshall A. Mott Award, which recognizes outstanding overall communications by a local BBB in areas such as internal and external communications, as well as advertising and marketing campaigns. This follows wins in this category in 2008 and 2010. The BBB presented with this award may not compete for it again the following year.

“In the midst of our Centennial Celebration it’s particularly heartening to win this award,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “The other BBBs competing for the Mott Award are also dedicated, eminently capable and highly accomplished. Being named winner of this award again is both an honor and deeply humbling.”

In addition to being named the winner of the Mott Award – the highest honor for a local Better Business Bureau – at the recent Assembly meetings, the BBB of Minnesota and North Dakota also won the Outstanding BBB Award for Advertising Review. Ad review is a core service of the BBB, wherein advertising in Minnesota and North Dakota is monitored closely for adherence to the BBB Code of Advertising. Advertisements that seem questionable or “too good to be true” are challenged, with a request to either substantiate or alter the advertising.

The Better Business Bureau was founded in the Twin Cities in 1912. It was started by ethical business owners frustrated by having to compete with companies that were using misleading advertising to attract customers. These business owners banded together to form a “Vigilance Committee,” which challenged these unethical companies and made their findings public. In 1916, the Better Business Bureau name was formally adopted and there are now 115 BBBs throughout the United States and Canada.

BBB, AARP North Dakota Invite Public to Free Shredding Events

10/8/2012

Posted on 10/8/2012 by

Jamestown latest ND site to participate in Secure Your ID Day

October 5, 2012 - Burnsville, MN - The Better Business Bureau of Minnesota and North Dakota (BBB) and AARP North Dakota are sponsoring “Secure Your ID” Day events Saturday, October 20 in Fargo, Bismarck and Jamestown, a new addition to this identity theft prevention initiative. Area residents and businesses are encouraged to shred and properly dispose of their sensitive paper documents, CDs and old cell phones free of charge. Tips and resources on how to avoid identity theft will also be provided. These half-day events, which will run from 8 a.m. to 1 p.m., are part of a series of Secure Your ID Day events being hosted by Better Business Bureaus all across the country.

The public and business community is invited to bring up to three boxes or bags of documents to be shredded. Documents to be shredded should be removed from binders, but staples, paper clips and CDs are okay as is. Event staff will also be collecting cell phones which are no longer in use for Cell Phones for Soldiers, a non-profit organization dedicated to providing free communication services to active duty military members and veterans.

“We’re excited to expand our reach and offer these free services to Jamestown, as well, and we’re very appreciative of the support of our local partners which have made Secure Your ID Day such a success,” said Dana Badgerow, president and CEO of the Better Business Bureau of Minnesota and North Dakota. “Though these events are only a half-day long, the lessons conveyed must be applied year-round for people to avoid the perils of having their identity stolen.”

The BBB and AARP ND, along with local partners The Bismarck Tribune, The Forum, The Jamestown Sun, Recall, RSVP+ND South Central, MinnKota Secured Document Destruction Services, First Community Credit Union and Wells Fargo are working together to educate consumers about identity theft, which has been the top consumer complaint to the Federal Trade Commission (FTC) for the past twelve years in a row, with nearly 280,000 cases of identity theft reported to the FTC in 2011.

Identity theft occurs when your personal information - such as your name, Social Security or credit card numbers – is stolen or compromised and is then used to commit fraud or other crimes.

The Secure Your ID Day event in Fargo will be held at the Wells Fargo branch on 13th Ave. S.; the event in Bismarck will be held at the Wells Fargo Gateway Mall location at 1050 E. Interstate Ave; and the Jamestown event will be held at First Community Credit Union at 111 9th Street SW.

BBB Secure Your ID Day Details

Who: The BBB and AARP North Dakota, along with local partners The Bismarck Tribune, The Forum, The Jamestown Sun, Recall, RSVP+ND South Central, MinnKota Secured Document Destruction Services, First Community Credit Union and Wells Fargo

What: Free document shredding, cell phone collection and distribution of tips and resources for protecting your identity. **Cell phone collection will not be offered at the Jamestown location.

When: Saturday, October 20, 2012, from 8 a.m. to 1 p.m.

Where: Wells Fargo parking lot, 1050 E. Interstate Ave., Bismarck; 2501 13th Avenue South, Fargo; and First Community Credit Union at 111 9th Street SW, Jamestown

For more information on Secure Your ID Day and identity theft prevention measures for both consumers and businesses, visit: www.bbb.org/us/secure-your-id.

Customers report static when dealing with Premiere Electronics

9/28/2012

Posted on 9/28/2012 by
St. Cloud firm has pattern of complaints

Burnsville, MN - September 21, 2012 - The Better Business Bureau of Minnesota and North Dakota (BBB) is issuing an alert on Premiere Electronics, a St. Cloud firm that sells electronic accessories, such as CB Radios and police scanners, via their website. The BBB has processed 34 complaints against the company in the last three years, and awarded them an "F" rating due to a pattern of complaints involving delivery and customer service issues.

The majority of complaints filed against the company allege delivery issues, with customers stating their merchandise never shipped or that there were issues with the item or items they received. Premiere Electronics has been largely responsive to complaints forwarded to them by the BBB, but has failed to address the root cause of those complaints. In some cases, the company responded by saying that orders had been canceled - with no money changing hands - due to items being on backorder. In other cases, the company resolved complaints by shipping merchandise or providing refunds.

However, six customer complaints have been closed as unanswered and three more have been closed as unresolved. Some consumers state the company was not responsive to inquiries regarding the status of their orders.

Recently, the BBB invited company representatives to discuss the pattern of complaints and ways underlying issues might be corrected. However, the company failed to respond.

The BBB provides the following tips when shopping for electronics online:

Investigate a company's background and complaint history at bbb.org.
Do some comparison shopping to make sure you're getting the best deal.
Read the company's return policies very closely. Visit other online forums to see what other customers have to say about the company's products and customer service.
Consider paying with a credit card, as it will provide you with some protections should your merchandise not ship or if it arrives damaged. Protections when shopping with a debit card vary from institution to institution.
Look for trust seals, such as the BBB Accredited Business Seal, and click on them to ensure they're legitimate.

BBB Sponsors Cyber Security Summit

9/20/2012

Posted on 9/20/2012 by

Event takes place Oct. 9-10 in Downtown Minneapolis

Burnsville, Minnesota - September 14, 2012 - The Better Business Bureau of Minnesota and North Dakota (BBB), as part of National Cyber Security Awareness Month, is sponsoring Cyber Security Summit 2012 in Minneapolis. This national event, which brings together top experts and leaders from government, business and non-profit sectors, is designed to spotlight cyber threats and promote best practices in regard to data sharing. Attendees will learn to identify online dangers and how to protect their data and sensitive information entrusted to them.

"The BBB is proud to be a sponsor of Cyber Security Summit 2012," said Lisa Jemtrud, Director of the BBB Institute for Marketplace Ethics. "This is a very exciting event for the Twin Cities to host, and it's a terrific opportunity for businesses here in the metro - and nationwide - to acquire some information vital to their security and growth."

High profile data breaches appear to be on the rise among businesses, government agencies and educational institutions. In 2011, a report from The Ponemon Institute stated that the estimated cost of a data breach involving lost or stolen laptop computers - or other mobile data-bearing devices - was $258 per record, 20.5 percent more per compromised record than a general data breach.

Cyber Security Summit 2012 offers a wide variety of keynote addresses, panel discussions and breakout sessions on such topics as: data sharing; identifying cyber threats; protecting children; and how Fortune 500 companies manage data sharing. The two-day event takes place at the Minneapolis Convention Center. Special registration pricing is available for government attendees, full-time faculty, and full-time students. For more information on Cyber Security Summit 2012 and to register, visit www.cybersecuritysummit.org.

"Data security and privacy issues are a top priority for every business today, large and small. We support and applaud the efforts to identify the latest data security threats and share ideas about how best to protect sensitive information," added Jemtrud.

The BBB is participating through their Foundation, The Institute for Marketplace Ethics - Center for Fraud Prevention (minnesota.bbb.org/foundation), and will be an exhibitor at the event.

BBB advises MN Businesses to take time with Corporate Minutes mailings

9/20/2012

Posted on 9/20/2012 by
Company operating out of a UPS Store in St. Paul

Burnsville, MN - September 20, 2012 - The Better Business Bureau of Minnesota and North Dakota (BBB) is issuing an alert on Minnesota Corporate Minutes Company, a firm which is sending official-looking mailings to Minnesota businesses, offering to prepare their Minutes of Directors and Shareholders for a fee of $125. Though the company makes reference to Minnesota statutes in these mailings, Minnesota Corporate Minutes Company is not a government agency, nor are they associated with any government agency. The BBB is alerting Minnesota businesses they are not required to provide any information to this company and should be aware that any information they do provide could be used for other purposes.

"These mailings are very troubling," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "They look official and give business owners what appears to be a deadline. However, this organization came to our attention just days ago. We also want to remind businesses they can easily prepare their own corporate minutes."

Thus far, the BBB has received reports of these mailings from a business in Eden Prairie and another in Moorhead. The BBB has also learned Minnesota Corporate Minutes Company is operating out of a UPS Store on Grand Avenue in St. Paul.

Business owners who are considering having another company prepare their corporate minutes should be sure to investigate their background thoroughly, including their Business Review at bbb.org, before signing a contract or providing sensitive information. Businesses can also contact the BBB at 1-800-646-6222 whenever a questionable offer is received.

Uber Glove leaves some customers empty-handed

9/14/2012

Posted on 9/14/2012 by

Ham Lake tannery files bankruptcy

Burnsville, Minnesota - September 6, 2012 - With hunting season here, the Better Business Bureau of Minnesota and North Dakota (BBB) is issuing notice about Uber Glove, a Ham Lake tannery and outdoor clothing and accessories retailer. The company has an F rating with the BBB due to a pattern of complaints, many of them unanswered. There are fifteen complaints closed as unanswered in the BBB's files, with another eleven complaints currently pending.

Complainants allege that after paying upfront for clothing - generally gloves or jackets - or dropping off animal hides for processing, the company failed to ship orders or meet promised deadlines. Many customers say their attempts to contact Uber Glove were unsuccessful, with some reporting the phone numbers they had for the company were out of service. The BBB learned this week that the company has filed Chapter 7 bankruptcy with the U.S. Bankruptcy Court in Minneapolis.

"Hunting season is underway, and we know many hunters look online for outdoor accessories and later turn to tanneries to process what they harvest," said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. "We thought it important to issue this warning to outdoor enthusiasts far and wide and remind them to investigate companies at bbb.org before doing business with them."

A majority of the complaints against Uber Glove have been filed by Minnesota consumers. Two complaints have been closed as resolved. In some cases, customers reported dropping off their animal hides with the company as far back as two years ago, without receiving a finished product. A recent complaint processed by the BBB states a visit to the company's location in Ham Lake revealed there was an eviction notice on their door.

For information on the company's bankruptcy filing, customers with potential claims can call 866-260-7337. They can also file complaints with the BBB at bbb.org. Customers who paid the company with credit cards and never received their merchandise should consider contacting their credit card company to dispute the charges.

Romance Scams: One of the Cruelest Internet Schemes

8/31/2012

Posted on 8/31/2012 by
Burnsville, MN - August 30, 2012 - Romance scams are one of the many Internet schemes that target individuals all over the world. Scammers use dating sites, chat rooms and social networking sites, looking for the "perfect victim." They target singles of any age and in any locale, creating fake profiles designed to woo singles and convince them to hand over money. The Better Business Bureau of Minnesota and North Dakota (BBB) warns that while all demographic groups are susceptible to these schemes, criminals tend to focus on people who are over the age of 40, divorced or widowed, as well as elderly and the disabled.

"Online romance scams continue to grow and become more sophisticated each year,"says Dana Badgerow, President and CEO of the BBB. "We're trying to make consumers aware of some warning signs which might indicate you're dealing with a scammer when using an online dating service or social networking site."

According to the Internet Crime Complaint Center, of the 314,246 complaints they received in 2011, 5,600 were related to romance scams. Women who are 50 and older are said to be the biggest targets of online romance scams.

In some cases, scammers will send their victims flowers and gifts while using stories of personal tragedy, injury, and other hardships to earn trust and sympathy. Common signs you might be dealing with a scammer include: emails containing poor grammar, misspelled words and requests for money. If an email or message you are sent through a dating service or online chat room contains any of these things, you may be dealing with someone intent on defrauding you.

The BBB provides the following tips for avoiding an online romance scam:

Consider using an established dating service. Check out their record first at bbb.org.
Don't get involved with a person who claims to be in love from the word go. Scammers usually use emotional ties to increase the chances of getting your money. If your match asks you to pay for their travel expenses, there is a high probability that it is a scam
Make sure you only open emails, attachments, and links from people or dating services you're familiar with. Install updated anti-virus software, and beware of unsolicited emails with subject lines like, "Someone just sent you an e-card!"
Never give credit card or online account details to anyone by email and be very careful about how much personal information you share. Scammers can use your information and pictures to create a fake identity or to target you with another scam.
Consider focusing your efforts to meet someone locally. While it's certainly possible that special someone lives outside your area, there's also a far higher risk of running into a long-distance scammer when you're getting to know someone online.

Better Business Bureau Announces 2012 Integrity Award Finalists

8/22/2012

Posted on 8/22/2012 by

Burnsville, MN - August 22, 2012 - The Better Business Bureau of Minnesota and North Dakota (BBB) is proud to announce the 2012 finalists for the 13th Annual Better Business Bureau Integrity Awards. The Integrity Awards Centennial Gala, presented by Best Buy, will take place Monday, October 29 at the Minnesota History Center in St. Paul from 6-9 p.m.

The 2012 BBB Integrity Award finalists are:

Category I (1-10 employees):
Brett Dorrian Artistry Studios, St. Paul, MN
Mark O. Finney, DDS, New Brighton, MN
Pet Buddy Plus, Minneapolis, MN
White Bear Animal Hospital, White Bear Lake, MN
Category II (11-50 employees):
Lakeside Cabinets and Woodworking, Inc., Nowthen, MN
Raymond Auto Body, Inc., St. Paul, MN
Twin Cities Siding Professionals, St. Paul, MN
Category III (51-99 employees):
Handi Medical Supply, St. Paul, MN
Labrador Talent, Inc., St. Louis Park, MN
Master Collision Group, Plymouth, MN
Category IV (100+ employees):
CenterPoint Energy, Minneapolis, MN
Discovery Benefits, Inc., Fargo, ND
Park Dental, Roseville, MN

"Here in our Centennial year, we're especially proud to hold the Integrity Awards, which honor those companies that stand out above the rest; companies that make ethics a top priority and are rooted in integrity," said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota.

The 2012 Integrity Awards are being held as part of the BBB's Centennial Gala, in honor of the 100th anniversary of the founding of the BBB, serving as the capstone event for a year-long celebration. The Better Business Bureau of Minnesota and North Dakota is proud to be known as "the first BBB." Recipients of this year's Integrity Award will be announced live at the event on Monday, October 29 at the Minnesota History Center, 345 Kellogg Boulevard West, St. Paul, MN.

The BBB presents the Integrity Award each year to companies who exemplify ethical behavior and display integrity in all aspects of their operations; toward their employees, vendors, customers, and within their community. The Integrity Award is open to all for-profit businesses located in Minnesota and North Dakota. Nominees are offered the opportunity to submit an entry to the BBB, where a panel of independent volunteer business and community leaders review the entries and choose the winners.

This year's keynote speaker is Holly Petraeus, head of the Office of Servicemember Affairs, part of the recently created Consumer Financial Protection Bureau in Washington, DC. Her role specializes in protecting military families from predatory lenders and unscrupulous businesses. Before this appointment, she led the Better Business Bureau's Military Line. Holly Petraeus is the wife of General David Petraeus, top NATO commander in the Afghanistan war and current Director of the CIA.

Tickets for this event are available to the public and can be purchased online at bbbis100.org/integrity/registration or by contacting Mackenzie Kelley at mkelley@thefirstbbb.org or 651-695-2482. Pre-registration is required.

Early bird tickets (dinner included) are available at the following rates until October 7th:

Individual tickets are $85
10 tickets for $765

Accredited Business pricing:

Individual tickets are $65
10 tickets for $585

For the sixth year, the BBB will present its Student of Integrity Scholarship Awards to high school seniors who demonstrate (through essay) their understanding of the impact ethical decisions have had on their lives. The scholarships will be presented to students to use towards the colleges of their choice.

"These scholarships are designed to recognize students who have faced adversity and made choices that displayed character and demonstrated their understanding of the importance of staying true to their values," said Lisa Jemtrud, Director of the BBB Institute for Marketplace Ethics.

Best Buy is the 2012 Integrity Awards presenting sponsor. Additional sponsors for the event are: CenterPoint Energy, Think Mutual Bank, Gray Plant Mooty, ABRA Auto Body, Financial Concepts, Inc., Northland Group, Clear Channel Radio, Minneapolis/St. Paul Business Journal, Pioneer Press, Clear Channel Outdoor, Del Monte Agency, Prairie Business Magazine, Memory Vision, and Rippe Print. 2012 Student of Integrity Scholarship sponsors are: Hubbard Broadcasting, Cedar Valley Exteriors, Diversified Exteriors, Globe University, and Multiventure Properties.

Your BBB at the State Fair!

8/20/2012

Posted on 8/20/2012 by

For the third consecutive year, the BBB will be at the Minnesota State Fair! From August 23 through Labor Day, September 3, we’ll be in the Education building, meeting the public and handing out knickknacks and educational materials. We’re very excited to be at the Fair and we hope you’ll come see us!

In addition to being a source of fun and entertainment - and great fried food - the State Fair is also a terrific opportunity for businesses to showcase their products and merchandise. The BBB offers tips for consumers who are considering making purchases at this year's Fair:

Prior to making a purchase, get the company's refund and exchange policy in writing.
Obtain the company's physical location and telephone number in case you need to return or exchange an item after the event.
As with any purchase, comparison shop before buying. Keep in mind, however, that the least expensive item may not always be the best value.
Don't be pressured to buy. After the demonstration or sales pitch, walk away from the sales person to give yourself some time to think about the purchase. If you take time away from the pressure, it will help you to clearly consider whether or not the item is necessary and a good deal.
Ask the vendor if a sale price will be honored after the fair - if so, you will not feel pressured to purchase the item "on the spot."
Did you know it often pays to pay with a credit card? Doing so provides you with some protections you will not get if you pay with cash or a debit card. If the product you purchase is defective or isn't delivered, you can file a dispute with your credit card provider and they may be able to refund your money.
It's easy to get caught up in the fun atmosphere at the Fair, but remember tomorrow's another day - so keep it real. Don't bust your budget just because you're having a good time.
It's important to note that the Federal Trade Commission's "cooling-off rule," which normally allows consumers three days to cancel a purchase, does not apply to the following purchases at fairs:
- Purchases under $25;
- Goods or services not primarily intended for personal, family, or household purposes;
- Insurance, securities, or real estate;
- Motor vehicles; and
- Arts and crafts.
If you are making a purchase where the "cooling-off rule" does apply, and you need to cancel a sale, sign and date a copy of the company's cancellation form, which you should obtain upon purchase of the item. If you mail the form back to the company, be sure it is post-marked before midnight of the third business day after which you made the purchase. Sundays and federal holidays are not considered business days. Otherwise, bring the form in-person to the company within three days of the date you made the purchase.
Take advantage of technology. If you have a smartphone, you can check out a vendor's website and their BBB Business Review at bbb.org.

BBB Financial Advice for College-Bound Students (and Their Parents)

8/20/2012

Posted on 8/20/2012 by
Between packing for college, buying school supplies and recovering from sticker shock, parents may be too bogged down to remember to pass on some pointers regarding finances as their child leaves the nest. To help college-bound students build a foundation of sound financial habits, the Better Business Bureau of Minnesota and North Dakota (BBB) offers the following advice for parents to bestow on their freshman.

"College years are the time when many young adults establish habits they will carry with them for the rest of their lives and while it's important that they tackle academics, it's critical that they also learn everyday skills - such as how to manage their money - in order to become fiscally responsible," said Dana Badgerow, President and CEO of the BBB.

The BBB recommends that before parents wave goodbye to their college-bound students, they sit down and discuss four key rules for managing personal finances:

Be responsible with credit cards.
According to a U.S. Public Interest Research Group (U.S. PIRG) survey, two out of three college students report having a credit card, of which about two-thirds are responsible for paying their monthly bill. Overall, freshmen responsible for their own cards had average credit card balances of $1301.

While having a credit card is an important first step for a college student to start building a credit history, parents need to stress the importance of using credit responsibly. This includes having a minimal number of credit cards, paying off the balances every month and keeping a reign on spending.

Start saving money now, even if it's just a small amount every month.
Developing good saving habits early on will help a college student reap the benefits throughout his or her life. Aside from the inherent benefits of saving money, starting early means taking advantage of what Albert Einstein described as one of the most powerful forces in the universe: compound interest.

Pay your bills on time.
U.S. PIRG found that more that 40 percent of college students who managed their own credit cards had paid bills late or paid at least one over-the-limit fee. Credit card companies often charge late fees as high as $40. Add to that any accruing interest, which can be upwards of 30 percent, and college students will quickly see how much can be lost by not paying a bill on time and in full.

Aside from the immediate benefits of paying bills on time - specifically, reducing needless spending on fees and interest charges - it is an important way for college students to begin building a healthy credit report.

Guard your personal information.
Young adults between the ages of 18 and 24 are one of the groups hit most often by identity theft. An annual survey by Javelin Strategy and Research found that, in cases where the victims knew how their ID was stolen, 79 percent of the time it was stolen by someone they had contact with. Parents should encourage their students to shred unnecessary documents that include personal information such as Social Security or bank account numbers and keep a close watch over credit and debit cards and checkbooks.

What You Need to Know About Your Retirement Plan!

8/16/2012

Posted on 8/16/2012 by

During challenging economic times, it can be tempting to forego contributions to your retirement account, or even to pull money out of an existing account to cover other expenses. Some plans allow you to withdraw money for certain hardship reasons (to prevent eviction or foreclosure, for instance), but the Better Business Bureau of Minnesota and North Dakota (BBB) and Financial Industry Regulatory Authority (FINRA) are reminding people there can be some tough financial consequences for tapping into your retirement plan.

“There are certainly times of hardship where people have no choice but to draw against their retirement funds,” said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. “We simply feel it’s important to understand all aspects of transactions of this nature.”

The FINRA Investor Education Foundation offers the following good reasons to keep your retirement savings intact (note these rules are regarding U.S. laws):

Tax Liability – Unless you're over the age of 59 ½, you will not only have to pay income taxes on the amount you withdraw, but you will also be subject to a 10% tax penalty. In most cases, your employer will withhold 20% in federal taxes, so the amount you receive will be significantly lower than the amount you requested.
Opportunity Costs – The repercussions of withdrawing funds from your 401(k) could be enormous in terms of lost growth opportunity. For example, let's assume you are 30 years old, and have a 401(k) balance of $20,000. If you leave that money alone, and your account averages a 6% rate of return over the next 32 years, your balance at retirement will be $129,068 when you're 62—even if you do not make any additional contributions during that time. If you take it out, you'll have nothing. Even if you have a shorter time horizon, you will forgo significant savings opportunities by taking money out of your 401(k). For a 45-year-old, that $20,000 will grow to $53,855 in 17 years.
Opening Assets to Creditors - Under the Bankruptcy Abuse Protection and Consumer Protection Act of 2005, your creditors cannot touch your 401(k) balance or similar retirement savings account - even if, as a last resort, you file for bankruptcy protection. Balances in traditional and Roth IRAs are also protected up to a limit of $1 million. But if you take money out of your retirement plan through a loan or a hardship or regular withdrawal, your creditors can go after that sum.

Another warning: Watch out for products that allow you to withdraw your retirement funds and reinvest them elsewhere. FINRA warns that 72(t) withdrawals from an IRA and 401(k) debit cards can deplete your retirement savings and damage your retirement security.

It’s best to look at other ways to save or borrow – tightening your belt on expenses, taking advantage of employer match programs to keep funding your IRA or 401(k), contributing pre-tax dollars to a retirement plan, etc. You may also be able to borrow from your 401(k) without actually taking a withdrawal; this would reduce your tax burden and would likely come with a lower interest rate than a bank loan. Check with your plan administrator on whether or not this option is available.

For more information on this and other financial topics, check out www.saveandinvest.org. For more consumer tips you can trust, visit www.bbb.org/us/Consumer-Tips.

BBB Cautions Consumers on Real Estate Seminars

8/10/2012

Posted on 8/10/2012 by

Real estate "guru" offering "free" seminars has F rating with Arizona BBB

Burnsville, Minnesota - August 9, 2012 - The Better Business Bureau of Minnesota and North Dakota (BBB) is warning people about a series of real estate seminars being offered nationwide. These seminars, which were offered in the Twin Cities recently and claim to teach people how to buy property for "pennies on the dollar," are put on by claimed best-selling author Dean Graziosi. Dean Enterprises, LLC, an Arizona company owned by Graziosi and which has multiple subsidiaries and corporate identities, has an F rating with the BBB of Central, Northern and Western Arizona.

Television and online advertisements which run in advance of these "free" 90-minute seminars tell potential attendees they will learn "How to Make a Fortune in Real Estate - Right Now!" However, a secret-shopping at one of the trainings in Bloomington recently - performed by BBB CEO Dana Badgerow - painted a far different picture.

"The presentation ran well over 90 minutes," said Badgerow, "and neither I nor any other attendees learned how we could make a fortune buying and selling real estate. What we did learn was what it would cost to supposedly learn these things - nearly $2,000, due on the spot, for a three day training to be held at a later date. It was disconcerting that attendees were also asked to provide personal financial information before being admitted inside."

Beyond the fact the seminar failed to deliver on its "get rich quick" promises, Badgerow stated attendees were confronted with high-pressure sales tactics and bold promises, with scant details offered as to how wealth could be attained easily in the local real estate market. "On the contrary," she added, "the transactions that representatives of Dean Enterprises, LLC outlined were complex and would require business acumen the average person likely wouldn't have."

Attendees who didn't sign up for the trainings - which were being offered the following week at nearly $2,000 per person - were told the price would rise to nearly $6,000 if purchased even a day later. People who didn't have cash or credit were informed the company would extend credit for a large portion of the cost at 22% interest.

The presentation Badgerow attended, which took place at an area hotel, vaguely outlined the role attendees would play between the banks and a group of interested buyers, which the company claimed to be in contact with. Those who completed the upcoming trainings could then either use their own cash to enter into transactions or use money loaned to them by Dean Enterprises, at 2% interest rate for 21 days, with an option to walk away from the deal or get the loan extended. Trainees who sell a given property also pay Graziosi a fee of $495 at closing.

After 90 minutes, the advertised length of the seminar, Badgerow asked for the free gifts which were promised to attendees - a digital camera and two DVD's. She was told she would have to stay for the full length of the program. When she reminded staffers that she had been promised the seminar would run 90 minutes, she was given her gifts. She later discovered the same model camera could be purchased in lots of 1,000 at a cost of $6 per camera.

Here are some tips from the BBB if you're considering exploring a get rich quick offer:

Check out the business at bbb.org or by calling 800-646-6222.
Get everything in writing.
Enter the company's name with the word "complaints" into a search engine; read what others have to say about their experience with the firm.
Ask the following questions:
- Will I be paid a salary or commission?
- What is the basis for your claims about my likely earnings?
- What is the total cost of this program, including all materials and trainings?

People who attend these seminars and have concerns are encouraged to contact their local law enforcement as well as the BBB.

"As we so often say at the BBB, if making money were this easy, everyone would be doing it," said Badgerow.

BBB Advice on Choosing an Estate Sale Business

8/10/2012

Posted on 8/10/2012 by
Burnsville, MN - August 9, 2012 - An estate sale is often held when a person is looking to liquidate and sell personal items within a home. Estate sales can take place during stressful or emotional situations such as a divorce, the death of a family member or the need to downsize before a move. The Better Business Bureau of Minnesota and North Dakota (BBB) advises consumers to do their research and choose a reputable estate sale business when deciding how best to liquidate personal property.

"Each business's services vary, so consumers should ask about all of the details of the sale and if there will be any additional fees," says Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. "This process can be stressful; still, people have to be sure their interests are being protected."

Consumers and businesses should have clear expectations when an agreement is drawn up to conduct an estate sale. Many estate sale businesses offer a variety of services before and after a sale, whether it is an initial consultation, setting up displays for the sale, or cleaning out a home after an estate sale has concluded. The BBB has received complaints from consumers about estate sale businesses, generally regarding the quality of the services offered or alleging that the details of the sale were not clearly explained.

One claim that has generated confusion for consumers is the statement, "Licensed, Bonded and Insured" that some estate sale businesses advertise. A consumer might be led to believe a business which appraises personal property has to be licensed to do business - but this is not the case. Estate sale businesses do not have to be licensed in Minnesota or North Dakota. When deciding which business is right to conduct your sale, be sure to inquire about their background in personal property appraisals and ask them how they determine current marketplace values.

Each estate sale business has different policies and procedures when conducting a sale. A recurring pattern the BBB has noted in consumer complaints involves miscommunications between businesses and consumers in regards to the timetable for receiving a final check from a sale. In some cases, consumers have misinterpreted contract language about the date they were to receive their check; in others, the business did not fully explain their policies in regard to issuing the final check. The BBB advises consumers to study contracts closely to ensure all financial aspects of the sale are clearly understood and acceptable.

Consumers and businesses also need to be aware of potential legal issues when discussing an estate sale. If a consumer wants to have an estate sale for a deceased family member's items, it is important to be aware of any legally binding documents which may determine what items are sold at an estate sale. A reputable dealer may even ask for proof of a consumer's responsibility to contract for the sale. It is important for the business and consumer to address any and all legal issues before signing a contract for an estate sale.

Donation and clean out services are good ways for consumers to sort through or give away any remaining items after a sale. Consumers should also ask the estate sale business for an itemized inventory list of the items sold with the price each item was sold at. This helps consumers track sales on their items and calculate the total profit from the sale.

Check out bbb.org when looking for a reputable estate sale business to liquidate your personal property.

BBB Warns against Insurance Deductible Rebates from Contractors

7/24/2012

Posted on 7/24/2012 by
Burnsville, MN - July 24, 2012 - When severe thunderstorms roll through the area, many homeowners find themselves calling their insurance companies to determine if damage to their homes is covered by their homeowners' policies. The Better Business Bureau of Minnesota and North Dakota (BBB) wants to make sure Minnesota homeowners are aware of a rule in place to protect them when they begin the process of finding a contractor to make repairs.

In particular, the BBB and the Construction Codes and Licensing Division (CCLD) of the Minnesota Department of Labor and Industry are alerting consumers to a Minnesota law which was enacted in 2010, prohibiting contractors from advertising or promising to pay or rebate all or part of any applicable insurance deductibles.

"The reason this law was passed was to protect consumers and insurance companies from contractors who might inflate repair costs in order to pay the homeowner's deductible," said Charlie Durenberger, Manager of the CCLD Licensing and Enforcement Services Units.

The practice of contractors artificially increasing the price charged to the insurance company - to cover homeowners' deductibles - would ultimately lead to rising costs of homeowners insurance for all consumers. Under the 2010 law, the CCLD now has broader powers to enforce this provision. Contractors who are found to have offered to pay or rebate a homeowner's insurance deductable can face a number of penalties, including suspension or revocation of their contractor's license and/or a fine of up to $10,000.

"The BBB is always monitoring the marketplace for questionable business practices," said Dana Badgerow, President and CEO of the BBB. "We feel it's important to help educate the public on matters such as this and encourage consumers to make principled decisions based on facts."

Homeowners need to know that they are responsible for paying the deductible on their homeowners insurance. If a company claims otherwise, consumers should report the incident to the CCLD at (651) 284-5069, as well as the Better Business Bureau (bbb.org or 800-646-6222).

BBB: Consider Utilizing Cellphone Data Limit Protection

7/23/2012

Posted on 7/23/2012 by
Burnsville, Minnesota - July 17, 2012 - In 2011, the Better Business Bureau (BBB) received 38,420 complaints against cellular telephone services and equipment, making it the number one complaint category in the BBB system. Many of those complaints were due to data billing issues; however, there are ways to prevent this. Cellphone carriers offer features that allow consumers to monitor and, in some cases, lower their bills.

Children and teens can easily exceed their cellphone data limit playing games and downloading music. When it comes to monitoring your child's cellphone and data use, there are easy steps parents can take to ensure that their monthly bills don't come as an unpleasant surprise. The BBB of Minnesota and North Dakota compiled the following tips after conducting a survey of major cellphone carriers in regard to tips on overseeing family data usage:

For AT&T users, parents should consider Smart Limits of Wireless, an online parental controls tool. Smart Limits For Wireless lets parents set limits on how and when their child can use their phone, including setting a dollar limit for downloadable purchases. As the child approaches the download limits, he or she will receive an advance warning notification. Once a limit is reached, another notice is sent that the service will be stopped until the next billing cycle begins.

For Sprint users, parents can take advantage of Sprint Mobile Controls. Sprint Mobile Controls allow parents to clearly understand their child's talk, text and app use habits. Parents can lock their child's phone on-demand or schedule locks - during dinner, school or late at night.

For U.S. Cellular users, parents can utilize the My Account tool to oversee their child's data usage. The My Account tool allows parents to receive text message alerts when their data usage is close to the limit, as well as block data to a specific handset.

For Verizon users, parents can set up and manage Usage Controls through their My Verizon account. Through the My Verizon Usage Controls, customers can keep a tight rein on their accounts' usage. Families or individuals can control wireless budgets with monthly usage allowances on each controlled line for voice minutes, messaging, data and content purchases such as ringtones, games and downloads. They'll receive free text message alerts when limits are nearing and when they are reached. Once the allowance is reached, there is also an option to restrict usage.

For more information pertaining to your individual cell phone carrier, the BBB recommends contacting them directly to see what data overage protection plans can be applied to your personal account. For more tips you can trust, visit www.bbb.org/us/Consumer-Tips.

NOTE: T-Mobile did not respond to BBB's request for information.

Protect yourself from credit card skimming

7/23/2012

Posted on 7/23/2012 by
Burnsville, Minnesota - July 19, 2012 - Even if you're choosy about which ATMs and gas stations you frequent, you can still become a victim of identity thieves who place seamless devices on machines to steal - or 'skim' - sensitive financial information. Skimming is a growing problem and the Better Business Bureau of Minnesota and North Dakota (BBB) recommends that consumers take immediate steps to protect themselves from becoming the next victim.

"Skimming devices are becoming increasingly harder to detect and often blend in seamlessly with credit card readers," said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. "If you're going to use an ATM or pay at the pump when filling up, you could become a victim. It's important to monitor your accounts closely so you can quickly detect any fraudulent activity on your card and act to minimize your losses."

Identity thieves tamper with ATMs and public credit card readers in any number of different ways in order to steal card numbers and PINs. It only takes a few seconds to install cameras over the keypad or a device over the card reader.

Here are some things you can do to avoid becoming a victim of credit card skimmers:

Protect your PIN - When entering your PIN, cover the keypad with your other hand to prevent any cameras from catching your digits. False keypads placed over the real keypad are also a way scammers get PIN numbers, so if the keypad looks different, find a different ATM machine.

Give it a wiggle - Skimming devices are often false panels attached to the ATM or credit card reader - where you swipe your card. Inspect debit and credit terminals closely. If anything looks damaged or unusual, give it a wiggle. Also look for new or suspiciously placed cameras and unusual signage. Don't hesitate to walk away and use another ATM - or pay inside if you're at a gas station - if something doesn't feel right.

Be picky with your ATMs - Avoid using ATMs in poorly lighted or low-traffic areas. Experts often recommend choosing a bank ATM over standalone ATMs in public places. Not only do identity thieves attach devices to legitimate ATMs to steal numbers, they will also place their own phony ATMs in public places.

Pay inside or pay with cash - Paying inside at gas stations reduces your risk of credit card fraud greatly, and paying with cash eliminates the possibility altogether.

Keep an eye on your statements - The most vigilant person can still fall victim to skimming, and it's important to always keep a close eye on your accounts - particularly the itemized breakdown of charges and debits -so that you can quickly report any suspicious activity on your account.

Report Fraud Immediately - Report any fraudulent activity to your bank or credit card provider as soon as you discover it. Paying with a credit card is also a good idea, because consumers have dispute rights if there are unauthorized charges on their account. Consumer protections for debit cards vary from institution to institution, but depend largely on when you report the fraudulent activity. If you wait too long to report the fraud, your bank account could be cleaned out and your bank might not reimburse you.

For more advice on avoiding scams and preventing fraud, visit www.bbb.org/us/consumer-tips-scams.

Darn Toothy Sam leaves some customers frowning

7/12/2012

Posted on 7/12/2012 by

BBB receives reports of company threatening to charge consumers who complain

Burnsville, Minnesota – June 21, 2012 – The Better Business Bureau of Minnesota and North Dakota (BBB) is issuing an alert on Darn Toothy Sam, a Burnsville company which offers camera repair services and sells camera equipment on their website – www.darntoothysam.com. The company has an F rating with the BBB due to a pattern of customer complaints. Customers allege that after paying upfront for merchandise or repairs, promised deadlines were not met. Many complainants also state Darn Toothy Sam was not responsive to follow-up inquiries.

“We have a very clear pattern of a problem with this company,” said Dana Badgerow, President and CEO of the BBB. “Consumers pay the company in advance for repairs or equipment, and then wait – and wait. From there, their calls and emails to the company are not returned and people are left with no guidance and few options.”

In the last three years, Darn Toothy Sam has been the subject of over 50 customer complaints. The company has responded to most complaints brought to their attention by the BBB, and has generally resolved issues by trying to explain the reason for delays, offering refunds or offering to return equipment – often in the same condition as when it was shipped to the company for repairs. Five complaints have been closed as unanswered and five more are currently pending.

Darn Toothy Sam was accredited by the BBB back in 2009, but had their accreditation revoked in November of 2010 due to an increase in complaint volume and for failing to address the underlying cause of these complaints.

In recent weeks, the BBB has received reports that the company is threatening to charge consumers who file complaints with the BBB a fee of $35, claiming that’s what the BBB charges them per complaint. The BBB handles complaints as a free service to the public and business community.

Customers who have disputes with Darn Toothy Sam are advised to file complaints with the BBB at bbb.org.

BBB Seeks to Veto Utility Bill Scam

7/9/2012

Posted on 7/9/2012 by

Latest Bogus Offer Claims President Obama Will Pay Your Power Bills

Burnsville, Minnesota - July 9, 2012 - The Better Business Bureau of Minnesota and North Dakota (BBB) is issuing an urgent warning to businesses and consumers about a scam claiming that President Obama will pay their utility bills through a new federal program. This bogus offer has been popping up nationwide and is now making its way into Minnesota and North Dakota.

"We've been watching this scam closely as it emerged sporadically around the country," said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. "Recent reports we've received indicate that it's now here and people need to be aware of the risks."

How the scam works:

Consumers have been contacted through telephone calls, fliers, social media and text messages with claims that President Obama is providing credits or applying payments to utility bills.
To receive the money, scammers claim they need the consumer's Social Security and bank routing numbers.

In return, customers are given a fraudulent bank routing number to pay their utility bills through the automated telephone payment service. The payment service initially 'accepts' the payment but then declines it within a few days when the bank account number is discovered to be fake.

The BBB offers these tips to avoid becoming a victim of this scam:

Be sure to investigate any offer that sounds too good to be true by contacting the BBB at 800-646-6222 or bbb.org.
Never provide your Social Security number, credit card number or banking information to anyone who calls you, regardless of whom they claim to be representing.
If you receive a call claiming to be your utility company and feel pressured for immediate payment or personal information, hang up the phone and call the customer service number on your utility bill.
Always think safety first. Remember, once your personal information is out there, you don't know who will be using it or how it will be used.

People who have provided sensitive personal information in situations like this should be aware of the heightened risks of identity theft and take steps to protect themselves by visiting www.ftc.gov/bcp/edu/microsites/idtheft.

For more consumer tips you can trust, visit www.bbb.org/us/Consumer-Tips.

BBB Advice on Dealing with the Aftermath of Disasters

6/28/2012

Posted on 6/28/2012 by

Burnsville, Minnesota - June 27, 2012 - After the storms which caused disastrous flooding and major property damage to parts of the state, the Better Business Bureau of Minnesota and North Dakota (BBB) is offering advice to those affected, as they begin the process of cleaning up and making repair decisions.

Natural disasters can bring out the best in people, as strangers reach out to help others in need. Unfortunately, a crisis can also bring out persons whose sole goal is to take advantage of the victims. Some of the most common "after-disaster" scams involve your auto, home and yard repairs or clean-up. Your Better Business Bureau offers the following tips to people who have suffered storm or flood damage:

Check with your insurance company about policy coverage and specific filing requirements. Save all receipts, including those for food, temporary lodging, or other expenses that may be covered under your policy.
Although you may be anxious to get things back to normal, avoid letting your emotions get the better of you. Don't be pressured into making an immediate decision with a long-term impact. Be pro-active in selecting a business and not re-active to sales solicitations. Make temporary repairs if necessary and keep your receipts.
For major repairs, take time to shop around and get 3-4 estimates based on the same specifications and materials. Always ask for references and verify that businesses are licensed/registered to do work in your area; also, be aware that all work inside homes that pre-date 1978 must be performed by contractors that are Certified to Conduct Lead-Based Paint Activities and Renovations.
Be wary of door-to-door workers who claim to have left-over materials from a job "down the street" or who do not have a permanent place of business. If salespeople are going door-to-door, check to see if your community requires them to have solicitation permits.
Be leery if a worker shows up on your doorstep to announce that your home is unsafe. If you are concerned about possible structural damage in your home, have an engineer, architect or building official inspect it.
Require a written contract agreement with anyone you hire. It should specify the work to be done, the materials to be used and the price breakdown for both labor and materials. Any promises made orally should be written into the contract, including warranties on materials or labor. Be sure their name, address, license - if applicable - and phone numbers are all included in the contract. Read and understand the contract in its entirety and don't sign a blank contract. You should receive a copy of the signed contract, and both a start and completion date should be included.
Once you have found a contractor, request proof of a current insurance certificate covering workman's compensation, property damage and personal liability.
Never pay in full for all repairs in advance, and do not pay cash! While many businesses may ask for a deposit, the BBB suggests that no more than one third of the project cost be paid up front. Be sure the contract specifies the schedule for releasing payments to the contractor.

Disaster victims should never feel forced to make a hasty decision or choose an unknown business. For free BBB Business Reviews and lists of Accredited Businesses by industry, visit bbb.org or call 800-646-6222.

Asphalt Scams Roll through Minnesota and North Dakota

6/26/2012

Posted on 6/26/2012 by

Burnsville, Minnesota -- June 13, 2012 -- It's that time of year when you might get an unexpected knock on your door -- especially if you have an older or unpaved parking lot or driveway. The Better Business Bureau of Minnesota and North Dakota (BBB) is warning consumers and businesses that asphalt scam artists are out and about trying to rustle up jobs. These operators often go door to door claiming they have extra asphalt from a nearby project and they're willing to do work at a discounted rate. However, the quality of work is often sub-par and the final cost can sometimes be double -- or even many times - the quoted price.

The BBB has received numerous reports from area consumers who have fallen prey to this scam in recent weeks. The BBB also notes that in most of these cases contracts were not provided prior to the work being performed; all agreements were verbal. Customers who deal with companies that operate in this fashion quickly discover that if there are problems with the work performed, they only have a phone number for the company and no other way to contact them if calls are not returned -- which is often the case.

"This is what we call a classic scam, and people fall victim to it every day during the paving season somewhere in Minnesota and North Dakota," said Dana Badgerow, President and CEO of the BBB. "Worse yet, the elderly are often the ones this scam targets most."

To avoid asphalt scams, be sure you know who you're dealing with. Research the company first at bbb.org. Also, watch for these common signs of an asphalt scam:

The claim the company has leftover asphalt from another job. Be aware of paving companies that approach your home, stating that they are "in the area" and have extra asphalt or concrete to repair your driveway for a minimal cost. Professional asphalt contractors know, with great accuracy, how much paving material is needed to complete a project. Rarely will they have leftover material.
High pressure sales. Never hire someone on the spot. Trustworthy contractors provide a written estimate that will be valid for days or weeks. Ask for local references and verify that the contractor is in compliance, current and up-to-date with all local licensing, bonding and insuring requirements. If you feel that you are being subjected to high-pressure sales tactics, the BBB advises you to end the conversation and tell the company you're not interested.
Deals that seem too good to be true. If the quoted price seems very low, chances are the quality of work will also be quite low. Many times the company will quote a low price for their work and upon completion overcharge the customer.
No contract is offered. Insist on a written estimate specifying in detail the work to be performed and the agreed total price, not just price per square foot. Then get at least two more quotes before hiring a contractor.
Cash-only sales. Most reputable contractors take checks or credit cards and don't require cash-only terms and will not demand payment in advance.
Unmarked trucks. Often the trucks they travel in are unmarked or they have an out-of-town address and phone number. A little research will reveal that they have no permanent address and the phone number is often an answering machine or answering service.

A professionally designed and properly constructed asphalt pavement will last for many years, and reputable contractors will stand behind their work. They will also know whether or not a permit is required before work begins. Consumers are often safer dealing with a contractor who has roots in the community. Contact the BBB for a free Business Review on any company you are considering doing business with by visiting bbb.org.

BBB Warns Consumers "Affordable Law Center" Could Cost Them

6/14/2012

Posted on 6/14/2012 by
Burnsville, Minnesota -- June 7, 2012 -- The Better Business Bureau of Minnesota and North Dakota (BBB) recently conducted an inquiry into Affordable Law Center, a Hibbing business which claims to offer consumers bankruptcy services at highly competitive rates. The results of this review revealed that despite the company's name, the owner - Ed Jonak - is not a licensed attorney, nor does he employ counsel admitted to practice law in the U.S. District Court in Minnesota, where bankruptcy proceedings are handled. Additional findings by the BBB, available in the public record, led to the lowering of the company's BBB rating from an "A" to an "F."

"There's a clear pattern of deception on the part of this company," said Dana Badgerow, President and CEO of the BBB. "They have advertised themselves as legal experts here and in other states, when in fact they are not. This is a serious matter, and we have adjusted their BBB rating accordingly."

In addition to Affordable Law Center, Jonak operates or has operated a variety of businesses claiming to offer legal services, including American Lawworx, Christian Discount Attorney Services, Affordable Court Services, Paralegal Center, and Action Plan RX. In recent court filings, Jonak claims to have discontinued operating any of these other companies except for Affordable Law Center, which has been the subject of government actions in Missouri, Colorado and Wisconsin, resulting in the company being permanently enjoined from offering bankruptcy or other legal services to consumers in those jurisdictions. A similar action is pending in the Minnesota federal court.

The St. Louis County Attorney's Office filed suit against Jonak and his company for practicing law without a license in June of last year. However, the lawsuit was voluntarily dismissed without prejudice, meaning it could be brought forward again.

On Affordable Law Center's website, the company says they offer "Low Cost Bankruptcy" assistance, in addition to other services. In Minnesota phone books, Affordable Law Center has been listed under "Attorneys - Bankruptcy." However, court filings reveal there have been eighteen separate bankruptcy actions in Minnesota where Jonak assisted with the filings and no attorney was ever involved. Currently, language on the company's website indicates they are marketing their services to potential clients in Nevada and California.

When looking for bankruptcy assistance, the BBB advises choosing a credit counseling agency that has been approved by the U.S. Trustee's Office to provide the mandatory financial counseling classes. A list of approved agencies by state location is posted on the Trustee Web site at http://www.justice.gov/ust/eo/bapcpa/ccde/cc_approved.htm.

You will also want to check the agency's record at BBB.org, and find out if it is a member of the National Foundation for Credit Counseling (www.nfcc.org) or the Association of Independent Consumer Credit Counseling Agencies (www.aiccca.org). Agencies that are members of these organizations must adhere to strict standards of professionalism and accreditation and use only certified credit counselors.

Remember, bankruptcy is a legal remedy, so it is recommended that you hire an attorney who specializes in bankruptcy and knows how to navigate federal and state laws. It is also important that you not choose an attorney based on price alone. You will find it of benefit to look for an attorney who wants to meet you individually, answer your questions, and take into account your personal situation.

The BBB also warns consumers not to make the mistake of assuming that a "bankruptcy petition preparer" can offer you legal advice. They are non-lawyers who can prepare bankruptcy forms for a fee; they offer no services once a bankruptcy case has begun.

If you're considering filing bankruptcy and don't know where to start, ask family, friends, or colleagues if they can recommend an attorney. Check with your local or state bar association, and check out companies at www.bbb.org before you make your decision.

BBB Warns of Rental Property Scams

6/5/2012

Posted on 6/5/2012 by

Where do you turn if you're in the market for a new place to live? A lot of people go online to find affordable rental properties. But before beginning your search, the Better Business Bureau of Minnesota and North Dakota (BBB) is warning people that there are many unscrupulous individuals using craigslist and other websites - posing as landlords or rental agents - to scam you or steal your personal or financial information.

"The number of rental property scams online continues to grow," said Dana Badgerow, President and CEO of the BBB. "The names of the fictitious "property owners" may change, but the methods are always the same: attractive-looking properties are offered at low or unbelievable prices; consumers wire money for security deposits or the first month's rent, and then quickly discover they've been defrauded.

Ads like these are not limited to craigslist, and the online thieves behind them - many of whom are based overseas - are out to swipe your money and your identity.

The BBB provides the following tips for avoiding online rental property scams:

Be leery of deals that sound too good to be true. Scammers will often list a rental at a very low price to lure in victims. Shop around to find out how comparable listings are priced. If the rental comes in suspiciously low, walk away.
Never wire money at the request of any prospective "landlord" via Western Union, MoneyGram or any other wire service.
Never send a scan of your passport or ID. Online thieves will use your identity to scam others. Always ask to see the landlord's ID - record all of the information you can from it.
Do an Internet search of the person's name you're supposedly dealing with. You could add the words "fraud" or "scam" at the end of your search terms.
If the ad or posting is full of spelling or grammatical errors, be aware there's a good chance you're dealing with an overseas scammer.
Always ask to inspect the property - inside and out. In many rental scams, the "landlords" prefer to communicate via email, claiming to be out of the country and unable to show the property. This is usually a huge red flag.
Consider using a real estate agent or a rental agency to find the property that's right for you. Check them out first at www.bbb.org.

BBB Warns of Rental Property Scams

6/5/2012

Posted on 6/5/2012 by

Where do you turn if you’re in the market for a new place to live? A lot of people go online to find affordable rental properties. But before beginning your search, the Better Business Bureau of Minnesota and North Dakota (BBB) is warning people that there are many unscrupulous individuals using Craigslist and other websites – posing as landlords or rental agents – to scam you or steal your personal and financial information.

“The number of rental property scams online continues to grow,” says Dana Badgerow, President and CEO of the BBB. “The names of the fictitious “property owners” may change, but the methods are always the same: attractive-looking properties are offered at low or unbelievable prices; consumers wire money for security deposits or the first month’s rent and then quickly discover they’ve been defrauded.”

Ads like these are not limited to Craigslist, and the online thieves behind them – many of whom are based overseas – are out to swipe your money and your identity.

The BBB provides the following tips for avoiding online rental property scams:

Be leery of deals that sound too good to be true. Scammers will often list a rental at a very low price to lure in victims. Do some shopping around to find out how comparable listings are priced. If the rental comes in suspiciously low, walk away.

Never wire money at the request of any prospective “landlord” via Western Union, Money Gram or any other wire service.

Never send a scan of your passport or any other ID. Online thieves will use your identity to scam others. Ask to see the landlord's ID - record all the information you can from it.

Do an Internet search of the person's name you're supposedly dealing with. You could add the words "fraud" or "scam" at the end of your search terms.

If the ad or posting is full of spelling errors and grammatical errors, be aware there’s a good chance you’re dealing with an overseas scammer.

Always ask to inspect the property – inside and out. In many rental scams, the “landlords” prefer to communicate via email, claiming to be out of the country and unable to show the rental property. This is usually a huge red flag.

Consider using a real estate agent or a rental agency to find the property that’s right for you. Check them out first at www.bbb.org.

The mission of the Better Business Bureau is to be the leader in building marketplace trust by promoting, through self-regulation, the highest standards of business ethics and conduct, and to instill confidence in responsible businesses through programs of education and action that inform, assist and protect the general public. Our hours of operation are 8 a.m. to 5 p.m. Monday through Friday. Contact the BBB at www.bbb.org or 651-699-1111, toll-free at 1-800-646-6222.

MN/ND BBB Now Offering Military Line Program

5/16/2012

Posted on 5/16/2012 by
On May 19, Armed Forces Day, the Better Business Bureau of Minnesota and North Dakota launched a local Military Line® program designed to help Minnesota and North Dakota service members and their families make wise financial decisions and avoid scams. Military consumers and their families are heavily targeted for: predatory lending, identity theft, auto loans at punitive rates, and questionable investments. In the past two years, over 100,000 complaints from the military community have been reported to BBBs across the U.S.

Supported by an established national network with a century of expertise in marketplace knowledge, the mission of the BBB Military Line is to improve financial readiness and consumer education for service members, their families, and the military community.

"We are excited and honored to offer this program to such an important part of our communities," said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. "You would think that scammers would steer clear of those who serve, as well as their families. Sadly, that's not the case, as these consumers are among those targeted most by scams."

Nationally, the BBB has offered a Military Line program since 2004. Disturbing patterns that they've tracked include: 1) Advance-fee loans, car-buying scams, and predatory financing; 2) Scammers using job search sites to find victims and; 3) Scammers masquerading as reputable businesses or charities.

BBB Military Line educational workshops offered to Minnesota and North Dakota military personnel and their families include: Smart Consumer (teen and adult); Deals for Wheels (teen and adult); How to Buy a Home; Investing for Retirement; and Scams, Schemes, and ID Theft. Free resources to the military community will be provided via these five components:

Education - BBB staff will visit military installations to offer financial literacy classes to service members.
Outreach - Educational pamphlets will be distributed at community fairs, conferences and other events. Staffers will talk to service members and listen to their concerns.
Information - The resources page on the BBB's website offers articles, links, consumer alerts and free consumer guides customized for military personnel and their families. We will also make information available via Facebook and Twitter.
Data Collection - Continuous analysis of BBB data helps identify the evolving needs of the military community in the marketplace.
Complaint and Dispute Resolution - Filing a complaint with the BBB helps military consumers resolve disputes and also aids the BBB in identifying trends and issues affecting the military community.

In addition to the BBB's national Military Line program, the BBB of Minnesota and North Dakota joins 21 other local BBBs who offer this service locally. Vicki Lokken-Paverud, the BBB's Military Outreach Coordinator, is responsible for bringing Military Line resources to the Minnesota and North Dakota military community. She can be reached at 651-695-2428 or vicki.lokken-paverud@thefirstbbb.org.

The stated pillars of local BBB military outreach are:

Develop relationships with military installation leadership
Teach financial readiness workshops
Present at military installation information meetings and gatherings
Participate in financial readiness and community fairs and conferences
Partner with local military affairs organizations

Furniture Retailer Fails to Deliver

5/16/2012

Posted on 5/16/2012 by
An investigation by the BBB has revealed a connection between three online furniture retailers in the metro area which have all been the subject of customer complaints: Wholesale Modern Design, Light Grey Design and Urban Hom. After completing their investigation, the BBB has merged the three companies into one entity - Wholesale Modern Design - which has earned an F rating due to a pattern of complaints, as well as unanswered complaints.

Customer complaints generally allege that after paying the company - in some cases thousands of dollars upfront - there were lengthy delays in shipping or their furniture never arrived at all.

In some cases, complainants who were unhappy with the delays requested and were promised refunds by the company. However, customers in those situations have reported the company didn't meet promised deadlines, with some saying the company failed to provide their refunds. Currently, Wholesale Modern Design has 14 unanswered complaints on file with the BBB, in addition to 8 unresolved complaints. Other complaints are pending.

"A company using multiple names to avoid detection of problematic behavior is an instant red flag," stated Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. "We believed that was what was happening with these three companies, and our investigation confirmed they are one and the same."

The BBB first suspected the companies were connected when a staffer noticed that Wholesale Modern Design and Light Grey Design had nearly identical websites, with both sites offering the same Gold, Silver and Bronze shipping options. The companies also have identical voicemail messages, and the website of Urban Hom, which was the first of these entities to attract the BBB's attention, redirects to the website of Light Grey Design.

The businesses list an address in Rogers, Minnesota, which the BBB has confirmed is a UPS store location. Shane McLaughlin, the owner and operator of all three businesses, is listed as Administrative and Technical contact for each of the companies' websites. His personal Facebook profile refers to himself as the CEO and founder of Light Grey Design; however, his contact information is listed as cs@urbanhom.com, and www.urbanhom.com is the website listed. The same Facebook profile also directs visitors to still another company called Wholesale Living. This company's Facebook page contains several consumer posts warning others about the business's tactics. McLaughlin is also listed as co-owner of M&M Custom Sprinklers, a company that also has an F rating with the BBB for failure to respond to complaints.

Additionally, the BBB believes that each of these virtual companies operate from call centers and take orders over the phone or electronically. However, they do not stock furniture but rather drop-ship items from unknown offshore sources. The websites offer the same merchandise, with identical item numbers, but the prices vary. For instance, a sectional with recliners sells on the Wholesale Modern Design's site for $1852.96, while the same item sells on Light Grey Design's website for $1927.83.The companies also offer "Ribbon Gift Card Collection," sets of furniture gift cards sold with a very small discount; for example, a $100 gift card sells for $98.39. None of the company names are currently registered with the Minnesota Secretary of State's Office.

The BBB offer the following tips for safe and secure online shopping:

If you're interested in trying a new online merchant who you're not familiar with, ask the company for its physical location (address and phone number) so that you can check on its reliability with outside organizations like the BBB (bbb.org) and consumer agencies.
Determine the company's refund and return policies before you place an order. If online companies can't offer concrete commitments on how they will handle potential problems you may have with their products or services, reconsider doing business with them.
Use a trustworthy escrow service.
Before making an order, be clear on the price and any shipping and handling charges. Know the terms of any product or service guarantees. Find out how long it will be before you receive your order. Federal law requires that goods and services be delivered within 30 days, unless a different delivery period is specifically stated by the merchant.
Keep a Paper Trail. Print out the "address" of the company site you are on—it's Uniform Resource Locator (URL). It's also a good idea to print out a copy of your order and confirmation number for your records.
Know Your Rights. The same laws that protect you when you shop by phone or mail apply when you shop in cyberspace. If you decide to pay by credit card or charge card, your transaction will be protected by the Fair Credit Billing Act. If you are not comfortable entering your credit or charge card account number online, call the company directly and ask to speak to a representative.

Business Ethics Summit a Success

4/24/2012

Posted on 4/24/2012 by

Joint effort between BBB and University of St. Thomas first of its kind

Burnsville, Minnesota - April 24, 2012 - On April 17, the Better Business Bureau of Minnesota and North Dakota (BBB) along with the University of St. Thomas Opus College of Business convened the first-ever Business Ethics Summit. The Summit, part of the BBB's year-long Centennial Celebration, was an all-day event in downtown Minneapolis which brought together more than 100 business owners, ethics officers from leading firms, academics and students for an interactive dialogue on the importance of ethics in the marketplace. It was moderated by KSTP's Tom Hauser.

"We expected that this event and the discussions it generated would prove fruitful," said Dana Badgerow, President and CEO of the BBB. "It did more than that, exceeding even our high expectations. With panelists this accomplished, skillful moderators and the broad range of age groups involved, all of the ingredients were there for a truly special day."

The event kicked off with the announcement of the winners of the Ethics: Uploaded student video contest. The contest, which was open to all high school and college students in Minnesota and North Dakota, asked young people to consider how the decisions they make each day impact their lives, as well as their futures.

Christopher Puto, Dean of the Opus College of Business, officially opened the Summit by saying, "The purpose of business is to be a good business. The reward for being a good business is profit." Afterwards, during a lively and thought-provoking Business Ethics Panel discussion, Dr. Christopher Michaelson, a professor at the University of St. Thomas Opus College of Business, said he asks his business students, "Who are you at your core?" and then encourages them to bring that into their work. General Mills' Senior Manager of Ethics and Compliance, Chris Collin, later added, "Business decisions need to be based on objectivity, fairness and trust."

The afternoon breakout sessions - Building a Culture of Ethics and The Ethics of Social Media - offered a broad range of experienced panelists and presenters touching on real-life ethical dilemmas businesses have faced and discussed well-publicized examples where companies had failed to remain true to their stated values. Ron James, CEO of the center for Ethical Business Cultures, encouraged businesses to make sure their actions followed their values, and cautioned them against getting fixated on short-term objectives at the cost of their long-range plans. Amy Lilly, Director of Ethics and Compliance for CenterPoint Energy, reminded business owners and students alike that organizations have to rely on their values to guide employees in the decisions they make.

The spirited discussions focused mostly on the positive and spoke to the importance, for both businesses and individuals, of making ethics a frontline priority and everyday concern.

Panelists and presenters included: Christopher Puto, Dean of the University of St. Thomas Opus College of Business; Paul Blom, Right At Home; Tim Brunelle, Hello Viking; Chris Collin, General Mills; Gina Debogovich, Best Buy; Bryan Del Monte, Del Monte Agency; Kathleen Edmond, Best Buy; Dr. Ron James, Center for Ethical Business Cultures; Amy Lilly, CenterPoint Energy; Dr. Christopher Michaelson, University of St. Thomas Opus College of Business; Dr. Michael Porter, University of St. Thomas Opus College of Business; Jeff Taxdahl, ThreadLogic; and Kathy Tunheim, Tunheim.

"We're planning to make both the Business Ethics Summit and Ethics: Uploaded annual events," said Badgerow. "As so many of our accomplished panelists noted at the Summit, ethics must constantly be reinforced. When they're not, that's when problems can so easily occur."

The Business Ethics Summit was supported by the BBB's Centennial sponsors: Best Buy, CenterPoint Energy, Think Mutual Bank, Del Monte Agency, K102, KOOL 108, KFAN, NewsTalk Radio, Business Journal, Pioneer Press, Prairie Business, Gray Plant Mooty, ABRA and Financial Concepts.

About the Better Business Bureau
The mission of the Better Business Bureau is to be the leader in building marketplace trust by promoting, through self-regulation, the highest standards of business ethics and conduct, and to instill confidence in responsible businesses through programs of education and action that inform, assist and protect the general public. Our hours of operation are 8 a.m. to 5 p.m. Monday through Friday. Contact the BBB at bbb.org or 651-699-1111, toll-free at 1-800-646-6222. Visit the BBB's Centennial website at bbbis100.org.

BBB Awards Ethics: Uploaded Student Video Contest Winners

4/24/2012

Posted on 4/24/2012 by

Voting Process for 'People's Favorite' Award Open Through May 31

Burnsville, Minnesota - April 24, 2012 - As part of the first-ever Business Ethics Summit, held April 17 in conjunction with the University of St. Thomas Opus College of Business, the Better Business Bureau of Minnesota and North Dakota (BBB) revealed the winners of the Ethics: Uploaded student video contest. The contest, which was open to all high school and college students in Minnesota and North Dakota, asked young people to consider how the decisions they make each day impact their lives, as well as their futures.

"When planning the Business Ethics Summit, as part of our year-long Centennial Celebration, we realized it was vitally important to include the voices of our future business leaders in the mix," said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. "From those discussions, Ethics: Uploaded emerged, and it was wonderful to see that so many young people have strong opinions about what ethics means."

This year's winners were announced at the start of the day-long gathering in downtown Minneapolis which brought together business owners, ethics officers from leading firms, academics and students for an interactive dialogue on ethics in the marketplace.

The final winner of the Ethics: Uploaded video contest is yet to be decided. People are invited to visit www.bbbis100.org/ethicsuploaded to vote for the Best Buy "People's Favorite" award. All 16 videos - including the videos which have already won awards - are eligible and available to vote on until May 31. The video with the most "Likes," according to YouTube, will win a $500 gift card.

The winning videos were chosen by independent judges, and can be viewed online at www.bbbis100.org/ethicsuploaded. The winners are:

High School Individual
"Lewie Explains Tough Decisions" by Lewie Kloster, St. Thomas Academy

High School Group
"Real Ethics" by Mitchell Ringness, Megan Meisner and Brittanie Pearson, Pine City High School

College Individual
"A Typical Day of a Particular College Student" by Meridith Grivna, St. Benedict's College

College Group
"Change the 2 to a 1" by Jonathan Patridge and the Kaizen Media Group at Minnesota School of Business

The mission of the Better Business Bureau is to be the leader in building marketplace trust by promoting, through self-regulation, the highest standards of business ethics and conduct, and to instill confidence in responsible businesses through programs of education and action that inform, assist and protect the general public. Our hours of operation are 8 a.m. to 5 p.m. Monday through Friday. Contact the BBB at www.bbb.org or 651-699-1111, toll-free at 1-800-646-6222. Visit our Centennial website at bbbis100.org.

# # #

Special thanks to BBB Centennial "Lighting the Way" sponsors: Best Buy, CenterPoint Energy, Think Mutual Bank, Del Monte Agency, K102, KOOL 108, KFAN, NewsTalk Radio, Business Journal, Pioneer Press, and Prairie Business

BBB, AARP North Dakota Invite Public to Free Shredding Events

4/24/2012

Posted on 4/24/2012 by

Saint Paul, Minnesota – April 10, 2012 – The Better Business Bureau of Minnesota and North Dakota (BBB) and AARP North Dakota are sponsoring “Secure Your ID” Day events Saturday, April 21 in the Fargo-Moorhead and Bismarck-Mandan communities. Area residents and businesses are invited to shred and properly dispose of their sensitive paper documents, CDs and old cell phones – for free. Tips and resources on how to avoid identity theft will also be provided. The Fargo event will be held at the Wells Fargo branch on 13th Ave. S. The Bismarck event will be held at the Wells Fargo Gateway Mall location at 1050 E. Interstate Ave. The times for both events are from 8 a.m. to 1 p.m.

The dual events are part of a series of Secure Your ID Day events being hosted by Better Business Bureaus all across the country. The BBB and AARP ND, along with local partners The Bismarck Tribune, The Forum, Recall and Wells Fargo are working together to educate consumers about identity theft, which has been the top consumer complaint to the Federal Trade Commission (FTC) for the past twelve years in a row, with nearly 280,000 cases of identity theft reported to the FTC in 2011.

“We’re pleased to help provide this valuable service to the public,” said Dana Badgerow, President and CEO of the Better Business Bureau of Minnesota and North Dakota. “We’re also gratified by the fact that attendance at our Secure Your ID events in North Dakota continues to grow.”

People are invited to bring up to three boxes or bags of documents to be shredded. Documents to be shredded should be removed from binders, but staples, paper clips and CDs are okay as is. Event staff will also be collecting cell phones which are no longer in use.

BBB Secure Your ID Day Details
Who: The BBB and AARP North Dakota, along with local partners The Bismarck Tribune, The Forum, Recall and Wells Fargo.
What: Free document shredding, cell phone collection and tips and resources for protecting your identity.
When: Saturday, April 21, 2012, from 8 a.m. to 1 p.m.
Where: Wells Fargo parking lot, 1050 E. Interstate Ave., Bismarck and 2501 13th Avenue South, Fargo.

For more information on Secure Your ID Day and identity theft prevention measures for both consumers and businesses, visit: http://www.bbb.org/us/secure-your-id/.

Contact: BBB of MN/ND -- Dan Hendrickson, Communications Coordinator, 651-695-2463 / dhendrickson@thefirstbbb.org

Contact: AARP ND -- Lyle Halvorson, Communications, 701-355-3653 / LHalvorson@aarp.org

About the BBB of Minnesota and North Dakota
The mission of the Better Business Bureau is to be the leader in building marketplace trust by promoting, through self-regulation, the highest standards of business ethics and conduct, and to instill confidence in responsible businesses through programs of education and action that inform, assist and protect the general public. Our hours of operation are 8 a.m. to 5 p.m. Monday through Friday. Contact the BBB at bbb.org or 651-699-1111, toll-free at 1-800-646-6222. Visit our Centennial site at bbbis100.org.

About AARP North Dakota
With 85,000 members in North Dakota, AARP is a nonprofit, nonpartisan organization with a membership that helps people 50+ have independence, choice and control in ways that are beneficial and affordable to them and society as a whole. AARP does not endorse candidates for public office or make contributions to either political campaigns or candidates. We produce AARP The Magazine, the definitive voice for 50+ Americans and the world's largest-circulation magazine with over 35.1 million readers; AARP Bulletin, the go-to news source for AARP's millions of members and Americans 50+; AARP VIVA, the only bilingual U.S. publication dedicated exclusively to the 50+ Hispanic community; and our website, AARP.org. AARP Foundation is an affiliated charity that provides security, protection, and empowerment to older persons in need with support from thousands of volunteers, donors, and sponsors. We have staffed offices in all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands.

BBB, University of St. Thomas to Convene Business Ethics Summit

4/10/2012

Posted on 4/10/2012 by

April 17th event includes business leaders, ethics officers, professors and students

Burnsville, Minnesota – March 28, 2012 – The BBB of Minnesota and North Dakota will host the first-ever Business Ethics Summit, April 17 from 10 a.m. to 3 p.m. at the University of St. Thomas Opus College of Business, where business leaders, ethics officers, academics and members of the future workforce will take part in a day-long summit about business ethics.

Participants will experience an ethics panel discussion, moderated by KSTP’s Tom Hauser, featuring business leaders from various industries and business size. After lunch, which offers an opportunity to meet face-to-face with area ethics leaders, two mini-seminars – Building a Culture of Ethics in Business and Ethics of Social Media – will be held, covering just two of the many hot topics in business ethics today.

Advocating ethical business practices is the backbone of the Better Business Bureau’s mission. “Here in our Centennial year, we are very excited to start this dialogue along with our partner, the University of St. Thomas, and the distinguished panel of professionals we’ve assembled,” said Dana Badgerow, President and CEO of the BBB. “By fostering this discussion, we hope to return the focus to the very roots of our organization, which was founded in Minneapolis 100 years ago, and underscore once again the importance of a marketplace where buyers and sellers can trust each other.”

Panelists and presenters include: Paul Blom, Right At Home; Tim Brunelle, Hello Viking; Chris Collin, General Mills; Gina Debogovich, Best Buy; Bryan Del Monte, Del Monte Agency; Kathleen Edmond, Best Buy; Dr. Ron James, Center for Ethical Business Cultures; Amy Lilly, CenterPoint Energy; Dr. Christopher Michaelson, University of St. Thomas Opus College of Business; Dr. Michael Porter, University of St. Thomas Opus College of Business; Jeff Taxdahl, ThreadLogic; and Kathy Tunheim, Tunheim.

To start the conversation about ethics today and encourage participation during the event, the BBB has launched a Twitter hashtag, #BBBSummit. The Business Ethics Summit will also host a “Tweet Wall” during the event, providing updates on the event and subsequent discussions.

“It is an honor and a great opportunity to collaborate with the BBB on this event," said Dean Maines, president of the Veritas Institute, an Opus College of Business center that promotes the integration of ethical values within organization's operating policies and processes. "Through the years, the BBB and the college have both promoted ethical business conduct. The Summit allows us to join together on this shared concern, offering leaders insights from both business practice and leading-edge management scholarship."

Registration is required and open to the public. Register online at BBBSummit.org.

Location:
Schulze Hall, Opus College of Business
University of St. Thomas
1000 LaSalle Avenue
Minneapolis, MN 55403

Date and Time:
April 17, 2012
10 a.m. to 3 p.m.

Cost:
$29 / Person
$25 / BBB Accredited Businesses
Free / College Students

Better Business Bureau Calls for Integrity Awards Nominations

4/10/2012

Posted on 4/10/2012 by

Award Recognizes Upstanding, Ethical Businesses

Burnsville, Minnesota – April 4, 2012 – In the midst of their Centennial Celebration, the Better Business Bureau of Minnesota and North Dakota (BBB) is calling for nominations for its thirteenth annual Integrity Awards. The BBB was founded in Minneapolis by ethical business owners back in 1912, and the Integrity Award recognizes companies who display outstanding ethics in their dealings with customers, employees, vendors and the community. All for-profit businesses of any size, owned or operated in Minnesota or North Dakota, are eligible. Nominees must be in good standing with the BBB; however membership is not a requirement to compete for the award. The nomination deadline is May 1, 2012.

Nominations are open to the public, and companies can be nominated online by visiting www.thefirstbbb.org to submit a nomination form, or by sending the company name, contact name, address, phone number, and email along with the nominator’s name and phone number to BBB, Attn: Mackenzie Kelley, 220. S. River Ridge Circle, Burnsville, MN 55337; or by faxing the information to 651-699-7665. Company employees may also nominate their own firms.

“The Better Business Bureau Integrity Award gives everyone the opportunity to tip their hats to those companies who go the extra mile,” said Dana Badgerow, president and CEO of the Better Business Bureau. "These could be companies you had a great experience with or the ones you deal with on a regular basis.”

Entrants are judged on four areas of their business: management practices; customer/vendor relations; marketing/sales practices; and reputation within their industry/community.

Nominated companies will receive an official entry form from the BBB. An independent panel of judges will decide the award finalists and recipients. Winners will be announced live at the BBB's 2012 Integrity Awards ceremony in October, as part of their Centennial Gala. Winners will also be eligible to compete for the National BBB Torch Award for Marketplace Ethics.

Thank you to our Centennial Gala/Integrity Awards sponsors: CenterPoint Energy, Think Mutual Bank, Del Monte Agency, K102, KOOL 108, KFAN, News Talk 100.3, Minneapolis St. Paul Business Journal, Pioneer Press, Prairie Business, ABRA, Financial Concepts, Gray Plant Mooty, Rippe Print, and Memory Vision.

Complaints against Power4Home Pro trip BBB sensors

4/10/2012

Posted on 4/10/2012 by

Company's Claims Also Challenged

March 21, 2012 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) is warning consumers about energy savings claims from Power4Home Pro, a solar and wind energy manufacturing company. The company – which claims a Minnesota address, but appears to be headquartered elsewhere – sells DVDs that purportedly provide instructions on how to build and install energy-saving solar panels and windmills at home. The Power4Home System 2.0 DVD sells for $49.00 plus a $7.99 charge. However, a BBB review of the company’s materials revealed the same information is available on the Internet – for free.

“Power4Home Pro makes their materials sound like fool-proof investments, but our investigation found that identical information was available for free online,” stated Dana Badgerow, President and CEO of the BBB. “We also dispute the highly questionable claims that their offer is “worth 10 times the investment” and can “eliminate your power bill forever.”

The BBB secret-shopped Power4Home Pro, and purchased their “system” for what’s advertised as a limited time offer of $57.96 – information Power4Home Pro claims is worth over $700.00. The company sent a DVD with step-by-step instructions and all other information was delivered in the form of PDF files. The company’s website claims that anyone with basic technical knowledge could construct the panels and windmills, and suggests that the solar panel project could be completed by a father and son in a single weekend. However, the video instructions contained multiple caveats and warnings that only “professionals” and qualified personnel” should work with electricity, and “children should not be allowed near this equipment.”

Power4Home Pro currently has a BBB rating of F on a scale of A+ to F. The BBB has processed 41 complaints against the company, with customers generally reporting delays in receiving – or problems accessing – their materials and/or trying to receive refunds. Though the company promises a “100% money back customer satisfaction guarantee,” many consumers have reported difficulty obtaining refunds from Power4Home Pro. The company has responded to a majority of their complaints, generally by promising to ship materials or provide refunds.

The BBB shopper was able to secure a refund only after sending the company numerous emails and finally threatening to go to the Attorney General. Since providing the company their email address, the BBB secret shopper has since received an influx of similar ‘energy saving’ offers.

The BBB offers consumers the following guidelines for investing in energy-saving options:

Determine if solar energy is right for you.

Due to the high costs associated with the initial investment of solar power, it is important to conduct a self energy audit to determine if solar energy is right for you. Usually, if your monthly bill is less than $100, consider other ways to save energy that cost less.

Consider all the costs associated with solar energy.

Ask about all the costs associated with the maintenance and upkeep of the system. Determine if the benefits and savings outweigh the costs over the long run.

Stay informed about state and federal incentive programs.

Be sure to understand the terms and conditions of the incentive programs and conduct your own research prior to signing a contract with an installer. For the latest information on federal programs, visit www.energystar.gov. At the state level, contact the Commerce Department.

Be cautious of installers that promise no out-of-pocket costs prior to reviewing your specific situation.

Be leery if an installer suggests obtaining credit for the full amount of the system even though they are promising very low or no costs due to rebates.

Make sure the roof of your home is equipped to sustain a solar panel system.

Even though a properly installed solar system will not damage your roof, make sure your roof is in good condition before you begin the installation to avoid any future problems.

Understand how your solar energy works.

You can take full advantage of the benefits in solar energy once you know how it works. For instance, panels facing south with no shade obstructions receive maximum exposure during the middle part of the day (9 a.m. to 3 p.m.), and therefore provide the greatest percent of energy. Significant savings occur when you have excess energy that is not consumed by your household. This excess energy can then be credited to your utility bill saving you money.

Minnesota Company Victimized by ID Theft

4/2/2012

Posted on 4/2/2012 by

Burnsville, Minnesota - April 2, 2012 - A Twin Cities business has seen their company name - and the registered address of their business - stolen by offshore scammers, who in turn have defrauded several consumers out of tens of thousands of dollars. The consumers, all owners of timeshare property in Mexico, were led to believe their timeshares were being sold, when in fact there were no buyers and they were instead being bilked for large sums of money. The legitimate metro business in question - formerly known as Events Etc. - has since dropped that name and are not associated with the timeshare scam. The Better Business Bureau of Minnesota and North Dakota (BBB) has given the entity currently operating as Events Etc. an F rating due to a pattern of customer complaints and problematic business practices.

After an investigation, the BBB has determined that Events Etc. was an event planning business which operated lawfully in Minnesota from 1992 to 2011. Sometime late last year, after that company closed, it appears that an offshore entity appropriated their company name and address, re-registering it with the state of Minnesota, and then created an authentic-looking website purporting to offer event planning services. However, the BBB has discovered this company is simply a front for scammers claiming to offer assistance to timeshare owners who are looking to resell their properties, often at attractive prices.

In recent weeks, the BBB has received a number of complaints against this sham company, with victims stating that the new - and fraudulent - Events Etc. collected large amounts of escrow funds from them in advance of promised sales, only to be told there were unexpected delays or government red tape, and customers would have to wire additional funds to close their deals. Some customers have tens of thousands of dollars tied up with this fraudulent entity and the BBB is unaware of anyone receiving any proceeds from promised sales.

The Better Business Bureau recently visited the current business address for Events Etc. in Bloomington and determined the company is not operating from that location. The BBB has also determined the previous owners of Events Etc. are not involved with the entity that claims to offer timeshare reselling services, but rather they are also victims of these scammers. Customers who dealt with Events Etc. in regard to timeshare sales are encouraged to file complaints with the BBB (at bbb.org) and the FTC (www.ftc.gov), as well as the Attorney General's Office.

The BBB offers the following advice to timeshare owners who are looking for help in selling their timeshare:

Be wary of Upfront Fees: Consider opting for a company that offers to sell for a fee only after the timeshare is sold. Many complaints to the BBB regarding timeshare resellers involve situations where people were told they needed to pay "advance appraisal fees," or that they just had to pay closing costs and their timeshare would be sold.
Use a Business You can Trust: Make sure the timeshare reseller you use is an Accredited Business or at least has a good rating with the BBB. You can check out free Business Reviews at bbb.org.
Confirm Licensing Requirements: Some timeshare resellers will use fake addresses or PO boxes in order to mislead timeshare owners. Confirm where the company is located and in what states it does business. Ask if the company's salespeople are licensed to sell real estate where your timeshare is located. If so, verify this with the state licensing board.
Get the Facts on the Figures. Find out if the business charges a commission. Do they handle the entire closing and provide escrow services? Do they charge an upfront listing or advertising fee? What does it cover and is it refundable?
Don't Fall for the Hard Sell or an Offer that Sounds Too Good to Be True: Don't agree to anything over the phone but instead ask the salesperson to send you written materials; take the time to think it over and don't be pressured. Unscrupulous timeshare resellers may claim that your property is in demand and they can sell it immediately. Unfortunately, these promises are often false.

Phishing Attacks Using BBB Name Continue

3/30/2012

Posted on 3/30/2012 by

As phishing attacks using our name continue circulating, targeting both accredited and non-accredited businesses, we would like to assure you that the Better Business Bureau has played no role in this process, nor has information you've shared with us been compromised or caused you to become the target of these emails. Despite our best efforts to stop these fraudulent emails (see below), these phishing attacks may continue. Therefore, in an effort to help prevent any further issues, we're issuing a general guideline which businesses and individuals should follow to determine if emails are actually from the BBB.

If you receive an email claiming to be from our BBB, use your cursor and hover over any link(s) within the email. If the web address that pops up (www.minnesota.bbb.org) matches the link that you see (www.minnesota.bbb.org), the email is safe. If the web address that pops up is different or from an entity other than the Better Business Bureau (see below), the email is fraudulent. Also, the BBB doesn't send out attachments via email when alerting businesses a complaint has been filed against them. Any email purporting to be from the BBB regarding a complaint and containing an attachment is fraudulent; ignore their contents and delete them immediately. If you have already clicked on a link in any of these emails, you should run a full virus scan of your computer.

Below are examples of what the newest fake emails look like (different names and complaint ID numbers might be used in other bogus emails, but they will look a lot like these):

Valued business owner, we have received several complaints via the Better Business Bureau online complaint center concerning several unauthorized transaction from a number of checking bank accounts to your corporate account. You can view the complaints in our online complaint center using the following link:

http:/track.lawnserviceglendaleaz.com/main.php?page=79517303f67f5c (link removed)

Your login data:
Complaint ID: #10921
Password: 10702:
Dear business owner, we have obtained several reports via the Better Business Bureau online complaint center concerning several unauthorized transaction from a number of checking bank accounts to your corporate account. You can access the complaints in our online complaint center using the following link:

The BBB Complaint Center (link removed)

Your login data:
Complaint ID: #12939
Password: 10135:

The Better Business Bureau acts as an intermediary between US and Canadian consumers and business, and assists in mitigating consumer-related issues as an impartial third-party service. In special cases The Better Business Bureau reserves the right to initiate an investigation of a business involved in potentially.

Sincerely,
Dispute Resolution Officer. Lars Phillips

Despite our efforts to stop these attacks, they will likely continue. Over the last few months, the Council of Better Business Bureaus has worked with both the FBI and the Secret Service, as well as employed a phishing deactivation service to shut down websites that host malware fraudulently using our name. These efforts are ongoing. Though we have no control over these emails, we apologize for any inconvenience. If you’ve received a fake BBB email and clicked on one of the links or opened an attachment, it is imperative that you run a virus scan to eradicate any viruses or malware. The particular virus at play is known as “Zeuss” or “Zbot” and is a “Trojan Horse” or spyware virus that downloads onto a recipient’s computer and harvests confidential and personal data without detection. According to the FBI, one criminal organization used Zeuss to collect $70 million from victims

This particular malware first surfaced back in 2007. The BBB’s antivirus provider, Symantec, published an antivirus signature in 2010. A link to the Symantec description of the virus is provided below. Please ensure that your antivirus protection services cover Zeuss/Zbot.

From Symantec’s website (aka Norton Anti-Virus):
http://www.symantec.com/security_response/writeup.jsp?docid=2010-011016-3514-99.

From the FBI’s Internet Crimes Complaint Center: The BBB has reported the phishing scams using our name to IC3 and they have included our scam in the following alert: http://www.ic3.gov/media/2010/corporateaccounttakeover.pdf.

An All-Too Common Occurrence

3/28/2012

Posted on 3/28/2012 by Dan Hendrickson

To begin, I should tell you that I've worked at the Better Business Bureau for over 10 years. In that time, I've learned a lot about people and business and, unfortunately, scams. I don't believe I've become jaded, exactly. If I had, I don't believe I could do my job effectively. However, I'm certainly not the same wide-eyed person I was when I walked in the door way back in 2002 - which is also good, because if I were, I also wouldn't be able to do my job as effectively.

What started this whole train of thought was when a newer employee approached me recently with a report he had received from a consumer who had fallen victim to a sweepstakes scam. When my co-worker began by telling me he had something terrible to tell me, I braced for the worst. These days, you never know. As it happened, it was simply that he was shocked - and disheartened - by the deviousness of a scammer who had targeted this unfortunate person, promised them they had won a large sum of money and then defrauded them out of thousands of dollars. It actually took me a minute, while he was talking, to realize that this was all new to him and therefore shocking. The fact that it didn't shock me is what left me feeling somewhat disconcerted.

There was a time when I would have reacted in the same manner as my fellow employee did. Unfortunately, the story he told is a story I've heard far too many times. Scams like this happen every single day, and not just locally but all across the country. And the people they victimize are not strangers or statistics; they're someone's family, friends, neighbors - good people, people who are trusting and/or desperate, and fall victim to individuals whose sole aim is to rob them blind. What's worse is that in many cases, it's the people who can least afford it who are targeted most by scammers. That's probably the hardest part about working at the BBB: listening to distraught people tell stories like the one my new co-worker described. There isn't much you can say outside of expressing your sympathy. You know too well that when that money's gone, it's gone.

The best you can do is tell people what they should do next - law enforcement agencies they should contact, additional things they can do to try to protect themselves if the scammer has collected their personal information in addition to their money. From there, the only other thing you can do - which is what we try to do every day - is to do your best to help the people who haven't wired money away to the scammers yet, the people who aren't sure if the offer they've just received is a scam or not. Our reply to that is always this: if it sounds too good to be true, it is.

I've had some time to think about it, and I think now it's probably natural to grow a bit of a shell around you when you do the work that we do - and, likely, necessary. We do hear a lot of tragic stories, day in and day out. But as long as you remember that every 'successful' scam impacts a real person and creates a whole new slew of problems for them, as long as you can still truly empathize with their experience and predicament, you can do this job. If anything, it makes you more determined to help others avoid these kind of situations.

To everyone reading this, I would just ask that you tell your family and friends that the Better Business Bureau is always here for them (and you, of course), and we have been for 100 years. If a strange or suspect offer comes along via the mail, the Internet or over the phone, we want to hear about it - before any money or personal information changes hands. Always make sure you check these offers out with us first (at bbb.org) and never let anyone pressure you into doing something you're unsure about. And if you still believe that something like this couldn't happen to you or someone you know, you're 100% wrong. Trust me on that.

BBB Moves to Burnsville

3/22/2012

Posted on 3/22/2012 by

March 26, 2012 -- St. Paul, MN -- In the midst of their Centennial Celebration, the Better Business Bureau of Minnesota and North Dakota (BBB) has relocated. After over 45 years in St. Paul -- twenty-two years at its location on Gannon Road -- the BBB moved their offices to Burnsville on March 26. They now occupy the former Farmers Insurance building near the intersection of Highway 13 and 35W, at 220 S. River Ridge Circle, Burnsville, 55337.

"Symbolically, as we mark our centennial, we're very excited about the prospect of a new beginning," said Dana Badgerow, President and CEO of the BBB. "And though it certainly saddened us to leave St. Paul, we feel our new offices better suit our current and future needs and will help us grow into a new century."

The BBB of Minnesota and North Dakota is proud to be known as "the first BBB" in the world. Its roots trace back to 1912 in Minneapolis, when local business leaders banded together to promote truth in advertising, forming a "Vigilance Committee" of the Minneapolis Advertising Federation. This was the genesis of the Better Business Bureau, and a century later, the BBB is still supported by civic-minded business people.

The Better Business Bureau has maintained offices in St. Paul since 1965. In 1975, the BBB rented space in the Midway area of St. Paul after the Minneapolis and St. Paul BBBs merged. At a BBB Board Meeting in the late 80's, Board Member Jim Lupient, an auto dealer and real estate entrepreneur, proposed that the BBB should buy a building, stating, "The Better Business Bureau has been in operation for 75 years. It's time our Board moves to buy a building where it can better serve our customers and member businesses." In 1989, the BBB purchased and moved into a building in the Highland neighborhood of St. Paul.

"Burnsville is a vibrant city and we look forward to becoming part of that community," said Badgerow. "We'll still remain closely tied to Minneapolis-St. Paul, where our roots lie, and we will continue to serve all of Minnesota and North Dakota."

An open house and Grand Opening will be held later this spring. The BBB's old office building at 2706 Gannon Road is currently up for sale.

Consumers Contact BBB about HomeServe USA

3/9/2012

Posted on 3/9/2012 by

Saint Paul, Minnesota – March 6, 2012 – Minnesota consumers have once again been contacting the Better Business Bureau of Minnesota and North Dakota (BBB) regarding mailings from a company called HomeServe USA. The mailings inform recipients that they are responsible for the maintenance and repair of their exterior water lines, leaving them liable for repairs which could potentially cost thousands of dollars. They provide an 800 number and a deadline to enroll in their Water Service Line Coverage. Some consumers have stated the mailings appear to be from a government or county agency.

The BBB advises consumers to review these notices carefully, particularly the portion that says 'HomeServe is an independent company separate from your local utility or community.' The BBB also notes that while the company is correct when they say homeowners are responsible for the maintenance and repair of their water lines – from the street to their meters – the warranty coverage they offer is optional, not mandatory.

HomeServe USA is headquartered in Stamford. Connecticut. Though the company also has a P.O. Box in St. Paul and is licensed to conduct business in Minnesota, the company's BBB Business Review is maintained by the Better Business Bureau of Connecticut and can be accessed at www.bbb.org

"Similar to any service plan or insurance policy, it is up to the consumer to determine its value and whether or not it's worth purchasing," said Dana Badgerow, president and CEO of the BBB. "They should also be clear about what is covered under the policy offered, as well as what is not covered."

The BBB says that while some homeowners may not be covered for the line repairs offered by HomeServe USA, anyone who is uncertain should call his or her water department to avoid paying for duplicate coverage. You should also review your homeowner’s insurance policy to see if coverage is already provided, as well as contact your insurance company to ask how this coverage would work in conjunction with your current policy.

The BBB recommends the following tips to consumers who receive a call or letter from Home Serve USA or similar companies:

Read the service contract very carefully and make sure you have a clear understanding of it, especially each of the exclusions, before agreeing to buy coverage. Do not purchase any coverage over the phone without seeing a contract with all details that were discussed verbally set down in writing.
Make sure you're familiar with the company's cancellation policy in case you change your mind after signing up.
Check the company's Business Review at www.bbb.org to see if there are any unanswered, unresolved or unusual pattern of complaints that other consumers have noticed.

BBB, University of St. Thomas to Convene Business Ethics Summit

3/8/2012

Posted on 3/8/2012 by

April 17th event includes business leaders, ethics officers, business students and professors

Saint Paul, Minnesota - March 7, 2012 - Advocating ethical business practices is the backbone of the Better Business Bureau's (BBB) mission. The BBB of Minnesota and North Dakota will host the first-ever Business Ethics Summit, April 17 10 a.m.-3 p.m. at the University of St. Thomas Opus College of Business, where business leaders, academics, and members of the future workforce will take part in a day-long summit about business ethics.

Participants will experience an ethics panel discussion, moderated by KSTP's Tom Hauser, featuring business leaders from various industries and business size. After lunch, which offers an opportunity to meet face-to-face with area business leaders, two mini-seminars - Building a Culture of Ethics in Business and Ethics of Social Media - will be held discussing just two of the many hot topics in business ethics today.

"Here in our Centennial year, we are very excited to start this dialogue along with our partner, the University of St. Thomas, and the distinguished panel of professionals we've assembled," said Dana Badgerow, President and CEO of the BBB. "By fostering this discussion, we hope toreturn the focus to the very roots of our organization, which was founded in Minneapolis 100 years ago, and underscore once again the importance of a marketplace where buyers and sellers can trust each other."

To start the conversation about ethics today and encourage participation during the event, the BBB has launched a Twitter hashtag, #BBBSummit. The Business Ethics Summit will also host a "Tweet Wall" during the event, providing updates on the event and subsequent discussions.

"It is an honor and a great opportunity to collaborate with the BBB on this event," said Dean Maines, president of the Veritas Institute, an Opus College of Business center that promotes the integration of ethical values within organization's operating policies and processes. "Through the years, the BBB and the college have both promoted ethical business conduct. The Summit allows us to join together on this shared concern, offering leaders insights from both business practice and leading-edge management scholarship."

Registration is required and open to the public. Register online by April 7 at BBBSummit.org

Location:
Schulze Hall, Opus College of Business
University of St. Thomas
1000 LaSalle Avenue
Minneapolis, MN 55403

Date and Time:
April 17, 2012
10 a.m. to 3 p.m.

Cost:
$29 / Person
$25 / BBB Accredited Businesses
Free / College Students

About the University of St. Thomas Opus College of Business
With a vision to educate highly principled global business leaders, the University of St. Thomas Opus College of Business is the only private university in Minnesota accredited by the AACSB. It offers undergraduate concentrations in 13 fields and master’s degrees in seven programs, including day and evening MBA programs. The school enrolls another 4,300 participants annually in executive-education classes.

Special thanks to BBB Centennial "Lighting the Way" sponsors: Best Buy, CenterPoint Energy, Think Mutual Bank, Del Monte Agency, K102, KOOL 108, KFAN, NewsTalk Radio, Business Journal, Pioneer Press, and Prairie Business

BBB Challenges Energy Saving Claims

3/8/2012

Posted on 3/8/2012 by
Saint Paul, MN - March 6, 2012 - The Better Business Bureau of Minnesota and North Dakota (BBB) is issuing an alert regarding energy saving claims companies selling radiant barrier (or attic shield) insulation products often make. In many cases these companies solicit new customers by sending them postcards inviting them to free luncheons, where they're told they will learn how they can save up to 40% on their energy bills. The BBB is telling consumers to be wary of these claims and advising them to ask companies selling these products to substantiate or prove their claims.

According to reports from consumers who have attended these luncheons, sales representatives collect the postcards customers received in the mail before the seminars begin. Consumers in both Fargo and the Twin Cities who have attended luncheons like these in recent months informed the BBB that a vast majority of the other attendees were senior citizens. In each case, sales representatives informed attendees they were offering a temporary price reduction that would only be available for a short period of time. Some consumers who have contacted the BBB allege that company representatives used high-pressure sales tactics in an attempt to get them to schedule an in-home appointment to discuss insulation options.

Companies who sell and install radiant barrier insulation often say they use technology allegedly developed by NASA to cool homes in summer and trap heat in the winter, offering consumers increased energy efficiency. However, according to a study by the Oak Ridge National Laboratory (ORNL), claims that consumers will enjoy significant savings on their energy bills by installing reflective barriers do not apply to climates in the Upper Midwest. In this study, ORNL, which is the U.S. Department of Energy's (DOE) largest science and energy laboratory, mapped Minnesota and North Dakota in a zone where radiant barriers do not impact interior temperature enough to justify reflective insulation installation. The DOE also states radiant barriers are more effective in hot climates than in cool climates - like ours here in the Upper Midwest. Even so, savings were only reported to be up to 5-10% in warm, sunny climates, like the Southern U.S.
According to the U.S. Department of Energy's Energy Efficiency and Renewable Energy Clearinghouse, two field tests, one in Minnesota and one in Canada, both found that a radiant barrier placed over R 19 attic floor insulation contributed to less than a 1% reduction in energy consumption for heating and cooling. The DOE urges consumers in our region to consider the thermal resistance, or R-Value, of any insulation they purchase, as well as their home's location and structure.

Air ducts also play a large factor into the effectiveness of any type of insulation. Guaranteed Watt Savers, a NASA affiliate, acknowledges that in regard to insulation it is not possible to be as thorough with existing homes as it is on newly constructed homes.

Before purchasing any energy-saving product, the BBB advises you to:

Always check the business out first at bbb.org.
Seek out energy saving tips you can institute on your own through your local utility companies.
Ask for references and proof the company can substantiate their claims.
Do the math and figure out how long it will take to recoup your investment.
Verify a working address, phone number and website to ensure that you can contact the business with any questions or concerns.
If you have an unresolved issue or concerns about a questionable sales pitch regarding energy-saving devices, be proactive and file a formal complaint with the BBB at: www.bbb.org, the Federal Trade Commission at: www.ftc.gov, as well as with your state Attorney General's Office.
Check www.energystar.gov to be sure the business or product is Energy Star approved.

The BBB also offers the following tips to consider before attending a free luncheon seminar:

Be aware that in most cases presenters will promote their products or services. Typical products sold at these seminars include energy-saving products, self- help materials, investment plans or websites for home-based businesses.
Do not be pressured into signing a contract or making a purchasing decision. Take as much time as you need to evaluate the company's claims and/or the promotional materials you receive.
Read and understand all materials carefully before signing anything. Be sure to look for information on guarantees, warranties and refund policies.
Remember the FTC's Cooling-Off Rule gives you three business days to cancel a contract if you sign it in your home or at a location other than the contractor's permanent place of business, such as a restaurant or hotel/motel room.
Be sure to note any differences between the product at the luncheon and the product received if purchased.

BBB Begins Publishing Complaint Details

2/27/2012

Posted on 2/27/2012 by
Saint Paul, Minnesota – February 21, 2012 – On March 1, the Better Business Bureau of Minnesota and North Dakota (BBB) joined a growing list of BBBs throughout the country that offer complaint details in their free Business Reviews. Previously, complaints were classified into twelve categories and only the type of each complaint was reported, along with basic information on how that complaint was closed. As of March 1, the actual text from consumer complaints will be published, as well as the initial business response, and any subsequent business/consumer correspondence in reportable complaints.

"We're excited about this change and feel it only enhances the transparency and openness of our complaint handling process," said Dana Badgerow, President and CEO of the BBB. "We've consulted other BBBs that have made this change and they've reported widespread consumer and business acceptance."

The BBB made this change in response to feedback solicited from consumers over the last several months. Research showed consumers were looking for more detailed information on the types of complaints companies receive and how those complaints were ultimately resolved. This change also gives companies more of a voice in the complaint process, allowing consumers to directly observe their response to customer issues.

Because complaint detail will now be viewed by others, the BBB wants consumers and businesses to understand it is important that they include no personally identifiable information in their complaints and responses/rebuttals. Personally identifiable information includes names, phone numbers, names of competitor businesses and order, invoice or contract numbers. The information on complaints the BBB will provide boils down to the actual complaints from the consumers and the corresponding responses from the company.

"Another benefit is that it will encourage both consumers and businesses to put their best foot forward and continue to work in tandem to resolve disputes amicably," added Badgerow.

BBB Tips on Finding a Tax Preparer

2/20/2012

Posted on 2/20/2012 by

Saint Paul, Minnesota - February 14, 2012 - Tax season is upon us again and the Better Business Bureau of Minnesota and North Dakota (BBB) is encouraging taxpayers to do some legwork before selecting tax preparation help. Doing your research ahead of time may help you avoid getting hit with fines and fees if your return isn't correct or filed late. According to the IRS, taxpayers are legally responsible for what's on their tax return even if it is prepared by someone else, so, it's important to choose carefully when hiring an individual or firm to prepare your return.

"For many people, working with a tax preparer provides peace of mind," said Dana Badgerow, President and CEO of the Better Business Bureau. "However, since tax professionals have access to so much of your personal information, you want to be sure to check out their background and qualifications."

The BBB offers the following advice on how to find a trustworthy tax preparer:

Ask around. Get referrals from friends and family on who they use and check BBB reports on tax preparers and tax preparation services at www.bbb.org/search.
Look for credentials. Ideally, your tax preparer should either be a certified public accountant, a tax attorney, an enrolled agent or a certified E-file provider. Be sure to find out if the preparer is affiliated with a professional organization that provides or requires its members to pursue continuing education and holds them accountable to a code of ethics.
Make sure they have a Preparer Tax Identification Number (PTIN). A PTIN must be obtained by all tax return preparers who are compensated for preparing or assisting in the preparation of, all or substantially all of any U.S. federal tax return, claim for refund, or other tax form submitted to the IRS.
Investigate whether the preparer has any questionable history with your state's Board of Accountancy (for CPA's), the State Bar Association (for attorneys) or the IRS Office of Professional Responsibility (OPR) for enrolled agents.
Don't fall for the promise of big refunds. Be wary of any tax preparation service that promises larger refunds than the competition, and avoid tax preparers who base their fee on a percentage of the refund.
Remember that a Paid Preparer is required by law to sign your return and fill in the preparer areas of the form. They should also include their appropriate identifying number on the return. In addition, the preparer must give you a copy of your return.
Think about accessibility. Many tax preparation services only set up shop for the months leading up to April 17. In case the IRS finds errors, or in case of an audit, you might need to be able to contact your tax preparer throughout the year; be sure to find out how you would do so.
Read the contract carefully. Read tax preparation service contracts closely to ensure you understand issues such as how much it is going to cost for the service, how the cost will be affected if preparation is more complicated and time consuming than expected and whether the tax preparer will represent you in case of an audit.

For more advice on finding professionals you can trust, visit http://www.bbb.org/us/bbb-news.

BBB Challenges Students to "Upload" Ethics

2/2/2012

Posted on 2/2/2012 by

Video contest open to students in Minnesota and North Dakota

Saint Paul, MN – February 2, 2012 – The Better Business Bureau of Minnesota and North Dakota (BBB) invites high school and college students in Minnesota and North Dakota to be a part of their “Lighting the Way” Centennial Celebration by entering the Ethics: Uploaded video contest. Students (and student groups) will be asked to consider how the decisions they make each day impact their lives, as well as their futures, and then submit short videos which demonstrate the value of ethics.

One of the goals of the BBB’s Centennial, which marks 100 years of promoting ethical business practices and nurturing a marketplace where buyers and sellers can trust each other, is to increase awareness and start a dialogue about the importance of marketplace ethics today.

“Events like the Ethics: Uploaded video contest and our upcoming Ethics Summit on April 17 are geared towards today’s students and young consumers,” said BBB President and CEO Dana Badgerow. “We want to highlight the importance of making ethical decisions. We also want to hear their voices, their visions. After all, these are our future business and community leaders.”

Interested students are asked to explain, in original videos 30 seconds to 3 minutes long, what ethics means to them and their peers. Video style and narrative is open, and creativity is encouraged. Contestants may produce their videos on any device they wish, including cell phones or Flip cameras. Entries will be judged by a panel of independent judges and scholarship prizes will be awarded for the best videos.

Submissions will be accepted beginning Thursday, March 1 with an upload deadline of 4 p.m. Tuesday, March 20. All videos must be uploaded to the BBB’s YouTube channel for consideration (bbbis100.org/ethicsuploaded). Each contestant must provide contact information on the submission website. A brief (50 words or less) introductory paragraph may be submitted but is not required.

Video categories/Winning Prizes:

High School (grades 9-12) individual / $1,250 cash

High School (grades 9-12) group/club / $1000 Best Buy gift card

College individual (undergraduate or graduate levels) / $1,250 cash

College group/club (undergraduate or graduate levels) / $1,000 Best Buy gift card

Contest rules: This contest is open to high school students in grades 9-12 and to college students at any level. Entries will be placed into one of two categories: individual and group or club. A group or club entry must be from an official sanctioned club or organization.

The independent panel will evaluate videos for clarity of message, impact, production value and relevance to the theme of ethics. Videos become property of the Better Business Bureau and can be used by the BBB and its partners at its discretion. Visit bbbis100.org/ethicsuploaded to see full contest rules.

The mission of the Better Business Bureau is to be the leader in building marketplace trust by promoting, through self-regulation, the highest standards of business ethics and conduct, and to instill confidence in responsible businesses through programs of education and action that inform, assist and protect the general public. Our hours of operation are 8 a.m. to 5 p.m. Monday through Friday. Contact the BBB at www.bbb.org or 651-699-1111, toll-free at 1-800-646-6222. Visit the BBB’s Centennial website at bbbis100.org.

The BBB’s Ethics: Uploaded Video Contest is presented by Best Buy.

BBB issues APB Regarding Text Messages, Bogus Charges

2/1/2012

Posted on 2/1/2012 by
Saint Paul, MN -- February 1, 2012 -- The Better Business Bureau (BBB) of Minnesota and North Dakota has received a report of a text scam hitting the Twin Cities, which appears to lead to charges on the cellphone bills of consumers who receive them. Here's a copy of the text message people should be on the lookout for:

From: 99716 'TXTALTSNOW: You'll receive Entertainment Alts. $9.99/mo billed to cell; 3 msg/wk. Reply HELP for help, STOP to cancel. Msg&Data rates may apply.'

The individual in the metro area who received the text above didn't reply, but checked their cellphone bill and noticed they had been charged the $9.99 anyway.

These text messages first appeared in Western Michigan recently. A press release from the BBB of Western Michigan provided the following information to help identify these fraudulent text messages:

The cellphone statements of consumers who received the messages had different SMS (Short Message Service) addresses, including 60822, 55033, 36713 and 99716.
The messages appeared to originate from an entity named "Silicon Investments".

A line item in cellphone bills looked like this:

Silicon Investments:Alerts-55033_Gosspitext_ALT-12/23…..$9.99

After some investigating at www.smswatchdog.com and running the SMS text address 99716 through the system, it appears from consumer input there that:

The SMS texts began in December and have continued into 2012.
Many people are getting hit
It's happening to multiple carrier services (Sprint, AT&T, etc)
Replying STOP is a waste of keystrokes; you will likely still get charged

The best way to combat this scam: Call your mobile service ASAP and dispute the charges.

Equipment affected: The cell phone does not have to be a Smart Phone. It simply must be able to receive texts.

People who receive these text messages should also report them to the FTC at www.ftc.gov.

Scammers Pick Up the Phone in New Twist on BBB Phishing Scam

1/27/2012

Posted on 1/27/2012 by

The Better Business Bureau is warning consumers about a new twist in the ongoing BBB phishing scam. Consumers are now reporting receiving follow-up phone calls – after receiving fraudulent phishing emails – from scammers claiming to be with the BBB.

In the scam, callers offer their help removing a virus from the recipient’s computer, which they claim was infected when the owner downloaded a virus from the email scam using the BBB name. Consumers have reported scammers are calling from 858-102-3252, but it's very likely they have technology which masks their true phone number.

The BBB does not offer outside tech support, and is cautioning consumers not to give out any personal information to callers or to install or download any software they recommend.

Since late November, many consumers and business owners nationwide have received phishing emails appearing to be from a BBB.org email address. These emails inform the recipient of a non-existent BBB complaint against their business and encourage them to respond. In a newer take on the scam, emails urge the recipient to update their information with BBB by completing an online form. All emails either contain an attachment or a link to a third-party website, both of which download a virus on to the recipient’s computer.

Should you receive a suspicious email, don't click on any links. You can test the links by using your mouse to hover over them. The destination of the links will appear in a small pop-up box next to the link or at the bottom of the screen. See the screenshot below for an example. If the email is a scam, the website shown will not be a BBB.org URL.

Don't Cruise Your Way into a Vacation Scam

1/19/2012

Posted on 1/19/2012 by
Winter and spring are prime months for ocean cruises, but the Better Business Bureau of Minnesota and North Dakota (BBB) advises consumers to read all of the fine print before signing up for a special cruise deal.

The BBB urges consumers to be especially cautious of unsolicited mail with offers of free or discounted cruises. In 2011, the BBB received more than 1,300 complaints against cruise companies. While legitimate cruise companies do offer specials periodically, there are always those sneaky few that end up leaving consumers on the hook for thousands of dollars.

Many times, scammers will send numerous e-mails, postcards, and other mailings trying to get you to call them in order to claim your “free cruise.” Don’t be fooled by professional looking websites. Gather as much information as you can about the business, and ask a lot of questions before signing on the dotted line.

The BBB and CruiseCritic.com recommend the following tips to consumers who are looking to book a cruise getaway:

Don’t be a victim. Oftentimes, vacation scammers will use high-pressure sales tactics and make you feel coerced to buy the limited-time deal on the spot. A reputable business or travel agent will provide any information that you request, and give you time to consider your options before booking a vacation.

Always check the business first. If an offer sounds too good to be true, it usually is. Before giving a business any personal information, check out their BBB Business Review at www.bbb.org/search. Consumers can also contact the Cruise Lines International Association (CLIA) for information on finding a reputable travel agent.

Pay with a credit card. For your best protection against a dishonest cruise provider, always pay for your cruise fare -- both the initial deposit and the final payment -- with a major credit card such as MasterCard, Visa or American Express. If problems arise, you may be able to dispute the charges with your credit card company. This same protection may not apply to those using debit or check cards; it's important to confirm policies with your issuing bank before you charge.

Ensure your money is in the right hands. After you've made a payment, review your credit card or bank statement and make sure that any applicable charges originate directly with the cruise line, not with the travel agency. That way, you'll know that the cruise line has definitely received your money. If you must pay by check or money order, it should be made payable to the cruise line -- not to the agency or to an individual.

Get proper confirmation of your booking. Insist on getting the actual cruise line's confirmation numbers, not just a confirmation number from your agency. Not only will you then know that your information and money is in the right hands, but you'll also be able to pre-reserve shore excursions, restaurant reservations and spa appointments (where available) on the cruise line's website.

Don’t be afraid to ask lots of questions. Before signing on the dotted line make sure all of the details have been clearly outlined and the pricing has been thoroughly explained. Double check whether there are hidden cancellation fees, port charges, or insurance processing fees that haven’t been covered.

Consider investing in travel insurance. Travel insurance can provide protection in the event of an accident, an illness, lost luggage, or a canceled or interrupted trip, among other things. Follow the same steps outlined here when buying travel insurance.

Bogus Mystery Shopping Firms Surface

1/9/2012

Posted on 1/9/2012 by
The Better Business Bureau of Minnesota and North Dakota has identified two fraudulent - and seemingly related - mystery shopping firms which are claiming Minnesota addresses. After receiving inquiries about both CGM Dynetics, Inc. and L.W.A. Virtue Group, the BBB investigated and noticed the companies' websites are virtually identical.

Based on reports from consumers, the BBB is advising the public to be aware that these firms are fraudulent, and the checks they're mailing out are not legitimate. One report the BBB received from a consumer says that after dealing with L.W.A. Virtue Group, the company acquired their bank account information and proceeded to use it to 'wipe out' their account.

The BBB reminds people that though there are legitimate companies that offer mystery shopping opportunities, they do not send out checks and ask people to cash those checks and wire money back to them. Any time you receive a suspicious offer, report it to the BBB and the FTC (www.ftc.gov).

Homeowners Warned to be Wary of Company Selling Deeds

1/9/2012

Posted on 1/9/2012 by
BBB says Deed 'Offer' Shady -- Indeed!

January 5, 2012, Saint Paul, Minnesota - The Better Business Bureau of Minnesota and North Dakota (BBB) is warning consumers not to be duped by a company that’s offering homeowners copies of their property deeds for an exorbitant price - in some cases more than 40 times the price consumers would pay if they were to purchase the same copies themselves at their county offices.

The company, Deed Retrieval Department (which also does business as Deed Retrieval Services and Record Retrieval Department), has been sending Minnesota and Wisconsin homeowners letters that appear to be a bill for $87 from the U.S. government for a property deed. However, despite the fact that it looks official, it's not a bill nor is it from the U.S. government. The letter says, "Why do we believe you need a copy of your current Grant Deed and Property Profile? State Record Regulation Department recommends that all U.S. homeowners obtain a copy of their current Grant Deed." At the bottom, the letter states that the "product or service is not endorsed by any government agency." However, the BBB believes that consumers may overlook this fine print.

"In most cases, homeowners don't even need a copy of the deed to their home," said BBB President and CEO Dana Badgerow. "And if you want a copy, we advise against paying $87 to this firm or any other when you can get one for a fraction of that price from your local County Clerk's or Register of Deed’s office."

Letters from Deed Retrieval Department list an address in Champlin, Minnesota – which is a UPS Store. The company, operating under different names, also claims two additional addresses in Wisconsin; a Milwaukee address and a Madison address, both of which are UPS stores. It's likely that mail sent to any of these boxes is forwarded out of state. An alert has been added to the company's BBB Business Review, informing consumers about the BBB’s concerns regarding this company and their marketing tactics.

Consumers who receive questionable offers or have concerns about mailings that appear to be official or have governmental ties, are encouraged to contact the BBB at 1-800-646-6222.

Customers say Peppermint Park strikes sour note

12/22/2011

Posted on 12/22/2011 by

Saint Paul, MN - December 16, 2011 - After a series of complaints filed in the last year against Peppermint Park, LLC -- a Minneapolis-based Internet shopping business -- questioning the authenticity of designer products sold by the company, the Better Business Bureau of Minnesota and North Dakota (BBB) launched a review of their advertising claims and complaint history. After the review, the BBB's Board of Directors met with the owners of Peppermint Park, and allowed the company a chance to fully address and provide a plan to correct the issues noted in the BBB’s review. Peppermint Park supplied additional information in support of their advertising claims, but the BBB deemed it inadequate.

Peppermint Park is a membership based organization that offers discount designer women's clothing and accessories, and has advertised and had products featured in Oprah's Winfrey's magazine O, as well as in a variety of other women's magazines and on The Today Show. Since the start of this year, the BBB has processed 39 consumer complaints against the company. In addition to concerns about the company's products, many consumers allege their membership and return policies are misleading and allege that they have difficulty terminating their memberships.

Based on a number of consumer complaints disputing the authenticity of the company’s merchandise -- which they advertise as "100% authentic, first-hand merchandise" -- the BBB conducted a "secret shopping" of Peppermint Park this August in an effort to verify the authenticity of their products, as well as examine its membership cancellation policy. A $310 handbag presented as authentic Gucci valued at over $900 was purchased via the company's website. After making the purchase, the BBB contacted the company and requested a receipt or receipts that would substantiate the bags were purchased either from the manufacturer or from authorized outlets or distributors of Gucci products. Because Peppermint Park also states on their website that it obtains "written documentation of authenticity for all merchandise" from its suppliers, it was the BBB's assumption that such documentation would be readily available.

Although Peppermint Park did provide receipts, the BBB feels they failed to show conclusively the handbags were purchased in Florence, Italy, as the company contends, or from any other Gucci outlet. Suspicions were further raised when the BBB discovered that Peppermint Park tendered the same receipt as proof of the authenticity of two other Gucci purses that two separate consumers filed complaints about this past summer. Some of the receipts the company provided bore no indication of the products' source whatsoever.

As a result of the company's failure to respond adequately to the ad challenge of "100% authenticity" of its designer handbags, and by virtue of the volume of complaints in relation to the company's size, the company's grade has been lowered to an F, making them ineligible for accreditation. In the course of the BBB investigation, the company resigned their accreditation.

"When enough consumers make the same allegation, particularly in a short timeframe, we take those concerns very seriously," said Dana Badgerow, BBB President and CEO. "In this case, we gave the company ample opportunity to validate the authenticity of the item we purchased. We feel they failed to do this."

The BBB cautions consumers purchasing handbags and other designer accessories online or from sources other than well-established retail stores, to be wary of the source of those products. If the price of the item is an extraordinary discount from retail, this is another indication of "buyer beware." Consumers should demand proof of authenticity before purchasing any merchandise represented as a designer original.

BBB rolls out plans for 2012 Centennial Celebration

12/22/2011

Posted on 12/22/2011 by

The World's First Better Business Bureau "Lighting the Way" Forward

December 14, 2011 - St. Paul, MN - As the very first Better Business Bureau (BBB) in the world, the BBB of Minnesota and North Dakota is excited to announce plans for their Centennial Celebration in 2012. The theme is "Lighting the Way," which is a nod to their roots -- the BBB logo is a torch -- but also points the way forward, as they look ahead to another century of promoting the highest ethical relationship between businesses and the public, and building marketplace trust. A series of special events throughout the coming year is planned to celebrate this milestone. Their goal for 2012 and beyond is to issue a call to all businesses, consumers and the media to champion business ethics and continue to work together to maintain a marketplace where buyers and sellers can trust each other.

"As we approach our Centennial, we look forward to continuing to do all the things we've done for nearly 100 years to encourage ethical behavior in the marketplace -- and even more," said Dana Badgerow, President and CEO of the BBB. "We're looking at this as an opportunity to raise our torch high, re-introduce ourselves to the world and reaffirm our status as the national leader when it comes to nurturing integrity in the marketplace through voluntary self-regulation."

Here are just a few of the upcoming Centennial events and programs scheduled for next year:

BBB documentary - Twin Cities Public Television is producing a 30-minute educational documentary called 'Decoding Truth and Trust in Advertising' about the Minnesota origins of the BBB and its efforts in the truth in advertising movement. It will debut January 22 on TPT's Minnesota Channel.
Scam-a-Thon - In March, during National Consumer Protection Week, the BBB will host several "call in" media events and interviews to educate consumers about fraud in the marketplace.
Ethics Summit - On April 17, in partnership with the University of St. Thomas Opus Business School, the BBB, business owners, community leaders, students and professors will engage in timely discussions about the critical role ethics play in today's marketplace. Students and business leaders throughout Minnesota and North Dakota will also be invited to participate through a special Summit Tweet Wall and Virtual Classroom/Online Exhibit Hall.
"Everyday Ethics" Student Video Showcase - In early 2012, high school and college students will have the opportunity to create short videos about ethics; their importance and what they mean to students today. Entries will be judged and a variety of exciting prizes will be awarded.
Centennial Luncheons - Celebratory networking events will be held next summer in Fargo (June 21), St. Cloud (July 12) and Rochester (Aug. 1) for the business community, recognizing long-standing BBB Accredited Businesses and Minnesota and North Dakota companies who have been in business for 100 years or more.
Lighting the Way Reception at the Governor's Residence (MN) - In partnership with the Governor's Residence Council and 1006 Society, this July event will bring together business owners, community leaders, and policy makers to celebrate our area's strong business culture and honor the BBB's Centennial, as well as the centennial of the Governor's Residence.
BBB Night with the Saints - On July 30, the BBB and St. Paul Saints will partner for an evening of fun and baseball! Before and during the game (against the Fargo-Moorhead RedHawks), fans will 'catch up' on ways they can avoid fraud.
North Dakota and Minnesota State Fairs - The BBB will host the "Jukebox Junkie" free stage at the North Dakota State Fair in July, and have a fun, informative booth at the Minnesota State Fair's Education Building. (August/September)
Centennial Gala/Integrity Awards - In October, the BBB will celebrate 100 years of building marketplace trust with hundreds of business leaders by recognizing the area's premier ethical companies at the annual BBB Integrity Awards.

"This is a special milestone, one that deserves to be celebrated the year through," said Badgerow. "And though it's certainly a time to look back at our proud legacy, our focus is very much on the future and finding ways we can better serve the public and the business community."

The Better Business Bureau was founded in the Twin Cities in 1912. It was started by ethical business owners frustrated by having to compete with companies that were using misleading advertising to attract customers. These business owners banded together to form a "Vigilance Committee," which challenged these unethical companies and made their findings public. In 1916, the Better Business Bureau name was formally adopted and there are now 116 BBBs throughout the United States and Canada.

For more information and news about the BBB's Centennial Celebration visit bbbis100.org

BBB Warns Area Veterans of Questionable Sales Pitches

12/22/2011

Posted on 12/22/2011 by
December 20, 2011 - St. Paul, MN - The Better Business Bureau of Minnesota and North Dakota (BBB) has been alerted to an out-of-state casket and funeral supply company, which claims to be a veteran's group. The company, U.S. Patriot Services, lists addresses in Kansas City, Missouri and Rossmoor, California, and a motto on their paperwork claims they are 'Veterans Serving Veterans.' Recently, the BBB contacted the company’s national headquarters - in Rossmoor - to learn more about this claim. However, the company has failed to respond to our inquiry.

From a report the BBB received recently, the company seems to be focusing on elderly veterans in the Twin Cities metro area, going door-to-door and selling caskets and funeral urns. Based on how their paperwork is drawn up, the company makes it seem as though they're offering interment in National Cemeteries free of charge as part of their sales package. However, all U.S. veterans who are honorably discharged from the military are eligible for free interment in National Cemeteries, meaning this is not a benefit U.S. Patriot Services or any other funeral service company can offer.

The BBB is advising area veterans to ask the company to verify that they're actually a veteran's organization. In addition, the BBB reminds everyone to always request multiple quotes prior to making any purchase. The report the BBB received regarding U.S. Patriot Services indicates the company may have attempted to charge an area veteran more than double for funeral urns, compared to another funeral service company. According to this report, the veteran was able to get the company to refund his money after being made aware he'd been overcharged.

U.S. Patriot Services' General Manager, Shawna Estrada, has been linked to other funeral supply companies, including a company called American Veteran KCA. In 2010, that company reached a settlement agreement with the Kansas Attorney General’s Office. As part of the settlement with the attorney general, all customers of that company received a letter stating the company was not affiliated with the VA, nor any National Cemetery or governmental agency. In addition, all customers who had purchased caskets from the company were entitled to a full refund as part of the settlement, provided they made that request before a certain date. The company also had to pay a $20,000 fine.

The BBB offers the following tips to families and individuals looking to make funeral arrangements:

Be an informed consumer. Take time to call and shop around before making a purchase. Funeral homes are required to provide detailed price lists over the phone or in writing. Product mark-ups can be significant. Ask if lower priced items are included on the price list.
Check out the funeral service. Contact the BBB for a report on the funeral home. Check whether the funeral services director or embalmer is licensed.
Be wary of outrageous claims. Sellers who claim to have a product or service that will preserve human remains over the long-term are misleading you. Funeral providers cannot determine how long a casket will preserve a body, so keep that in mind when deciding whether to purchase the more expensive “sealed” or “protective” casket. Also, a casket is not legally required for a direct cremation.
Research funeral home service fees when shopping for products elsewhere. The Federal Trade Commission’s Web site at www.ftc.gov has information on charges that are prohibitive.
Embalming is not always required. You are not required to have embalming if you choose direct cremation or immediate burial.
Resist high-priced sales pitches from funeral industry vendors. They should treat you with compassion; not pressure you.
Consult a friend or family member. It might be a good idea to take along a friend or relative when you visit the funeral home or talk to a funeral service representative. Someone who is not as emotionally invested as you are can assist with difficult decisions.
Get everything in writing. Compare the posted prices and any oral promises with those listed in the contract. The contract should itemize all prices and specify any future costs. Check the contract for any restrictions.
Carefully read contracts and purchasing agreements before signing. Ask if the agreements you sign can be voided, taken back or transferred to other funeral homes.
Remember, prepaying for a funeral has advantages, as well as risks. If you choose to prepay, make a well-informed decision, carefully research your options and know your rights (http://www.ftc.gov/bcp/edu/pubs/consumer/products/pro19.shtm). You can always make plans in advance, without prepaying. Be sure to share your specific wishes with those close to you.

ALERT: Yet Another Malicious Complaint Email Claiming It’s from the BBB

12/20/2011

Posted on 12/20/2011 by

The Better Business Bureau is issuing yet another SCAM alert cautioning businesses and consumers about emails that look like they're from the BBB. These latest emails use the blue BBB 'Start With Trust' banner in an effort to deceive people. However, once again, these emails are fraudulent; ignore their contents and delete them immediately. If you have already clicked on a link in any of these emails, run a full virus scan of your computer.

This is an example of what these newest fake emails look like (different names and complaint numbers might be used in other bogus emails, but they will still look a lot like this one):

RE: Case #21838064
2011/12/20

Hello,

The Better Business Bureau has been sent the above-referenced complaint from one of your associates in respect of their dealings with you.
The detailed information about the consumer's concern is contained in attached document.
Please review this issue and notify us of your point of view.
We encourage you to open the ATTACHED REPORT to answer this complaint.

We look forward to your prompt response.

Sincerely yours,

Roland Dani

Dispute Counselor
Better Business Bureau

Please send every bogus email you receive claiming to be from the BBB directly to our phishing deactivation team at phishing@cscprotectsbrands.com

We apologize for this inconvenience. The BBB is working closely with law enforcement to determine the source of these emails. We are also working nationally to implement a "Phishing Deactivation Service" to stop this fraudulent campaign. Please be patient while we wait for results.

Keeping Your Pets Happy and Safe When Boarding Them this Holiday Season

12/14/2011

Posted on 12/14/2011 by
As much as pet owners may want to take their furry or feathered friends with them wherever they go, sometimes finding a kennel or pet care service you can trust is necessary for holiday travel. That's why the Better Business Bureau of Minnesota and North Dakota (BBB) created a checklist to help pet owners choose a safe and reliable home-away-from-home for their pets.

Every year, the BBB receives hundreds of complaints from pet owners about kennels. To date, this year the BBB received more than 400 complaints regarding disputes over billing, and treatment of pets - which is up from the 273 complaints filed in 2010. Some owners claimed to arrive at kennels to retrieve pets that were severely dehydrated and malnourished or rife with fleas, ticks, and even maggots. Worst-case scenarios include pets that became extremely ill while boarding at poor facilities which resulted in lengthy stays at an animal hospital.

"Pets are often like family and the last thing we want to do is stress over their care during the holiday season," said Dana Badgerow, BBB President and CEO. "Take a few moments to do your research and find a kennel you can trust so your time out of town will be more enjoyable for you and your pet."

If you are looking for a reliable kennel, the BBB recommends the following checklist:

Check them out and get recommendations. Always check out the kennel with the BBB at www.bbb.org first to make sure they have a good track record for keeping customers satisfied. Also ask your friends, neighbors, veterinarian or local animal shelters for recommendations.

Make a visit. Personally visit the facilities you are considering before scheduling the boarding. Check for cleanliness and offensive odors, and note the overall appearance of the kennel and cages.

Ask lots of questions. If your pet is prone to running away, ask about steps the kennel has taken to make their facilities escape-proof. Inquire if your pet will come in contact with other animals. Some kennels let animals play together while others keep them separate at all times. Ask about the feeding schedule, water accessibility and frequency of -- or fees related to -- exercise. Also, ask about the hours for drop off and pick up and make sure you understand their billing policy. Finally, ask what happens in case of a medical emergency or other unexpected situation.

Trust your instincts. Note the friendliness of staff members and how they interact with the boarded pets. Ask about their background and experience. If your state requires inspections, look for the certificate on the wall and make sure the kennel is properly licensed. Make sure the facility requires that all entering pets have proof of immunization, and ask about their policies regarding flea and tick control.

For more advice on finding reputable businesses around the holidays, visit us online at www.bbb.org/us/consumer-tips-holiday.

BBB Scrutinizes St. Louis Park Hormone Replacement Clinic

12/14/2011

Posted on 12/14/2011 by

Saint Paul, MN - December 7, 2011 - In late August, after seeing multiple television ads for HRC Medical Center, Inc. - a St. Louis Park clinic offering bio-identical hormone replacement therapy - the Better Business Bureau of Minnesota and North Dakota (BBB), "secret shopped" the company to investigate their claims and intake process. Based on the experience of their secret shopper, problems customers have reported at the company's headquarters location and advertising claims which the company has thus far failed to substantiate, the BBB is advising consumers, males and females both, to be aware of potential risks involved with this therapy.

According to HRC Medical Center's television commercials, website and a pamphlet they give prospective customers, the bio-identical hormone replacement therapy they offer will treat a wide range of ailments, including: hot flashes, night sweats, diminished sex drive, loss of lean muscle and even depression.

HRC Medical Center, Inc. is headquartered in Nashville, Tennessee. On March 21, 2011, the BBB of Nashville met with the management of HRC Medical there to discuss a pattern of customer complaints that BBB had identified. Specifically, complaints alleged that patients were told they would see a physician before and during hormone therapy sessions; however, customers reported they did not see a physician. In addition, complaints alleged the hormone therapy caused side effects, such as facial and body hair, voice changes, and other physical appearance changes. In response to the pattern of complaints, the company stated, "We have put forth our best efforts to accommodate the high demand for bio-identical hormone replacement, however, HRC Medical can 100% guarantee that a patient's targeted hormone levels will improve; however, symptom improvement is subject to each patient. Like all medical procedures, this is not an exact science; therefore, HRC Medical cannot guarantee results." The BBB in Nashville has given the company a rating of F.

In an intake consult with an HRC nurse at their St. Louis Park location, the BBB’s secret shopper -- who is in her 60s -- was told that bio-identical hormone treatments would restore her hormone levels to the level they were at when she was in her late 20's, stimulate bone growth and that her bone density would improve by a "minimum" of 18%. She was then offered a treatment package for $3450, requiring $500 for an initial B12 shot and blood work, and another $500 for the first injection and all others required for the first year (4-5 total). In addition, she was told her lab results and treatment would be reviewed and overseen by a physician. The BBB later validated that the physician who she was told would oversee her treatments and set the hormone levels is a licensed physician in MN, although she did not see the physician on her initial visit.

Information in BBB files indicates individual HRC Medical Center locations nationwide are connected to the headquarters location, but independently operated. However, due to the pattern of complaints at the company’s headquarters location, the BBB of Minnesota and North Dakota invited management at the St. Louis Park HRC location to meet and discuss their intake procedures, as well as the treatment they offer. This invitation was extended at the end of September, but the company did not follow up to set up a meeting. On October 11, the BBB initiated an advertising challenge wherein the company was asked to substantiate claims made to the BBB’s secret shopper and in their advertising: that bone density would increase by 18%; that bone growth would be stimulated; that their treatments were effective for 99.9% of people; and that hormone levels will be as when customers were in their prime or mid-20's. HRC Medical Center has responded to the BBB, but has thus far has failed to provide information which would substantiate their claims.

Bio-identical hormone replacement therapy (BHRT) is a marketing term not recognized by the Food and Drug Administration (FDA). In fact, these custom-made products are not subject to the same quality assurance standards that commercially available hormonal products must meet. Bio-identical products are typically compounded in pharmacies. According to Kathleen Uhl, M.D., the FDA's assistant commissioner for women's health, "the purpose of compounding is to do it on a patient-by-patient basis, so there's nothing that's submitted to FDA to evaluate, so they're not FDA-approved."

Marketers of bio-identical hormones claim many advantages over standard hormone therapy, such as: they are made from plant derivatives, come in a variety of doses and forms and are custom-made for patients. However, in regard to the treatment of menopause, Dr. Mary Gallenberg of the Mayo Clinic, citing FDA findings, says, "Bio-identical hormones may be riskier than standard hormone therapy, and there's no evidence they're any more effective."

As this treatment is likely not covered by either Medicare or most health plans, the BBB is warning consumers to do their homework, and weigh both the cost and the risks of bio-identical hormone replacement therapy.

Another Fraudulent Mystery Shopping Offer

12/13/2011

Posted on 12/13/2011 by
Just a day after uncovering a mystery shopping scam with a Minnesota tie (http://minnesota.bbb.org/article/Mystery-shopping-offer-a-Scam-31332), the Better Business Bureau of Minnesota and North Dakota is alerting the public to another shady mystery shopping offer.

Consumers are reporting they're receiving letters, with checks enclosed, from an organization calling itself RS Consulting Group, which claims to be located in downtown St. Paul, Minnesota. The checks are for between $1,300 and $2,500, and the letters claim to offer employment as mystery shoppers. Recipients are urged to spend some of the money at various stores and then wire back a significant portion of the funds via Western Union to the organization making this offer. The BBB is advising people that this offer is fraudulent, and also has reason to believe the company is not located at the address claimed.

An Internet search reveals there is a UK-based company called RS Consulting, with a subsidiary callled RS Consulting Group; however, this organization is not involved with this offer, nor do they employ secret shoppers.

Consumers who receive any solicitation offering employment as mystery shoppers are advised to be wary, especially if a check is enclosed. Though there are firms that employ people as mystery shoppers, this is not how legitimate mystery shopping firms operate.

To avoid falling for mystery shopping scams, consumers should:

- always be extremely leery of checks you receive out of the blue.
- check the company out at www.bbb.org
- remember that legitimate job offers do not require payments upfront, nor do (or should) they require you to wire money.

Mystery Shopping offer a Scam

12/12/2011

Posted on 12/12/2011 by
The BBB of Minnesota and North Dakota has been alerted to a mystery shopper scam. A consumer in Georgia contacted us today to say they had received a letter from Viewpoint, Inc., claiming to offer them employment as a mystery shopper. Along with this 'offer,' there was a check made out to them for $1,900. The letter had a Madrid, Spain postmark, but listed a P.O. Box in Minneapolis as the company's address.

The BBB is advising the public this offer is fraudulent. Though there are firms that employ people to be mystery shoppers, this is not how legitimate companies operate. Also, the money people can earn being mystery shoppers is supplemental, at best.

In the case above, the check for $1,900 is fake. If the consumer had cashed it and then spent money at various stores as they were instructed to do, they would have been out that money when the company's check bounced - plus any money they would have been instructed to wire back to the scammers. This is generally how these scams work.

The BBB is currently working with the U.S. Postal Inspection Service to get the company's P.O. Box in Minneapolis shut down.

To avoid falling for mystery shopping scams, consumers should:

- always be extremely leery of checks you receive out of the blue.
- check the company out at www.bbb.org
- remember that legitimate job offers do not require payments upfront, nor do (or should) they require you to wire money.

BBB Cites Arthur Middleton Capital Holdings For Deceptive National Advertisements

12/6/2011

Posted on 12/6/2011 by

Saint Paul, Minnesota – November 30, 2011 – An Ohio company that markets products ranging from portable electric heaters to uncut sheets of U.S. dollar bills is under scrutiny for what the Better Business Bureau of Minnesota and North Dakota (BBB) calls "significant and ongoing concerns" over advertisements which the BBB believes have the capacity to mislead consumers. The company, Arthur Middleton Capital Holdings of Canton, Ohio, is best known for its full-page ads in newspapers and magazines that appear similar to news stories and which run in publications in Minnesota, North Dakota and nationwide.

"In our judgment, these problems have become so persistent and so flagrant we felt an obligation to alert the public," said Dana Badgerow, President and CEO of the BBB. "Time after time, the BBB has expressed its concerns about the ads to the company. Time after time, the company has promised to make changes, only to come up with new ads that are just as troubling."

Most of the BBB's concerns involve ads for World Reserve Monetary Exchange and Heat Surge, businesses that are part of the Arthur Middleton holding company. The BBB has logged 207 consumer complaints involving World Reserve Monetary Exchange and 258 involving Heat Surge. Many complainants said they found the company's ads misleading.

World Reserve Monetary Exchange sells coins, paper currency, safes and related items and describes itself as "the largest provider of coin and currency aside from the U.S. Federal Reserve." Heat Surge is best known as the seller of Roll-N-Glow electric fireplaces, with Amish-built mantles.

Among recent ads targeted by the BBB are:

World Reserve Monetary Exchange ads for uncut sheets of $1, $2 and $5 bills. The $1 and $5 bill ads have run in recent months in area publications. The BBB considers the ads confusing and highly misleading. In December, the BBB of St. Louis alerted the public to World Reserve ads for "absolutely free" $2 bills, noting that the only way to get those four "free" $2 bills was to buy 12 additional bills at a cost of nearly $160.
A World Reserve Monetary Exchange ad for armored safes that ran this summer in newspapers and magazines. The BBB considers those ads exaggerated and misleading and noted that two testimonials -- one by a man who turned out to be a company official and a second by the brother of Arthur Middleton's owner -- may have violated Federal Trade Commission truth-in-advertising guidelines by not revealing their ties to the company.
A Heat Surge ad that has run in recent weeks in various publications around the country and which claims to be a "revolutionary breakthrough in home heat technology" that "practically eliminates high heat bills." The ad imposes a 48-hour deadline for ordering, saying "if you miss the deadline, you’ll be turned away and forced to wait for future announcements." The ads do not disclose that the company's heaters are available at about the same price online or through department store retailers.

The recent ads for sheets of uncut $1 and $5 bills contain what appear to the BBB to be several misleading statements. Each of the ads strongly suggests that the bills will increase in value when, in fact, there is little likelihood of that.

"Just think what they could be worth some day," the ads say. "Rare uncut sheets of real Gov't issued currency have sold at prestigious auction houses for thousands of dollars." The ads also claim that the offer is limited to a specific geographic area when that is not the case.

"Residents whose zip code is not on the distribution list can't have our Vault Stacks of these full uncut sheets of $1 bills," another ad says. The $1 bill ads quote a company official identified as Jefferson Marshall as saying that callers will be able to buy the uncut sheets of bills "for just face value." That is not the case.

In August, the BBB notified Arthur Middleton about concerns over what appeared to be misleading information in its armored safe ads. Those ads contained a warning that a toll-free hotline to obtain one of the safes would close within 36 hours, giving consumers a false sense of urgency. A BBB investigator called the hotline number three days after the deadline and found the line still active and a company representative eager to sell him a safe. The only difference was that the buyer would no longer get free shipping.

Monica Wallace, an attorney for World Reserve Monetary Exchange, said company officials acknowledge concerns regarding the testimonials of the company employee and the company owner's brother and promised to make changes in future ads. She also said a proclamation that the bag of coins is "like winning the lottery" is intended as a "gross overstatement" since it is "mere puffery and not likely to be interpreted literally."

The BBB of St. Louis met on Oct. 10 of this year with John Armstrong, senior vice president and general counsel for Arthur Middleton, regarding its advertising claims. Armstrong said the company will continue to monitor its advertising for potential problems and asked that BBB concerns continue to be brought to the attention of the company.

Armstrong supplied the BBB with testimonials from satisfied Arthur Middleton customers. Following is a link to several recent Arthur Middleton Ads: http://bit.ly/rtpylh.
Consumers can learn how to protect themselves or find BBB Business Reviews of businesses or charities by calling (800) 646-6222 or by visiting www.bbb.org online.

The BBB is NOT sending these Emails!

11/23/2011

Posted on 11/23/2011 by

If you are receiving any of these emails (below), do nothing! They are fraudulent!

From:Better Business Bureau:[mailto:manager@bbb.org]
Sent: Wednesday, December 07, 2011 3:56 a.m.
Subject Re: BBB Case #64168176

From: alert@bbb.org [mailto:alert@bbb.org]
Sent: Wednesday, November 23, 2011 6:26 AM
Subject: Complaint # 22101311
Importance: High

From: service@bbb.org <service@bbb.org>
Subject: Complaint # 22136959

From: risk@bbb.org [mailto:risk@bbb.org]
Sent: Wednesday, November 23, 2011 6:56 AM
Subject: Complaint # 22217418

Others include alert@bbb.org, service@bbb.org, risk@bbb.org, admin@bbb.org, support@bbb.org, manager@bbb.org, info@bbb.org and risk.manager@bbb.org

The Better Business Bureau is once again receiving multiple reports from companies – and even consumers – who have received one of the emails above. They are NOT legitimate. If you receive any of these emails, delete them without clicking on any links or attachments. If you’ve already received one of these emails and clicked on links or attachments, run a virus scan to ensure your computer is free of viruses and/or malware. Also, be aware that this phishing email may change throughout the day, so the sender email address may change, but will look similar to the emails above.

We apologize for any inconvenience. This email was generated by someone outside the BBB system and we are working to discover its origin. If you ever have a question about any communication you receive from the BBB, please call 651-699-1111 or send an email to ask@thefirstbbb.org.

(Also, there's no need to forward these fraudulent messages to us, as we already have several examples).

BBB Tips for Online Shoppers

11/18/2011

Posted on 11/18/2011 by

More and more people are doing their holiday shopping online. A recent National Retail Federation survey revealed the average person plans to do 36% of their holiday shopping online this year - up from 33% last year. "We know there are often bargains available online," said Dana Badgerow, CEO of the BBB. "However, we also know there are many problem websites out there. It's important not to get so focused on potential bargains you fall victim to a scam or a fraudulent website."

For people looking to take advantage of online specials on Cyber Monday, the Monday after Thanksgiving, and throughout the holiday season, the BBB suggests following these simple steps to avoid fraud:

1. Protect your computer - A computer should always have the most recent updates installed for spam filters, anti-virus and anti-spyware software and a secure firewall.

2. Shop on trustworthy websites - Check on the seller's reputation and record for customer satisfaction at bbb.org. Look for the BBB seal and other widely-recognized "trust marks" on retailer websites. Always remember to click on the seals to confirm that they are valid.

3. Protect your personal information - Take the time to read the privacy policy of websites you visit and understand what personal information is being collected and how it will be used. If there isn't one posted, be aware your information may be sold to others without permission.

4. Beware of deals that sound too good to be true - Offers on websites and in unsolicited e-mails can often sound too good to be true - especially ones offering extremely low prices. When visiting a website, look for misspellings and grammatical errors, as these are signs the site might be fraudulent. Trust your instincts. Don’t be afraid to pass up a "deal" that might cost you dearly.

5. Beware of phishing - Legitimate businesses do not send e-mails claiming problems with an order or an account to lure the "buyer" into revealing financial information. If a consumer receives such an e-mail, the BBB recommends picking up the phone and calling the retailer you dealt with or your credit card provider to confirm there really is a problem with the transaction. Always be extremely protective of your personal and financial information.

6. Confirm your online purchase is secure - Shoppers should always look in the address box for the "s" in https:// and in the lower-right corner for the "lock" symbol before paying.

7. Pay with a credit card - It's best to use a credit card, because under federal law, the shopper can dispute the charge if he or she doesn't receive the item. Shoppers also have dispute rights if there are unauthorized charges on their credit card.

8. Keep documentation of your order - After completing the online order process, there should be a final confirmation page or the shopper might receive confirmation by e-mail. Save a copy of that as well as any e-mails for future reference and as a record of the purchase.

9. Check your credit card statements often - Don't wait for paper statements; the BBB recommends consumers check their credit card statements for suspicious activity by checking statements online regularly or by calling their credit card companies if fraud is suspected.

10. Know your rights - Federal law requires that orders made by mail, phone or online be shipped by the date promised or, if no delivery time was stated, within 30 days. If the goods aren't shipped on time, the shopper can cancel and demand a refund. There is no general three-day cancellation right, but consumers do have the right to reject merchandise if it's defective or was misrepresented. Otherwise, it’s the company's policies that determine if the shopper can cancel the purchase and receive a refund or credit.

For more advice on staying safe online this holiday season, and to see reports on thousands of online retailers, go to www.bbb.org/us/consumer-tips-holiday.

BBB Urges Consumers to Support Small Business Saturday

11/18/2011

Posted on 11/18/2011 by
Saint Paul, Minnesota – November 8, 2011 – In honor of Small Business Saturday, a day designed to draw attention to small businesses on the busiest shopping weekend of the year, the Better Business Bureau of Minnesota and North Dakota (BBB) is helping spread awareness of this event by urging consumers to support small businesses in their area.

As a joining member, the BBB is teaming up with American Express OPEN to spread the word on why small businesses are so important to healthy communities. For the second year in a row, American Express OPEN has declared November 26th, the Saturday after Thanksgiving, to be Small Business Saturday. Sandwiched between Black Friday and Cyber Monday, Small Business Saturday is a perfect way to support the small businesses that you love.

"It's great to have a day dedicated to the success of local businesses and it's even better to think this effort could help lead to the continued prosperity of small businesses in the years to come," said Dana Badgerow, President and CEO of the BBB. "We'd like to encourage consumers to participate by supporting locally-owned businesses in their communities."

As part of Small Business Saturday, American Express is giving a $25 statement credit to American Express card members who spend $25 or more on Small Business Saturday at a qualifying small brick-and-mortar, independent merchant that accepts American Express cards. You must register to receive the credit, and terms and conditions apply. Registration is available at www.facebook.com/smallbusinesssaturday.

Free marketing tools to help small business owners promote their businesses are also available at www.facebook.com/smallbusinesssaturday.

Visit smallbusinesssaturday.com for more information on Small Business Saturday, and visit www.bbb.org for more consumer information you can trust.

BBB Offers Advice to Black Friday Shoppers

11/18/2011

Posted on 11/18/2011 by

November 15, 2011 - St. Paul, MN - With the approach of Thanksgiving, the Better Business Bureau of Minnesota and North Dakota (BBB) is offering tips to people planning on doing their shopping on Black Friday - the day after Thanksgiving.

"For people trying to find Holiday deals, Black Friday holds a lot of allure," said Dana Badgerow, President and CEO of the BBB. "What we’re aiming to do is remind people to think ahead, make a budget and be aware of store policies - particularly return policies."

Black Friday shoppers should be sure to keep these tips in mind:

Check out the company. Call the BBB at 1-800-646-6222 or visit bbb.org to obtain free Business Reviews. Don't forget, BBB reports have been optimized for smartphones.
Getting the real deal. Do you know if a sale is really a sale? Many times companies boast "70 percent off," but 70 percent off what? It always pays to comparison shop. If a company is advertising a "Going out of Business" sale, don't automatically assume they are offering the best prices in town. Check prices on the same items at other stores.
Search for Black Friday Ads Ahead of Time. Newspapers often have coupons that give discounts for Black Friday. Black Friday ads are also posted on the Internet. Some sites post ads for Black Friday before they are published.
Return policies, restocking fees and refunds. Ask for the store's return policy before you make your purchase. Companies are not required to give you your money back, but they need to post their return policy prominently near the cashier. Also, always ask about restocking fees, and save your receipts in one place so you don’t lose them. Many companies will require you to produce a receipt for a return. Ask for a gift receipt.
Gift cards. More than half of 2010 holiday shoppers said they'd like to receive gift cards, marking four years in a row gift cards have topped consumers' wish lists. New federal rules governing gift card sales went into effect in 2010.

Those rules state:

o An inactivity fee cannot be charged until the card has not been used for 12 months
Gift cards cannot expire for at least 5 years
No more than one fee (of any kind) can be charged to the cardholder in a single month
Information printed on the card must disclose fees and expiration date and provide a toll-free phone number or website where you can get more information.
A one-time fee can be charged when you buy the card, though this generally only applies to gift cards purchased through your credit card company - not those purchased directly from stores and restaurants.

Note: These new rules do not cover reloadable cards, such as prepaid phone cards or debit cards from the big credit card companies. Rebate and loyalty reward programs are also exempt. If you receive a gift card, you should redeem it promptly if possible.

For more advice on staying safe online this holiday season, go to www.bbb.org/us/consumer-tips-holiday/.

Please Support the BBB Foundation on Give to the Max Day!

11/15/2011

Posted on 11/15/2011 by

A recent consumer survey informed us that people want the Better Business Bureau (BBB) to expand the availability of free information that protects the public from scams and fraud. To help us continue to offer quality educational resources that are FREE to consumers in our community, the BBB’s 501(c)(3) tax-exempt educational foundation is inviting individual, corporate and foundation donors to invest in our work.

Please consider making a simple and secure tax deductible donation to the BBB educational foundation as we join the Great Minnesota Give Together via http://bit.ly/GiveMNBBB. Here are some examples of what your charitable dollars will support:

$25 pays for 625 senior centers to receive on-line "spot, stop and report fraud" resources which highlight red flags and alert seniors about common schemes.
$100 pays for 2 U.S. military service members and their families to receive personalized financial readiness counseling.
$500 pays for a two-week marketing blitz on fraud awareness for 10,000 college students.

Continually evolving to respond to the marketplace, the top two 2011-2012 goals of the BBB educational foundation are to:

Provide increased educational resources for senior citizens and students and
Implement new programming customized for military families.

Thank you for assisting our mission to be the leader in advancing marketplace trust!

Don’t Get Smoked Out by a Chimney Sweep Scam this Holiday Season

11/7/2011

Posted on 11/7/2011 by

With chilly weather fast approaching, many people are anticipating toasty evenings around their fireplaces, and they’re looking to have their chimneys cleaned in preparation. The Better Business Bureau of Minnesota and North Dakota (BBB) is advising consumers to do their research so they know which businesses to trust and which to avoid to prevent their hard earned dollars from going up in smoke.

To date this year, the BBB has received more than 380 complaints against chimney cleaners, up from the 342 complaints received in all of 2010.

“Chimney sweeping is not something that homeowners deal with often, so many of us lack knowledge of how the process works,” said Dana Badgerow, President and CEO of the BBB. “Many scammers take advantage of this and do shoddy work…or no work at all.”

In some cases, consumers have reported receiving calls stating the town fire department recommends the resident’s chimney be cleaned. The calls go on to recommend a particular chimney sweep and endorse their services on behalf of the fire department. Though town fire departments do recommend having chimneys cleaned on an annual basis, they do not inspect chimneys or endorse any particular company.. Many scam artists are targeting the elderly, making vague, unclear phone calls claiming they have done business in the past and it is time for their annual sweep.

Scam artists also sometimes advertise much lower prices than legitimate businesses. Typically, a professional chimney sweep will charge between $150 and $200 for the cleaning of one chimney shaft, whereas scam artists will claim they charge as little as $50. The BBB advises that if a price sounds too good to be true, it usually is.

Many scam artists use a low price tactic to get in your door, at which point they recommend additional work be done immediately, bullying the consumer into a much pricier service call. If the estimate you receive is significantly lower than that of other businesses, it should be viewed as a red flag. The BBB suggests consumers do their homework before hiring a chimney sweep and inviting them into the home. Additionally, check with your local fire department and with the Chimney Safety Institute of America (csia.org).

The BBB also offers these helpful tips when hiring a chimney sweep:

Check with the BBB first. Always visit BBB.org to find a trusted chimney sweeping business in your area. Are they an Accredited Business? Do they have any unanswered or unresolved complaints?

Find out more about them. How long have they operated in your area? Find out if they offer current references, or if you know anyone who has used their services in the past.

Ask if they have a valid business liability insurance policy. In the event of an accident, this ensures your home and belongings are safe.

Find out if any employees are certified through CSIA. Though this is not law, it is recommended by the fire department, and speaks to the qualifications of the individual or business you hire. CSIA is a national nonprofit agency with a certification program for chimney sweeps and certification is required of members of the National Chimney Sweeping Guild.

For more tips you can trust, visit bbb.org.

Securing Your Child’s Identity

10/31/2011

Posted on 10/31/2011 by

Advice That Every Parent Needs to Know

Hundreds of online businesses are finding inactive Social Security numbers online – most of which are assigned to children under the age of 18 who have not started using them yet – and selling them under different names to help people establish fake credit. The scheme may lead to significant debts for children that might be almost impossible to pay off. The Better Business Bureau of Minnesota and North Dakota (BBB) is warning parents to be on the lookout for the signs that point to their child’s identity being compromised or stolen.

Last year alone, 8.1 million American adults became victims of ID theft, resulting in the loss of $37 billion, according to a 2011 report from Javelin Strategy and Research. While this number is shockingly high, NBC TODAY reports that it’s harder to define how many children are actually affected by identity theft because of the fact most cases go undiscovered for years. However, a study by Debix, an identity theft monitoring company, found that out of 40,000 children, 4,000 identities had been compromised.

“This is a newer problem, and it’s frightening for any parent to think that their child’s identity is at risk of being stolen,” said Dan Badgerow, president and CEO of the BBB. “It is extremely important that people take the necessary precautions to ensure the safety of their child’s identity.”

The BBB urges parents to follow these important steps to protect their child’s identity:

Be aware of how to obtain your child’s credit report. Getting access to your child’s records is actually a different process than obtaining your own. Your child’s report cannot be obtained using the congressionally-mandated free credit report website (www.AnnualCreditReport.com) when they’re under the age of 13, and even sometimes for children ages 14 to 18. For parents with children under the age of 13, the easiest way to obtain your child’s records is through Trans Union. According to NBC TODAY, if Trans Union says there is no report, odds are good that your child is in the clear. But if there is a report — or you have a specific reason to believe your child is a victim – you'll want to follow up with Experian and Equifax, the nation's other two major credit bureaus, and get a report from them, too.

Recognize the signs of trouble. Watch out for red flags that indicate there might be a problem, such as your son or daughter receiving pre-approved credit card offers or calls from collection agencies.

Know what to do if you suspect that your child might be a victim. According to the FTC, every parent should check their child’s credit report on their 16th birthday. It’s not good to check it too often, but checking then leaves sufficient time to fix errors and activity before their child goes off to college and tries to obtain financial aid. If suspicious activity arises, parents must contact all three credit bureaus and request a report immediately. From there depending on your state's credit freeze rule, placing a credit freeze should be considered.

For more information on securing your identity, visit www.bbb.org/us/bbb-news/.

Consumer Newsletter (October 2011)

10/31/2011

Posted on 10/31/2011 by

Securing Your Child's Identity
Advice That Every Parent Needs to Know

Last year alone, 8.1 million American adults became victims of ID theft, resulting in the loss of $37 billion, according to a 2011 report from Javelin Strategy and Research. Now, hundreds of online businesses are finding inactive Social Security numbers online – most of which are assigned to children under the age of 18 who have not started using them yet – and selling them under different names to help people establish fake credit. The scheme may lead to significant debts for children that might be almost impossible to pay off. The BBB is warning parents to be on the lookout for the signs that point to their child's identity being compromised or stolen.

Click to see the Consumer Newsletter.

Articles this month include:

2011 Better Business Bureau Integrity Award Recipients Announced

10/25/2011

Posted on 10/25/2011 by

Student of Integrity Scholarships also awarded

Saint Paul, Minnesota – October 25, 2011 – The Better Business Bureau of Minnesota and North Dakota (BBB) announced the recipients of the 2011 BBB Integrity Awards at a ceremony held October 24 at the Guthrie Theater in Minneapolis. The keynote speaker was Ron James, the President and CEO of the Center for Ethical Business Cultures at the University of St. Thomas. Best Buy was the presenting sponsor.

“The Integrity Awards celebrate businesses that share our mission of advancing marketplace trust,” said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. “We salute the commitment to ethics this year’s winners and all of our finalists have made.”

The 2011 Integrity Award winners are:

Category I (1-10 Employees): Boy’s Electric. Boy’s Electric in Eden Prairie, MN is a local, family-owned company with electricians that have been serving Minneapolis, St Paul, and Waconia and surrounding areas for over 20 years.
Category II (11-50 Employees): Latuff Brothers Auto Body. Latuff Brothers Auto Body in Saint Paul, MN is a family-owned auto body shop that was founded locally by the Latuff family in 1933.
Category III (50+ Employees): North Star Resource Group. North Star Resource Group in Minneapolis, MN offers individuals and businesses a comprehensive range of resources to promote long-term financial well-being.

Businesses that were chosen as finalists were: Kammaron Design, Inc., Minneapolis, MN; Mark O. Finney, DDS, New Brighton, MN; Seraphim Communications, Saint Paul, MN; Waterfilters.net, Zumbrota, MN; Lumber One, Avon Inc. Avon, MN; Park Dental, Roseville, MN and State Bank & Trust, Fargo, North Dakota.

Winners of the Student of Integrity Scholarships, which are awarded to high school seniors who demonstrate – through essay – their understanding of integrity and how they have applied that in their lives, were also announced. Judges’ decisions are based on the students’ commitment to ethics and integrity, rather than their grade point average.

“This scholarship is unique because it is based on the student’s personal experience and the choices they’ve made,” said BBB Event Coordinator Mackenzie Kelley, who oversees the scholarship awards. “Once again, our scholarship applicants this year clearly demonstrated they understand the importance of doing the right thing.”

Winners of this year’s Student of Integrity Scholarships are:

Hawi Tilahune, Coon Rapids High School - $5,000
Valentina Benito-Correa, Benilde-St. Margaret’s High School - $2,500

Beware of Direct Withdrawals from Funds Direct

10/21/2011

Posted on 10/21/2011 by

The Better Business Bureau of Minnesota and North Dakota is alerting consumers about a Las Vegas company called Funds Direct, who, according to a pattern of complaints noted by the BBB of Southern Nevada, debits consumer’s accounts for $30 without their authorization. Some consumers have reported that due to the debits, they were charged account overdraft fees and in some cases, were forced to close their accounts.

"Two Minnesota consumers have discovered this company has charged their bank accounts, and our concern is that there are other consumers in our area who might be getting hit with the same charge unawares," said Dana Badgerow, president and CEO of the BBB.

Some consumers report they had no contact with Funds Direct and had never heard of them until they noticed a $30 charge on their bank statements. Others have stated the company promised refunds within 7-10 days, but then failed to follow through, despite their terms, which state, “If you feel that for any reason you are not completely satisfied with our services we offer a no question 30-day money back guarantee.”

On their website, Funds Direct promises to secure funding for customers within 90 days, regardless of credit score, job status or income level - or they will allegedly provide a refund. Their website also guarantees “instant" cash; however, the information cannot be accessed until a password and an email address are given through an unsecure site.

The BBB of Southern Nevada recently called the company representing a consumer who was charged the $30 membership fee. Their call was directed to a call center. The company representative they spoke to refused to provide the company’s actual physical location, refused to transfer the call to a supervisor, and also refused to answer questions as to where they acquired the consumer’s debit account information. However, the telemarketer they spoke with confirmed he was not located in Las Vegas and that he answered phone calls for a variety of companies. After being asked the same questions repeatedly, the telemarketer finally agreed to transfer the call to a supervisor, at which point he hung up.

Consumers who have unauthorized debit charges should speak with their banks immediately and consider closing their account. The BBB is still trying to determine where the company is getting the information to debit consumers' accounts.

Since the end of August, the BBB has received 87 complaints against the company, which holds an F rating for complaint volume and seriousness of complaints. The company has responded to some BBB complaints with a form letter stating refunds have been given for the withdrawals as well as the overdraft fees. Some consumers report never receiving the promised refunds.

BBB iPhone App Now Available

10/14/2011

Posted on 10/14/2011 by

Saint Paul, MN – October 12, 2011 – Last year, consumers turned to the Better Business Bureau 87 million times to help them find trustworthy businesses and charities. Now they can have that information in the palm of their hand with the release of the official BBB Search app, a convenient, mobile BBB solution available for the iPhone, iPad and iPod Touch. The app was approved by the Apple Store and is now available for download.

“For 100 years, BBB has been the trusted source for unbiased information on businesses and charities,” said Dana Badgerow, President and CEO of the Better Business Bureau of Minnesota and North Dakota. “We have data on more than 4 million businesses in the United States and Canada – an amazing wealth of information to help consumers find trustworthy businesses…and to help them avoid those that are not. We are excited to offer this information to consumers on the go.”

BBB Search features include:

Search for local businesses by name, phone, URL, or category type
Search via current location or specified city, state or ZIP code
Display search results in list or map views
Access previous searches through the history menu
View the BBB Business Review for every business listing, complete with BBB Rating, contact info, BBB Accreditation status, consumer complaint history, and more
Save a listed business's info to Favorites or iOS contacts
Share a business's BBB Business Review URL via email, Twitter, or Facebook
Find a local BBB near you
Read the latest BBB Consumer News

Today’s launch follows a successful soft launch in June, with additional enhancements and fixes:

BBB Consumer News now includes a "pull down to update" feature.
BBB Business Reviews display a mobile-optimized interface within the app.
The ZIP code keyboard now supports letters for Canadian postal codes.
If a ZIP code was set in the Search Option, that same ZIP code is also used as the default location for the Find a BBB search field.
Tapping on Find a BBB automatically displays the closest BBB location based on current ZIP code setting.
When adding a selected business to iOS contacts, the business's phone number is now always included.
Improved error handling with more descriptive and user-friendly messages.
Several minor bug fixes have been implemented and a reported crash bug on iOS 3.x devices is now fixed.

BBB Search 1.1 is available as a free app download on Apple's iOS App Store for devices running iOS 3.1 or higher. An Internet connection is required.

App Store URL:
http://itunes.apple.com/us/app/bbb-search-find-local-businesses/id440014505?mt=8

For more information, please visit: http://www.bbb.org/iphone/

BBB and AARP ND invite Consumers and Businesses to Secure Your ID Day

10/11/2011

Posted on 10/11/2011 by

Saint Paul, Minnesota – October 11, 2011 – The Better Business Bureau of Minnesota and North Dakota (BBB) and AARP North Dakota are sponsoring “Secure Your ID” Day Saturday, October 22 in the Fargo-Moorhead and Bismarck-Mandan communities. Area residents – and businesses – are invited to attend and take a key step in identity protection by shredding and properly disposing of their sensitive paper documents, CDs and old cell phones. Tips and resources on how to avoid identity theft will also be provided. The Fargo event will be held at the Wells Fargo branch on 13th Ave. S. The Bismarck event will be held at the Wells Fargo Gateway Mall location at 1050 E. Interstate Ave. The times for both events are from 8 a.m. to 1 p.m.

The dual events are part of a series of Secure Your ID Day events being hosted by Better Business Bureaus all across the country that day. The BBB and AARP ND, along with local partners The Bismarck Tribune, The Forum, Recall and Wells Fargo are working together to educate consumers about identity theft, which has been the top consumer complaint to the Federal Trade Commission (FTC) for the past eleven years in a row, with over 250,000 cases of identity theft reported to the FTC in 2010.

“Secure Your ID Day teaches that prevention is a person’s best defense against identity theft,” said Dana Badgerow, President and CEO of the Better Business Bureau. “Participants will not only able to take advantage of free document shredding, but they’ll also walk away wiser consumers.”

People are invited to bring one box or bag of documents to be shredded. Documents to be shredded should be removed from binders, but staples, paper clips and CDs are okay to be shredded. This year’s events will also feature free cell phone recycling.

BBB Secure Your ID Day Details
Who: The BBB and AARP North Dakota, along with local partners The Bismarck Tribune, The Forum, Recall and Wells Fargo.
What: Free document shredding, cell phone recycling and tips and resources for protecting your identity.
When: Saturday, October 22nd, 2011, from 8 a.m. to 1 p.m.
Where: Wells Fargo parking lot, 1050 E. Interstate Ave., Bismarck and 2501 13th Avenue South, Fargo.

For more information on identity theft prevention measures for both consumers and businesses, visit: www.bbb.org/us/secure-your-id-identity-theft-resources.

Contact:
BBB of MN/ND - Dan Hendrickson, Communications Coordinator
651-695-2463 / dhendrickson@thefirstbbb.org

Contact:
AARP ND – Lyle Halvorson, Communications
701-355-3653 / LHalvorson@aarp.org

About the BBB of Minnesota and North Dakota
The mission of the Better Business Bureau is to be a leader in building marketplace trust by promoting, through self-regulation, the highest standards of business ethics and conduct, and to instill confidence in responsible businesses through programs of education and action that inform, assist and protect the general public. Our hours of operation are 8 a.m. to 5 p.m. Monday through Friday. Contact the BBB at www.bbb.org or 651-699-1111, toll-free at 1-800-646-6222.

About AARP North Dakota
With 83,000 members in North Dakota, AARP is a nonprofit, nonpartisan organization with a membership that helps people 50+ have independence, choice and control in ways that are beneficial and affordable to them and society as a whole. AARP does not endorse candidates for public office or make contributions to either political campaigns or candidates. We produce AARP The Magazine, the definitive voice for 50+ Americans and the world's largest-circulation magazine with over 35.1 million readers; AARP Bulletin, the go-to news source for AARP's millions of members and Americans 50+; AARP VIVA, the only bilingual U.S. publication dedicated exclusively to the 50+ Hispanic community; and our website, AARP.org. AARP Foundation is an affiliated charity that provides security, protection, and empowerment to older persons in need with support from thousands of volunteers, donors, and sponsors. We have staffed offices in all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands.

Better Business Bureau and FTC to Hold Data Security and Privacy Summit

9/23/2011

Posted on 9/23/2011 by

Event is open to all Minnesota, North Dakota businesses

Saint Paul, Minnesota – September 22, 2011 – Protecting their own data and the sensitive information of their customers is perhaps the greatest challenge businesses face today, and yet many are unaware of threats to their security or fail to comply with existing privacy laws. The Better Business Bureau of Minnesota and North Dakota (BBB) and the Federal Trade Commission (FTC) are taking the lead in educating businesses on these important issues by sponsoring the Data Security and Privacy Summit on Thursday, October 6 from 8 a.m. to noon at the Edinburgh USA Event and Conference Center in Brooklyn Park, MN. This event is open to all Minnesota and North Dakota businesses.

“With major corporations and institutions suffering data breaches and falling victim to hackers on a regular basis, data security and privacy issues are things every business needs to take seriously,” said Dana Badgerow, president and CEO of the BBB. “We’re proud to partner with the FTC to offer business owners this timely training.”

A business’s ability to protect sensitive information may mean the difference between success and failure. A large business may be able to weather the financial costs and reputation damage associated with a data breach, but such an incident can sink a smaller business.

“The Federal Trade Commission is pleased to be part of this important event,” said Todd M. Kossow, Assistant Director for the FTC’s Midwest Region in Chicago. “Having a plan to protect consumers’ privacy and adequately safeguard sensitive data is not only a good business practice, it’s the law.”

The Data Security and Privacy Summit brings together a distinguished line-up of legal and privacy experts, including FTC Midwest Region Assistant Director Todd Kossow, to provide business owners with the most up-to-date information on best practices in regard to data privacy and provide step by step instructions on how to protect their most valuable asset – information. The event will feature a number of breakout sessions; attendees will learn about: Mobile Payment Systems and Security, Health Information Security Framework, Business Risk & Privacy Management, FFIEC and the supplement for authentication/Internet banking, Privacy and Security Compliance, Healthcare Privacy Regulation and Enforcement and Social Media and Privacy.

Twin Cities Privacy Network and Upper Midwest Security Alliance are Partners for this event. Pre-registration is required.

Ticket Prices (full breakfast is included):

Regular - $99
Early Bird - $79
BBB Accredited Businesses and Event Partners - $59
Students - $29

To register for the Data Security and Privacy Summit, visit minnesota.bbb.org/rsvp/dsps.

BBB Warns Auto Buyers About Flood-Damaged Cars

9/22/2011

Posted on 9/22/2011 by
Saint Paul, MN – September 20, 2011 – Following every major flood or hurricane, scam artists try to pawn off flooded vehicles as standard used cars. Flood-damaged vehicles may appear at auto auctions, used car dealerships and in classified ads. The Better Business Bureau of Minnesota and North Dakota (BBB) is urging used car buyers to be cautious of unscrupulous businesses and individuals who may try to sell flood-damaged cars as standard secondhand cars, without revealing the vehicles' history.

Unsuspecting consumers, particularly those living in regions of the country unaffected by hurricanes or flooding, can easily be led astray by fresh upholstery, new carpeting and bargain prices.

To determine if a used car is flood-damaged, auto shoppers should:

Ask to see the car report. Check the date and place of transfer to see if the car came from a state affected by recent flooding and if the title has been stamped "salvage." If you are still suspicious, ask to see the title, which should tell you if a car has ever been tagged as “salvage” or “flood-damaged” in any state.
Check the dashboard. Examine all gauges to make sure they are accurate and functional. Look for indications that the dashboard may have been removed.
Test the lights, windshield wipers, turn signals, cigarette lighter, radio, heater and air conditioner several times to make sure they work. Also, flex some wires under the dash to see if they bend or crack, since wet wires become brittle upon drying.
Check the trunk, glove compartment, and beneath the seats and dash for signs of mud, rust or water damage. Look for open drainage holes in the bottom of the vehicle.
Look for discolored, faded or mildewed upholstery and carpeting. Recently shampooed carpets may be cause for concern. Carpeting that has been replaced may fit too loosely or may not match the interior color.
Look for standing water, mud or grit in the spare tire wheel well or around the engine compartment under the hood.

Remember to always check out the reliability of the dealer by contacting bbb.org. Also before buying any used car, you should get a pre-purchase inspection by a trusted mechanic.

Equifax Scam Targets Businesses

9/21/2011

Posted on 9/21/2011 by
A Minnesota business has alerted the Better Business Bureau of Minnesota and North Dakota to a fraudulent fax they received recently. The fax appeared to be from Equifax, the credit reporting agency, and sought sensitive financial information from the company. The letter reads:

Our records show that you are currently registered as a prospective contrator for procurements issued by the U.S. Federal Government. However, after reviewing your record we have noticed that you have not submitted your financial information release form.

A second page was attached to the fax, this one seeking confidential financial information. The person who received the fax was instructed to fax the information back to 202-350-9586. The date stamp at the top of the fax even reads 'Equifax - Adm Dept.'

However, this fax is fraudulent and both the BBB and Equifax are urging businesses to discard these letters. Equifax has an alert regarding this scam on their website: http://www.equifax.com/cs7/Satellite?c=EFX_Page_C&childpagename=US%2FEFX_Page_C%2FSimplePage&cid=1187894212504&p=1218149572128&packedargs=locale%3Den_us&pagename=EFX%2FWrapper.

Businesses or individuals who have provided the requested information should contact their financial institution immediately.

BBB Advice for Making "Au-some" Gold Transactions

9/13/2011

Posted on 9/13/2011 by
Saint Paul, MN - September 13, 2011 - As global markets suffer declines, worried investors are seeking safe havens for their funds. Some are moving away from the stock market and into gold, in the hopes that their money will grow. Others are looking to cash in on the gold they own, for some extra cash or to make ends meet. With the price of gold (Au) near all-time highs at more than $1, 800 per ounce, the Better Business Bureau of Minnesota and North Dakota (BBB) advises consumers to do their homework before trading their gold for cash.

Many consumers are looking to sell their gold jewelry through online venues, at home "gold parties" or local jewelers. However, not just every dealer is trustworthy. This year alone, the BBB has already received more than 500 complaints against gold, silver and platinum dealers.

"Consumers need to be on the lookout for disreputable sellers," said Dana Badgerow, president and CEO of the BBB. "Many of the complaints we receive stem from deceptive advertising and situations where consumers end up receiving payments far less than what they believed their gold to be worth."

The BBB recommends following these tips to help ensure an 'Au-some' gold selling transaction:

Find a trustworthy appraiser. If possible, seek appraisals from someone locally whom you know and trust. Always check businesses or appraisers with the BBB first at www.bbb.org. The BBB suggests obtaining two or three appraisals to compare prices, prior to any sale.

The true price of gold may not be what you receive. If gold is worth $1,813 per ounce, you aren't going to be paid $1,813 for every ounce of gold you have. Understand that the ounce quote is for pure gold only. For instance, 14-karat gold is composed of just 58.5 % gold. Ask how much the company's going rate is for each ounce of each karat you will send; the lower the karat, the less the gold content. Ask what you will be paid prior to sending gold away in the mail. When dealing with an online buyer, ask for specifics and provide details on the items you plan to send. Be sure to insure your package.

Don't let jewelry of different karat value be weighed together. Some dealers will weigh all jewelry together and pay you for the lowest karat value. Separate your jewelry by karat value before attending a gold party.

Don't let anyone steal your diamonds from gold pieces. Single gold stud earrings might be worth $5 or $10, yet diamonds in the earrings can be saved. The labor to remove small diamonds might exceed their value, but engagement ring diamonds, for example, should receive a value separated out from the gold.

Know the terms and conditions when sending items by post. Make sure your items are insured during shipping, so you can recover the value of lost items. Obtain appraisals prior to mailing items, so if they are lost you have proof of their value. Check the company's reimbursement policy if they lose your product. Many limit their liability. Make a list of the items included in the package, keep a copy for yourself, and put a copy in the envelope. Take a picture of the items you are sending, including any identifying marks.

Ask about the company's guarantee if you are not satisfied with the price offered. Can you get your product back, if you return the check? Many companies melt down the items in 10-14 days. If you send the check back, mark it "Return receipt requested," so you have proof when it arrived at the company.

For more tips you can trust, visit www.bbb.org/us/bbb-news.

Better Business Bureau Announces 2011 Integrity Award Finalists

9/13/2011

Posted on 9/13/2011 by

Saint Paul, MN - September 7, 2011 - The Better Business Bureau of Minnesota and North Dakota (BBB) is proud to announce the 2011 finalists for the prestigious Better Business Bureau Integrity Awards. The 12th Annual Integrity Awards ceremony, presented by Best Buy, will take place Monday, October 24 at the Guthrie Theater in Minneapolis from 6 - 9 p.m.

The BBB presents the Integrity Award each year to companies who exemplify ethical behavior and display integrity in all aspects of their operations; toward their employees, vendors, customers, and within their community. The Integrity Award is open to all for-profit businesses located within the Minnesota and North Dakota region. Each year, the BBB invites anyone to nominate a company they feel demonstrates exceptional ethics. Nominees are then offered the opportunity to submit an entry to the BBB, where a panel of independent volunteer business and community leaders review the entries and choose the winners. Companies compete in different categories based on number of employees.

The 2011 BBB Integrity Award finalists are:

Category I (1-10 employees):
Boy’s Electric, LLC, Eden Prairie, MN
Kamarron Design, Inc., Minneapolis, MN
Mark O. Finney, DDS, New Brighton, MN
Seraphim Communications, Inc., Saint Paul, MN
Category II (11-50 employees):
Latuff Bros., Inc., Saint Paul, MN
Lumber One, Avon Inc., Avon, MN
Waterfilters.NET, Zumbrota, MN
Category III (51+ employees):
North Star Resource Group, Minneapolis, MN
Park Dental, Roseville, MN
State Bank & Trust, Fargo, ND

"The Integrity Award is a high honor, and we take great pride in presenting it to the worthy businesses in our region that embody ethics and integrity," said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. "These companies remind all of us in the business community about the importance of sound practices and putting customers first." Recipients of this year’s Integrity Award will be announced live at the event on Monday, October 24 at the Guthrie Theater, 818 South 2nd Street, Minneapolis.

This year’s keynote speaker is Ron James, the President and CEO of the Center for Ethical Business Cultures at the University of St. Thomas. Prior to this, James was president and CEO of Human Resources Group, a division of Ceridian Corp. He also served as Minnesota's top executive officer at US West Communications Inc. He teaches business ethics for graduate programs at the University of St. Thomas. In addition to serving on many boards, including Best Buy Corp., Allina Hospital and Clinics, and the Greater Twin Cities United Way, he participated in President Bush's economic forum focusing on corporate responsibility and restoring trust and integrity to the American business system.

Tickets for this event are available to the public and can be purchased online at www.thefirstbbb.org/registration or by contacting Mackenzie Kelley at mkelley@thefirstbbb.org or 651-695-2482. Pre-registration is required.

Early bird tickets (dinner included) are available at the following rates until October 1st:

Accredited Business pricing:

Individual tickets are $65
10 tickets for $585

Non-Accredited Business pricing

Individual tickets are $85
10 tickets for $765

After October 1st, individual ticket prices will be $70 and $90, 10 tickets will be $630 and $810, respectively.

This is the fifth year that the BBB will present its Student of Integrity Scholarship Awards to high school seniors who demonstrate (through essay) their understanding of the impact ethical decisions have had on their lives. One $5,000 and one $2,500 scholarship will be presented to students to use towards the colleges of their choice.

"These scholarships are a wonderful way to reward students who have faced moral dilemmas but have found the inner strength necessary to do the right thing," said Lisa Jemtrud, Foundation Director for the BBB.

Best Buy is the 2011 Integrity Awards presenting sponsor. Additional sponsors for the event are: Think Mutual Bank; Clear Channel Radio; The Minneapolis/St. Paul Business Journal; ABRA Auto Body & Glass; Financial Concepts, Inc; CenterPoint Energy; Northland Group; Memory Vision and Rippe Print. 2011 Student of Integrity Scholarship sponsors are: Custom Remodelers, Inc; Hubbard Broadcasting; BBB Center for Character Ethics and Valley Pools & Spas.

Two Bogus Loan Co's Claim Same ND Address

9/7/2011

Posted on 9/7/2011 by
The Better Business Bureau of Minnesota and North Dakota is issuing a warning on two fraudulent online firms which claim to offer advance fee loans to businesses and consumers. The bogus firms are Everson Financial Brokers and Towers Lending Source. Both claim the same address in Fargo, North Dakota, though the ND Attorney General's Office has informed the BBB that neither is located at that address, nor are either of them located anywhere within the state of North Dakota.

The BBB reminds consumers that advance fee loans are illegal and advises against wiring money to anyone you don't know. Consumers should also be leery of any websites or emails they receive which claim to guarantee loans regardless of credit. Remember, anytime you're asked to pay money upfront to qualify for a loan, the offer is fraudulent.

If you've fallen victim to an advance fee loan scam, you can file complaints at www.bbb.org, www.ftc.gov and www.ic3.gov.

Would-be Pet Owners Nipped by Scams

9/2/2011

Posted on 9/2/2011 by

Even Pet Sellers Risk Getting Bitten

Saint Paul, Minnesota – August 24, 2011 – Pet lovers seeking new canine companions are often surprised, and sometimes discouraged, to discover how expensive a purebred puppy or dog can be. Purebreds can cost anywhere from hundreds to thousands of dollars, not including veterinary, shipping and pedigree costs. That’s why the Better Business Bureau of Minnesota and North Dakota (BBB) is cautioning consumers to watch out for classified ads offering purebred puppies for free or at prices that seem too good to be true.

Earlier this month a classified ad ran in Penny Savers USA, an online portal for online classifieds and coupons, offering free Yorkshire terrier puppies – a breed that typically sells for $250-$2,000 apiece.
The advertiser was listed as having locations in Minneapolis and Duluth. The consumer who reported this questionable ad to the BBB also stated that when she emailed the advertiser to express interest in adopting a puppy, they assured her they would cover all fees. However, shortly afterwards, when she received an email stating that the breeders were at the airport ready to ship the puppies but needed $170 for “ownership transfer,” she suspected the offer was a scam – and she was right.

Puppy scams often hook people with offers of free puppies, collect money for bogus fees, such as shipping or ‘ownership transfer,’ and then never deliver the advertised puppies or dogs. Many of these scams originate in Africa, especially Cameroon. This May a student in Minnesota lost over $1,000 to one of these scams when they tried to purchase a puppy online. The business listed itself as having a Minneapolis address but was actually operating out of Cameroon.

In some cases people selling a puppy or dog are at risk of becoming the victim of a scam. An individual who placed an ad in the Duluth News Tribune to sell puppies contacted the BBB recently to report that they had been contacted by a scammer. The email the seller received from the scammer, who claimed to be hearing impaired and only able to communicate through text or email, was rife with grammatical errors, and offered to send "a certified check or money” to cover the cost of the dog plus shipping costs. The scammer instructed the seller to cash the check immediately, deduct the sale price and send the amount of the shipping fee to “the head office of the company that handles shipment via Western Union.” Had the seller followed those instructions, they would have discovered the check was no good and they would have been out the shipping fees they had inadvertently wired to the scammer.

The BBB offers the following tips to avoid scams when you’re looking to adopt or sell a pet:

Beware of ads with multiple misspellings and grammatical errors; many pet scams come from overseas, particularly Africa, so scammers usually do not have a good grasp on the English language.
When selling a pet, never deal with people who offer to send you a check for more than the requested amount under the conditions that you wire the extra money back to them or any of their affiliates, such as deliverers or handlers. A good rule to follow is never wire money to people you don’t know.
If purchasing a pedigreed pet, be sure the breeder provides documentation of the parents’ registration with the American Kennel Club. This ensures that the pet is in fact a legitimate pure-bred animal. It is then your responsibility to register your pet with the American Kennel Club.
After purchasing a purebred pet, keep all paperwork including receipts, proof of registration and proof of parents’ registration.
Bring all pets to see a veterinarian immediately for an independent examination, any necessary shots, and to establish a baseline for later health care.
When purchasing from a pet store, be sure to ask for a detailed history of the pet’s origin. Unfortunately, some pet stores supply from unsafe and inhumane puppy mills.
The Humane Society offers healthy pets for free, but keep in mind that previous ownership may influence a pet’s demeanor. Some adopted pets have been subject to abuse, neglect, or poor conditioning. Be prepared to commit time and patience to helping your new pet adjust to his/her home.

Suspect credit card offer hits Twin Cities

8/25/2011

Posted on 8/25/2011 by
The Better Business Bureau of Minnesota and North Dakota has received a report from a consumer in the Twin Cities area about a credit card solicitation they received via fax. The fax is from Union Workers Credit Services located in Dallas, Texas. Union Workers Credit Services currently has an F rating with the BBB of Dallas, with 297 customer complaints on file.

The solicitation claims to offer a Platinum Card 'Membership' with a $10,000 credit limit, along with a 5% APR, but requires a $37 annual membership fee. However, according to the FTC, while sounding like general-purpose credit cards, some 'platinum' or 'gold' cards permit you to buy merchandise only from specialized catalogs. Merchandise is available on Union Workers Credit Services' website.

Before agreeing to any offers such as this, you should always contact your local BBB (www.bbb.org) or state Attorney General's office to see if any complaints have been filed against promoters of 'platinum' or 'gold' cards. Consumers should also be aware that rarely can they improve their credit rating or get major credit cards by signing up for 'platinum' or 'gold' credit cards, and that often the only major credit card you might get is a secured credit card that requres a substantial security deposit with a bank.

Consumer Newsletter (August, 2011)

8/24/2011

Posted on 8/24/2011 by
Do the Math on Penny Auctions
A Risky Gamble

Online "Penny Auctions" are quickly gaining popularity, and though they claim to offer consumers the opportunity to win quality merchandise at low prices, the Better Business Bureau reminds people that purchasing bids only provides consumers the right to bid on an item; they do not guarantee any product in return. The BBB has also noted an uptick in consumer complaints regarding penny auction websites recently.

Click to see the entire Consumer Newsletter.

Articles this month include:

1. Penny Auctions
2. BBB Issues Alert
3. Phony Job Posts
4. BBB Centennial
5. Scholarships

Watch Out for False Emails Requesting a BBB Rating Verification

8/18/2011

Posted on 8/18/2011 by
The Better Business Bureau of Minnesota and North Dakota is cautioning businesses and consumers about an email that is purporting to come from the BBB. The email appears to come from a fake BBB address (BBBupdate@post.com) in the Atlanta, Georgia metro area and falsely requests verification and validation of BBB Ratings.

The email message reads, “Our data shows a pending rating or review about you or your business. Derogatory/Negative reviews or ratings can impact you (sic) business profile and become permanently visible to customers, clients, vendors, and agencies. CONTACT OUR NOTIFICATION DEPARTMENT IMMEDIATELY FOR VERIFICATION AND VALIDATION OF THIS ALERT.”

The BBB wishes to remind all businesses and consumers that we are not conducting a verification request nor are we issuing emails in response to a pending rating or review about you or your business. Should you receive such an email, please disregard its message, and report any information received to the BBB’s Scam Portal. CBBB’s Legal Department is working to find out who is behind this and will take all appropriate action to protect its trademark.

Score a Job – Not a Scam: BBB Advises Job Hunters to be on the Lookout for the Growing Number of Phony Job Postings

8/17/2011

Posted on 8/17/2011 by

Saint Paul, Minnesota – August 18, 2011 – If you’re looking for a job, you’re not alone. With unemployment at a rate of 9.1%, according to the U.S. Bureau of Labor Statistics, many job hunters are turning to online job boards to post their resume and search for jobs. The Better Business Bureau of Minnesota and North Dakota (BBB) is warning job seekers to proceed with caution before sharing their personal qualifications and inquiring about jobs they find online.

As much as the Internet has made searching for jobs easier, it also provides an opportunity for ID thieves and scammers to take advantage of eager – and unsuspecting – job seekers. It’s becoming more and more common for scammers to deceive potential applicants with phrases like “Get rich quick – without even leaving your home!” in the hopes of illicitly acquiring their personal information. Craigslist, Monster.com, Careerbuilder.com and even Facebook are all feeding grounds for scammers.

“Job seekers need to be on the lookout for potential scams. Before posting your resume to a career site or inquiring about a job, make sure you know with whom you are dealing,” said Dana Badgerow, president and CEO of the BBB. “Many job scammers are having candidates set up direct deposit accounts as part of the application process and making it seem as though it’s just part of the process to get an interview – when it’s absolutely not.”

The BBB advises job hunters to be on the lookout for these red flags when conducting their job search:

Employer emails rife with grammatical and spelling errors. Most online fraud is perpetrated by scammers located outside the U.S. Their first language usually isn’t English and this is often evident in their poor grasp of the language, which can include poor grammar and the misspelling of common words.

Emails purporting to be from job posting websites claiming there’s a problem with a job hunter’s account. After creating a user account on sites like Monster.com, Careerbuilder.com or Craigslist.com, a job hunter might receive an e-mail saying there has been a problem with their account or they need to follow a hyperlink to install new software. Phishing e-mails like this are designed to convince readers to click a link within the message to fix the issue, but these links actually take them to a website that will install malware or viruses on their computer.

An employer asks for extensive personal information such as Social Security or bank account numbers. Some job seekers have been surprised to learn they’ve gotten a job without having to do a single interview. However, when the employer then asked for personal information in order to fill out the necessary paperwork suspicions were raised – and rightly so! Regardless of the reason or excuse given by the employer, a job applicant should never give out his or her Social Security or bank account numbers over the phone or through email.

An employer offers the opportunity to become rich without leaving home. While there are legitimate businesses that allow employees to work from home, there are also a lot of scammers trying to take advantage of unemployed workers, senior citizens, students and injured or handicapped people hoping to make easy money. Job hunters should use extreme caution when considering a work-at-home offer and always research the company with their BBB first at www.bbb.org.

An employer asks for money upfront. Aside from paying for a uniform, it is rarely advisable for an applicant to pay upfront fees or make a required purchase to get a job. The BBB of Metropolitan Dallas recently uncovered a scam where job hunters were told they had to pay $64.50 for a background check before they could be considered for a cleaning job. Predictably, after paying for the background check, job seekers never heard from the company again.

The salary and benefits offered seem too-good-to-be-true. The adage holds true for job offers: if the deal sounds too good to be true, it probably is. Phony employers might brag about exceptionally high salary potential and excellent benefits for little experience in order to lure unsuspecting job hunters into their scam.

The job requires the employee to wire money through Western Union or MoneyGram. Many phony jobs require prospective employees to cash a check sent by the company through the mail and then wire a portion of the money on to another entity. Reasons given for this requirement vary from scam to scam. Whatever the reason, the check might clear the employee’s bank account but will eventually turn out to be bogus and the employee is out the money he or she wired back to the scammers.

BBB Advises Businesses to watch for Bogus Billings

8/16/2011

Posted on 8/16/2011 by
Saint Paul, Minnesota – August 16, 2011 – The Better Business Bureau of Minnesota and North Dakota (BBB) is being contacted by businesses in Minnesota and North Dakota regarding unexplained bills from a company called Minneapolis Classified Publishing. The businesses contacting the BBB say they have not dealt with this company and believe the billings are fraudulent.

“Based on what we’re hearing from business owners, we have definite concerns about this company and their billing practices,” said Dana Badgerow, president and CEO of the BBB.

Copies of bills forwarded to the BBB show Minneapolis Classified Publishing makes no effort to substantiate the charges, ranging from $400 to $500, outside of some vague language regarding an ‘initial set-up fee.’ In an effort to learn more about this company, the BBB called the toll-free number at the bottom of the invoices in question. An operator answered, ‘Career Classified Publishing Corporation,’ which is a company located in Chicago, Illinois. That company has a C rating with the BBB of Chicago, with six complaints filed against them – two of which have been closed as unresolved. Five of those complaints involved billing issues.

The BBB is advising businesses who receive bills from Minneapolis Classified Publishing not to pay them, and to report them to the U.S. Postal Inspection Service at 1-877-876-2455.

It’s against U.S. Postal Service regulations to mail a bill or invoice that is actually a solicitation, unless it bears a clear disclaimer that the unsolicited invoice is for information only and not a request to pay. The best protection against phony invoices is knowledge and vigilance. Businesses should alert their accounts payable staff to be on the lookout for disguised solicitations; carefully review invoices from companies with which they do not normally do business; establish effective internal controls for the payment of invoices, and verify all invoices with the person who authorized the charges.

If you receive a bill or solicitation you believe to be fraudulent, contact the BBB at 1-800-646-6222.

BBB issues alert on weight loss supplement HCG

8/16/2011

Posted on 8/16/2011 by

Saint Paul, Minnesota – August 3, 2011 – The Better Business Bureau of Minnesota and North Dakota (BBB) regularly monitors advertising in newspapers, on TV and radio, as well as online advertisements. In recent months, we’ve noted an uptick in advertisements focused on weight loss, many promoting a dietary supplement called HCG. HCG stands for Human Chorionic Gonadotropin, a hormone produced in the body during pregnancy. Earlier this year, the Food and Drug Administration (FDA) pronounced the use of this product for dietary purposes ‘fraudulent and illegal.’ Based on the FDA’s assessment, the BBB is advising consumers to be extremely wary of any advertisements promising easy weight loss in conjunction with the use of HCG.

Clinical trials evaluated by the Federal Trade Commission (FTC), a federal agency that commits itself to protecting the marketplace by policing unfair practices, showed that claims made by firms marketing HCG could not be substantiated. In many HCG advertisements, what isn’t mentioned is that users of the product are counseled to consume less than 500 calories per day. This is what causes weight loss, not the HCG hormone. There have also been claims that the hormone will decrease hunger, but this is also unproven. Samuel Klein of Washington University School of Medicine says, “Data from most randomized controlled trials show that HCG is no better than a placebo in achieving weight loss or reducing hunger.”

While HCG may not be dangerous, Elizabeth Miller, the FDA’s leader for the Internet and Health Fraud Team, notes the drug is not approved for weight loss, and also declares it’s “at least a form of economic fraud.”

The fact that this diet requires such a low caloric intake could be dangerous to one’s health. The daily average recommended caloric intake is 2,500 for men, 2,000 for women and 1,800 for children. These numbers vary slightly based on age, weight, and height and activity level. Consuming only 500 calories daily has the potential to produce dangerous side effects such as blood clots, dizziness and Ovarian Hyperstimulation Syndrome (OHSS) in women, as well as undesirable side effects for people trying to lose weight, including rapid weight gain once a person returns to their normal caloric intake. The BBB strongly urges consumers to consult with a physician or certified trainer/dietician before beginning any diet or using any weight loss supplement.

At certain weight loss clinics HCG is still administered through injection by doctors even though, according to Dr. Cohen, M.D. of the Cambridge Health Alliance at Harvard Medical School, “Every single well-done trial showed that the HCG injections were no better [at improving weight loss] than a saltwater placebo.”

The Federal Trade Commission decreed back in 1976 that consumers signing up for injections of HCG be informed in writing that:

These weight reduction treatments include the injection of HCG, a drug which has not been approved by the Food and Drug Administration as safe and effective in the treatment of obesity or weight control. There is no substantial evidence that HCG increases weight loss beyond that resulting from caloric restriction, that it causes a more attractive or “normal” distribution of fat, or that it decreases the hunger and discomfort associated with calorie-restrictive diets.

Many HCG distributors advertise free trial offers, which the BBB considers misleading. Four companies offering HCG that were reviewed by the BBB stated they offer a 14 day trial for $5.99, or people can buy a 90 day supply, with the first month free. What consumers are often unaware of is that when they agree to the “free” trial they are also agreeing to purchase two months worth of HCG as well. This generally costs around $80.00.

For those considering trying weight loss supplements in order to lose weight, it’s important to remember that nothing can replace exercise and a well-balanced meal plan. The BBB offers some additional tips to follow when trying to lose weight:

Always consult with a physician, nutrition specialist or dietician before engaging in any diet.
Do not participate in diets that require starvation (cutting your caloric intake to less than 50% of your recommended amount).
Do not eliminate an entire food group or drastically reduce portions of certain food groups.
Avoid using products claiming the following:

Speedy results with little to no effort on the consumer’s part
No lifestyle changes are necessary
Weight loss exceeding two pounds per week
No exercise is necessary
That a patch or a cream will cause you to lose weight
You can continue consuming high-calorie foods and still lose weight
Promises long-term results without maintaining ongoing maintenance

Another Advance Fee Loan Co. Claims MN Address

8/10/2011

Posted on 8/10/2011 by
The Better Business Bureau of Minnesota and North Dakota is issuing a warning on a company calling itself Colonial Lending Group (www.coloniallenders.com). According to information in BBB files, this organization offers advance fee loans and also claims to be located in the Twin Cities - though the BBB is confident this is not the case.

Consumers are contacting the BBB and stating Colonial Lending Group is instructing them to wire money to Spain to cover upfront fees on their promised loans. After wiring money as instructed, consumers state the company failed to follow through on their loans and dropped out of contact.

The BBB reminds consumers that advance fee loans are illegal and advises against wiring money to anyone you don't know.

Be “Quick” and Keep Your Business Savvy and Up to Speed with QR Codes

8/3/2011

Posted on 8/3/2011 by

Quick Response codes, or QR codes for short, are popping up everywhere these days. From magazine ads to store windows, QR codes are the fastest way to get your tech-savvy customer to your business’ website. The Better Business Bureau of Minnesota and North Dakota (BBB) offers some “quick” tips for businesses considering implementing Quick Response codes for their business.

So what is a QR code, exactly? These 2 dimensional barcodes, which originated back around 1994, aren’t exactly new, but are now being used in fun, innovative, business-savvy ways that are luring in customers from around the globe.

By simply downloading a QR reader app for free, a QR code can be read quickly by your smart phone. Think of a barcode that can store much more data than you can imagine. Now think of all the places you can put such a small branding – the possibilities are – almost – endless. A business can use a QR code to show information such as directions to their business, their company’s BBB Business Review or even a URL that the viewer can click to receive a coupon. You can even put a QR on your business card with a link in the QR that takes the recipient directly to your website. Or add a QR that contains your contact information making it easy to add that info to a cell phone.

“QR codes are a fun way to attract customers to your company’s website or promotion,” said Dana Badgerow, president and CEO of the BBB. “You can get creative by placing the QR code in your email signature, allowing the viewer to go directly to your website. Or you can even have the code contain contact information, making it easy for the viewer to add it to his or her own cell phone.”

So what are other ways to use the code? And are there any risks? The BBB offers the following “quick” tips to businesses who are considering utilizing QR codes:

Choose the best locations. Many businesses are turning to the windows of their store, paper advertisements, business cards, email signatures, shirts, mugs, ties and other products to display their businesses’ QR code. Some businesses are even using the codes for promotional contests allowing for a creative way to reveal the customer’s prize.

How do you generate your own QR code for free? Many online sites offer free QR generators that spit out an easily copied code which can be used as a template for all of your QR code needs.

Are there risks? Just like with any other website, you should never use a QR code that will link to a website that you don’t trust. Make sure that the website is reputable and that the QR code is found in a trustworthy place. Like any other malicious website, QR codes can potentially direct you to a harmful website that can ultimately lead to a virus infiltration on your smart phone.

For more consumer and business news you can trust, visit www.bbb.org/us/bbb-news.

BBB Cautions Consumers on “Penny Auctions”

8/3/2011

Posted on 8/3/2011 by

Online “Penny Auctions” are quickly gaining popularity, and though they claim to offer consumers the opportunity to win quality merchandise at low prices, the Better Business Bureaus of Minnesota and North Dakota and Central Florida (BBB) are reminding people that purchasing bids only provides consumers the right to bid on an item; they do not guarantee any product in return. The BBB has also noted an uptick in consumer complaints regarding penny auction websites recently.

“Penny auctions” typically work like this: consumers visit websites where they’re told they can win auctions and receive products at exceptionally cheap prices, like a new iPad for $35. They then buy “packets” of bids at a particular rate, such as $1 per bid. If a consumer buys 100 bids, then that person is giving the website $100 straight away, which gives him/her an opportunity to bid 100 times, but does not guarantee any product in return. According to Moneywatch.com, consumers must pay a fee of 50 cents to $1 each time they bid, depending on the site, and each new bid extends the auction time by fifteen seconds. So while an eBay auction with two minutes left will end in exactly 120 seconds, a penny auction with 15 seconds left could go on for several hours – as bidders watch their account balances shrink.

One penny auction website – Grabswag.com – advertises frequently through Facebook pop-up ads and falsely claims BBB Accreditation. Complaints indicate Grabswag’s website claims to offer ten “absolutely free” bids for new customers who sign up with them. However, while conducting a secret shopping investigation recently, Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota, discovered the site required a credit card number and other personal information in order to receive the “absolutely free” bids. Shortly thereafter, Grabswag billed her account for $99, which is the price for a “Starter Pack.” When she tried to cancel after noticing the charge, the company’s call center (which is located in the Philippines and operated by a third party) refused to provide a refund in full but instead proposed successively better “resolutions,” going from offering a 50% refund to a 75% refund. Though Grabswag maintained they do not grant full refunds, they eventually agreed to issue a full credit.

“The company’s terms and conditions did not disclose any charge upfront, which is a huge concern,” said Badgerow. “What’s also concerning is that in some Internet browsers the terms and privacy policy do not open or allow the reader to scroll past the first paragraph. People have no way of knowing what they’re getting into.”

The BBB of Central Florida currently maintains the report on Grabswag’s parent company, Nextown Technologies, LLC. There is an alert on Nextown Technologies’ profile regarding the non-disclosure of the $99 charge, as well as pending complaints with that Better Business Bureau, all having to do with that concern.

The Better Business Bureau and the Federal Trade Commission advise customers to use caution when dealing with pay-to-bid online auction sites and offer the following tips:

Always refer directly to www.bbb.org for legitimate business ratings. Click on any website’s BBB Accreditation logo to view their BBB profile; if you are not directed to a BBB profile, the business is claiming false Accreditation. Also, verify the seller's identity and check on their reputation. Some sellers may use a forged e-mail header, making it impossible to contact them if you need to.
When you find a site that you feel comfortable doing business with, watch several auctions without bidding as a way to give yourself a frame of reference as to how the site works. It’s important to pay close attention to what you’re bidding on and how much time is left – every time a bid comes in, several seconds gets added onto the end of the auction, so save your bids until it’s close to the end.
Remember that bids ONLY provide the consumer the right to bid on an item, and do not guarantee any product in return.
Do not accept any offers to “free” trials that require a credit card number or personal information.
Be cautious if the seller asks you to pay by check or money order. Some online sellers have put items up for auction, taken the highest bidder's money and never delivered the merchandise. What's more, consumers who have paid by certified check or money order have had little recourse when it came to getting their money back.
Try to pay by credit card. If you don't get the merchandise, you can challenge the charges with your credit card issuer.
Ask about using an escrow agent, or paying by COD. Most escrow services charge a fee, so you may want to consider this option only for larger purchases.
Ask how you'll get follow-up service, if you need it. Many sellers don't have the expertise or facilities to provide service for the goods they sell. Is this important to you?
Avoid impulse bids and purchases. Online auctions may be enticing, but always research the product before bidding to understand a fair price.
Ask about return policies. Returning merchandise to an online seller may be difficult.

For more information about online auctions, visit the FTC's web site on the Internet at www.ftc.gov.

Reporters: for more information or to schedule an interview with a BBB of Minnesota and North Dakota spokesperson, contact Dan Hendrickson at 651-695-2463. To speak with a BBB of Central Florida spokesperson, contact Holly Salmons at 407-478-2958.

BBB alerted to another suspect website

7/22/2011

Posted on 7/22/2011 by
The Better Business Bureau of Minnesota and North Dakota has been alerted to www.smart-liquidation.com, a website claiming to offer discount furniture, exercise equipment and swingsets. The website asks consumers to make payments with Green Dot MoneyPak cards, and the website's graphics and content of are very similar to www.directhomefitness.com, a now-defunct website which claimed to offer home exercise equipment at steeply discounted prices. The BBB issued an alert on www.directhomefitness.com after customers reported merchandise they had ordered and paid for was not delivered and the company dropped out of contact.

The BBB is urging consumers to be extremely wary of websites or Craigslist ads that link to websites which ask customers to wire money or pay with a MoneyPak gift card. Consumers should never give their MoneyPak number to someone they don't know. MoneyPak cards should be treated like cash; transactions cannot be reversed.

Any time you receive a suspicious offer or find a deal too good to be true, take time to investigate it. Visit BBB.org or contact your local BBB.

Don’t Fall Victim to Unexpected Cell Phone Data Charges when Traveling Abroad

7/11/2011

Posted on 7/11/2011 by

Nowadays, cell phone users are surfing the web, receiving emails and watching movies all on their smart phone with the click of a button from just about anywhere. However, when traveling abroad, many consumers fail to recognize that their data plan is constantly in use even when they think their phone isn’t. The Better Business Bureau of Minnesota and North Dakota (BBB) is advising consumers to either turn off their phone or make the necessary data arrangements with their cell phone provider to avoid thousands of dollars worth of data charges while traveling abroad this summer.

Last year alone, the BBB received more than 27,000 complaints against the cell phone industry, some of which were from customers who were unaware that their data was still in use as they traveled outside of their coverage area or outside of the United States. One particular customer was charged more than $1,200 when his cell phone auto-received his emails daily during a one week stay in Jamaica.

According to the Federal Communications Commission (FCC), "roaming" is the term that describes a wireless phone’s ability to make and receive calls outside the home calling area under your service plan. When your phone is roaming, an indicator light on your phone may display the word "roam." On occasion, your handset will not display a roaming indicator, even though it is in a roaming area. Before traveling abroad or out of your coverage area, it’s important for consumers to be proactive and contact their provider for specific details regarding their individual data and roaming plan.

"While the international roaming charges may vary from provider to provider, many of the fees can come as a surprise to travelers," said Dana Badgerow, president and CEO of the BBB. "To prevent the unexpected roaming charges, contact your cell phone provider to clarify where you are covered and the data plans that can be purchased when traveling abroad."

The BBB advises consumers to do the following with their cell phone and cell phone provider in preparation for a trip abroad this summer:

Turn off your phone. If you don’t need your phone and don’t plan on using it while traveling abroad, turn it off. Some travelers opt for renting or buying international cell phones. Many rental plans offer services that work in several countries and may provide free incoming calls.

Contact your cell phone provider. Many cell phone users know not to make calls or send text messages while out of their coverage area or abroad, but many fail to realize that their data is in use even when they don’t think it is. For the occasional traveler, who doesn’t talk on the phone that frequently, it may be worth looking into an international add-on plan. Your cell phone carrier can provide specific tips that cater to the roaming needs of your individual cell phone and data plan.

Invest in a prepaid SIM card. For the frequent, chatty travelers, or long-term travelers, investing in a prepaid SIM card may be the best way to cut costs. With access to a local phone number, you’ll be able to make phone calls at the country’s local rate. Always check with BBB at www.bbb.org before choosing an international service provider. Many companies offer SIM cards that can be purchased and can include free incoming calls originating from anywhere in the world.

For more travel tips you can trust, visit www.bbb.org/us/bbb-news.

Sweepstakes Scam Has Ties to Duluth

7/7/2011

Posted on 7/7/2011 by

Saint Paul, Minnesota – July 7, 2011 – A sweepstakes scam which conned a consumer in Roanoke, Virginia recently leads back to Duluth, Minnesota. The Better Business Bureau of Minnesota and North Dakota (BBB) was contacted by the BBB of Western Virginia last week after a consumer in their area reported mailing a money order to someone in Duluth to pay fees on purported sweepstakes winnings of $1.5 million dollars. The winnings were non-existent and the consumer lost the money they sent to the Duluth address.

The BBB advises consumers to be extremely leery of letters, faxes, emails or phone calls telling them they’ve won prizes, lotteries or sweepstakes. “Sweepstakes scams are prevalent nationwide and they tantalize people with promises of instant wealth for relatively low upfront payments,” said Dana Badgerow, president and CEO of the BBB. “For a chance at a big payday, many people figure laying out $500 to $3,500 of their own money is worth any risk. We’re here to tell you it’s not.”

In the case of the Roanoke consumer, they were contacted by phone and told they had won the prize of $1.5 million dollars. Originally, they were told they would need to pay $3,500 upfront to receive their winnings, but the consumer told the scammers they couldn’t afford that. After settling on a fee of $250, the consumer mailed that amount to a Duluth address. According to the United States Postal Inspection Service (USPIS), which investigated this matter, there is an individual in Duluth actively participating in this scam. This individual is believed to be keeping a small portion of payments they collect and wiring the rest to Jamaica, a hotbed for scams targeting Americans. This person has been warned their mail will be monitored and that they run the risk of being arrested if they continue to process payments from victims of this scam.

“Postal Inspectors want to remind individuals if you are contacted by anyone that directs you to send money to pay for a prize or sweepstakes that you have won, odds are it's a scam,” said U.S. Postal Inspector Jeffery Long. “Before you send money away, run the offer by a friend or family member to see if they think it’s a good idea. Always be sure to do your homework first.”

Sweepstakes and lottery scams steal millions of dollars from unsuspecting people every year. Legitimate lottery or sweepstakes companies will never ask you to pay money upfront in order to collect your winnings. They will also not ask you for personal information. If you receive any form of notification that you are a prize winner in a lottery or sweepstakes, contact the BBB (www.bbb.org) and check it out before you become the next victim of this type of scheme.
If you fall victim to a sweepstakes scam, report your experience to local law enforcement. If the mail service was involved, you should contact the USPIS at https://postalinspectors.uspis.gov/.

The BBB is also warning consumers not to take part in perpetrating sweepstakes scams. People sometimes respond to job postings they find online offering employment processing payments or shipping merchandise from their homes. They often don’t realize they’re going to work for scammers and their ‘job’ involves forwarding payments from scam victims or reshipping stolen merchandise (or merchandise paid for with stolen credit cards) out of the country. Worse, their compensation is a small portion of the illicit proceeds they forward on to the operators of the scam or a flat payment for each order they re-ship. According to the USPIS, people who assist criminals in schemes like this are committing a felony. To avoid becoming tangled up in a reshipping scam, consumers are advised to steer clear of any questionable employment offers and not to accept packages at their address for people they don’t know.

If you’ve been tricked into participating in one of these reshipping scams, you should:

Cease communication with operators who try to solicit your help in reshipping items.
Keep all correspondence (emails, faxes, etc.) related to these scams.
If you already have merchandise from such an offer, don’t mail it. Contact the U.S. Postal Inspection Service at 1-877-876-2455. They’ll help return stolen items back to the rightful owners.

Reporters: For more information or to schedule an interview with a BBB spokesperson, contact Dan Hendrickson at 651-695-2463 or dhendrickson@thefirstbbb.org. To speak with a USPIS spokesperson, contact Jeffery Long at 612-349-4703 or jdlong@uspis.gov.

Star Tribune names BBB of Minnesota and North Dakota to Star Tribune’s Top Workplaces 2011

6/30/2011

Posted on 6/30/2011 by
St. Paul, MN June 20, 2011—The Better Business Bureau of Minnesota and North Dakota has been named one of the Top 100 Workplaces in Minnesota based on an employee-based survey project from the Star Tribune. The Star Tribune Top Workplaces special section was published on Sunday, June 19. The report can also be found at www.StarTribune.com/topworkplaces2011.

Produced by the same team that compiles the 20-year-old Star Tribune 100 report of the best-performing public companies in Minnesota, Top Workplaces recognizes the most progressive companies in Minnesota based on employee opinions about company leadership, communication, career opportunities, workplace environment, managerial skills, pay and benefits. The analysis included responses from over 60,500 employees at Minnesota public, private and nonprofit organizations.

The rankings in the Star Tribune Top 100 Workplaces are based on survey information collected by WorkplaceDynamics, an independent company specializing in employee engagement and retention.

The Better Business Bureau was ranked 18th on the small company list.

“Making this list is very gratifying and clearly reflects the satisfaction our employees feel as well as their deep belief in our mission,” said Dana Badgerow, president and CEO of the BBB.

Star Tribune Publisher Michael J. Klingensmith said, “The companies in the Star Tribune Top 100 Workplaces deserve high praise for creating the very best work environments in the state of Minnesota. My congratulations to each of these exceptional companies.”

With over 6,300 locally Accredited Businesses representing a variety of industries, professions, and company sizes, the BBB of Minnesota and North Dakota is a non-profit organization that seeks to maintain a marketplace where buyers and sellers can trust each other. The BBB will celebrate its Centennial in 2012. Contact the BBB at www.thefirstbbb.org or 651-699-1111, toll-free at 1-800-646-6222.

To qualify for the Star Tribune Top Workplaces, a company must have more than 50 employees in Minnesota. Over 1,200 companies were invited to participate. Rankings were composite scores calculated purely on the basis of employee responses.

Robocalls are Phishing for Credit Card Information

6/29/2011

Posted on 6/29/2011 by
The Better Business Bureau of Minnesota and North Dakota (BBB) has been contacted by a consumer receiving persistent and fraudulent solicitations seeking credit card information. The number that appears on caller ID contains the 701 North Dakota prefix, but we’re confident the calls are not originating in North Dakota – though North Dakota consumers may be targeted by this phishing scam. Consumers are advised to be wary of calls like this and never provide credit card or personal information to unknown parties.

Online message boards discussing calls from this same phone number indicate an automated message informs consumers that either their accounts are locked or they’re eligible to receive lower rates on their credit cards. The message then tells them to enter 1 to continue. Some consumers claim they were then prompted to enter their 16-digit credit card number. The BBB has tried calling the number that appeared on consumers’ caller IDs, but received an automated message saying all circuits were busy.

“Perpetrators of scams like this identify themselves in broad terms like ‘Client Services’ to deceive consumers,” said Dana Badgerow, president and CEO of the BBB. “We urge people to verify everything and not to be swayed by tempting offers which sound too good to be true.”

Robocalls like this are prohibited by the FTC. Consumers who receive these types of calls should report them at www.donotcall.gov or by calling 1-888-382-1222. If you’re ever confronted with an offer you’re not sure about, contact your local BBB or visit www.bbb.org.

Don’t Fall Victim to High Pressure Magazine Sellers this Summer

6/28/2011

Posted on 6/28/2011 by
Saint Paul, MN. – June 21, 2011 – The Better Business Bureau of Minnesota and North Dakota (BBB) receives thousands of complaints each year from consumers who have unknowingly purchased multi-year magazine subscriptions. Unscrupulous telemarketers sometimes trick consumers into buying subscriptions to magazines they don't want or can't afford. The BBB is warning that deceptive door-to-door magazine sales crews are also hitting the pavement this summer and they’re looking to earn a quick buck.

Oftentimes, these in-person presentations are so slick that consumers aren't even aware that they’ve purchased magazine subscriptions – until they receive the bill. The BBB has already received almost 700 complaints regarding door-to-door magazine sellers and dealers this year, a number that’s well on its way to topping last year’s nearly 1,200 complaints. These high pressure sellers use practiced tactics that can hook almost anyone.

“With summer here, you can bet an eager group of door knockers from all trades will be at your front doorstep,” said Dana Badgerow, president and CEO of the BBB. “Most complaints against salespeople selling magazine subscriptions allege that sales representatives took their check and the magazines never arrived, while other complainants allege being subjected to high-pressure and misleading sales tactics.”

The BBB recommends the following on how to handle door-to-door magazine sellers:

Listen carefully and be aware of high pressure sales tactics. Some unscrupulous door-to-door sellers will put pressure on you to close the deal at that moment, and even make special offers to entice you. Listen to their tone. Are they speaking more loudly as they get deeper into their sales pitch? Are they ignoring you despite your saying that you’re not interested? If so, find a way to end the conversation quickly.

Stand strong. Do not invite unsolicited salespeople into your home. If you do allow a salesperson inside and decide during the presentation that you are not interested in making a purchase, simply ask them to leave. If the salesperson refuses to leave, tell them you will call the police – and follow through if they don’t leave immediately.

Verify the individual and the company. If you are interested in buying from a door-to-door magazine salesperson, get everything in writing including price, subscription duration and all terms and conditions. Tell the salesperson you will check it out and get back to him or her. Ask for a business card and contact information. Look the company up yourself and check to verify the salesperson is an employee. Also, be sure to take the time to check out the company’s BBB Business Review at www.bbb.org.

Know your rights. The Federal Trade Commission’s Three-Day Cooling-Off Rule gives the customer three days to cancel purchases over $25 that are made in their home or at a location that is not the seller’s permanent place of business. Along with a receipt, salespeople should also include a completed cancellation form that customers can send to the company to cancel the agreement. By law, the company must give customers a refund within 10 days of receiving the cancellation notice.

Victims of fraudulent magazine sales can file a complaint with their Better Business Bureau at www.bbb.org, as well as with their local law enforcement, and state Attorney General’s offices.

Social Security scam targets MN consumers

6/24/2011

Posted on 6/24/2011 by
A resource specialist at the BBB of Minnesota and North Dakota received a call yesterday from a consumer who said they had been scammed at a website claiming to offer replacement Social Security cards. The website, which has been shut down, requested payment upfront and then referred the consumer to a nearby Social Security office where they could pick up their new card (in a few days). When they went to the Social Security office, they were told the website was not legitimate and they do not require payment for replacement Social Security cards.

Consumers are advised that it's important to be careful when doing Internet searches to find government agencies. There are many fake websites (which look official) designed solely to defraud consumers. Less people are using phone books to find information these days, but they're still a reliable means of finding contact information. When using the Internet, always be leery of websites where you're asked to pay money upfront.

Phone Scam Targets Twin Cities Residents

6/20/2011

Posted on 6/20/2011 by
A St. Paul consumer contacted the BBB of Minnesota and North Dakota today to say they received a call informing them they had won a prize package, which included a new car. The consumer was immediately skeptical and told the caller that. The scammer then claimed a Better Business Bureau affiliation and promised the prize package was real.

At that point, the consumer thanked the caller for their time and said they would check this out with the BBB. An operator at the BBB quickly informed the consumer the offer was fraudulent. The consumer also reported the call they received came up on caller ID as having an 876 prefix, which indicates the call came from Jamaica. Many phone scams targeting Americans originate in Jamaica.

All consumers are advised to be extremely leery of calls informing them they've won cash or prizes - especially calls claiming an affiliation with the BBB or FTC. Neither of these agencies award prizes of any kind, nor do they endorse any contests or sweepstakes.

In virtually every case, calls like this are fraudulent in nature and designed solely to defraud consumers. Anytime you're told you have to pay money upfront to claim a prize, you haven't won anything.

BBB, DPS warn of MoneyPak scams

6/16/2011

Posted on 6/16/2011 by

Online scammers turn to reloadable debit cards to defraud consumers

Saint Paul, Minnesota – June 15, 2011 – The Better Business Bureau of Minnesota and North Dakota (BBB) and the Minnesota Department of Public Safety’s (DPS) Alcohol and Gambling Enforcement Division (AGED) are warning consumers that online thieves have found a new method of siphoning cash from them: Green Dot MoneyPaks. MoneyPaks, which are sold in stores throughout the U.S., are reloadable debit cards normally used to make same-day payments or add money to prepaid cards or PayPal accounts. In recent weeks, both the BBB and the DPS have noted a significant increase in schemes where scammers either tried to solicit – or were able to collect – payments via MoneyPak for merchandise, advance fee loans or sweepstakes prizes that all proved to be fraudulent or nonexistent.

“Both of our agencies are noticing that more and more scammers are moving away from seeking payments via wire transfer and instead asking consumers to give them money via MoneyPaks,” said Dana Badgerow, president and CEO of the BBB. “We feel this is likely due to the fact this form of payment is quite convenient – for both consumers and scammers – and untraceable.

The BBB and DPS say any website requesting payment via a MoneyPak is likely a scam. They also say people should be very cautious when using MoneyPaks to pay companies or individuals they don’t know, and want people to understand that once they load a MoneyPak with funds, anyone they share the number of that card with will also have access to those funds.

Bill White, an agent with AGED, says fraudsters will convince consumers to put money into their MoneyPak card, get them to share its serial number, and then the scammers empty the card of funds, leaving consumers empty-handed.

“These scammers are smart and are extremely effective at gaining trust of their victims and convincing them they’ve won a prize,” says White. “The base rule to avoid being scammed is to understand that legitimate lotteries do not require you to pay fees upon winning. In this specific case, never give a MoneyPak serial number to anyone you don’t know.”

In the last two weeks alone, the BBB and DPS have received reports from consumers who:

Were asked to pay advance fees on bogus loans with MoneyPaks.
Were told they had won cash prizes of hundreds of thousands of dollars, but would first have to provide payment via MoneyPaks to claim their winnings.
Purchased heavily discounted home exercise equipment they found advertised on a fraudulent website (www.directhomefitness.com), but after paying hundreds of dollars for it with a MoneyPak discovered the merchandise was nonexistent.

To avoid falling for MoneyPak scams, consumers should:

Be wary of websites or Craigslist advertisements linking to websites where customers are asked to pay with a MoneyPak card.
Never give their MoneyPak number to someone they don't know.
Keep in mind advance fee loan offers are not legitimate and are targeted at customers and companies who are struggling with debt and poor credit, often making bad situations worse.
Remember that if you’re told you have pay to a fee – via MoneyPak or wire transfer - to collect a cash prize or sweepstakes winnings, you haven’t won anything.
Avoid offers that do not accept credit card payments and ask you to purchase a MoneyPak and then provide the MoneyPak number in an email or over the phone.
Beware of websites requesting MoneyPak as a form of payment even if they display the MoneyPak or Green Dot logo. Consumers should check www.moneypak.com for a list of approved MoneyPak partners.
Treat their MoneyPak cards like cash. Remember that transactions cannot be reversed.

On their website, Green Dot says MoneyPaks should only be used to reload prepaid cards or accounts you control. They also advise people who are using MoneyPak with PayPal for eBay or other online merchants to transfer money to their PayPal account before paying the merchant; people should not email the MoneyPak Number directly to the merchant. Green Dot also states they are not responsible for the quality or non-receipt of any goods or services.

Consumers who have been scammed by fraudulent offers involving Green Dot MoneyPaks should contact their local law enforcement and file a claim, as well as file complaints with the Minnesota Department of Public Safety (www.mnscams.org) and the FTC (www.ftc.gov).

Reporters: for more information or to schedule an interview with a BBB spokesperson, contact Dan Hendrickson at 651-695-2463. To speak with a DPS spokesperson, contact Bill White at 651-201-7530.

BBB Advice on Avoiding Wedding Scams

6/15/2011

Posted on 6/15/2011 by
Love is in the air as many couples prepare for their long-awaited wedding day this summer. When preparing for a wedding, the Better Business Bureau of Minnesota and North Dakota (BBB) advises people to proceed with caution when it comes to buying a wedding dress online, choosing a photographer and selecting a wedding planner. Doing so will help you ensure the big day goes off without a hitch.

Asking for referrals and doing a little research can help ensure your special day goes smoothly. Last year alone, the BBB received more than 970 complaints against wedding-related businesses. Services like wedding planners, bridal shops, car or limousine rentals, DJs, wedding photographers, florists, and jewelers all made the list. Many of the common complaints were centered on the company’s unwillingness to honor cancellation and refund policies after a deposit had been paid.

From choosing a florist to picking out the perfect wedding gown, more and more couples are opting for online retailers. While most venues have the brides’ best interest at heart, it’s important to recognize the danger signs before shelling out the cash to unreliable businesses.

“With the cost of today’s wedding averaging around $28,000, you want to make sure you get everything you pay for,” said Dana Badgerow, president and CEO of the BBB. “Before securing your wedding vendors and paying any upfront fees it’s important to do your research.”

The BBB recommends couples consider the following when planning for their special day:

Research all online vendors. When choosing to go with an online retailer for your wedding services or products, start with a trusted site rather than shopping with a search engine. Search results can often lead you to unscrupulous websites or phishing scams. Also, look for the BBB seal and other widely-recognized “trustmarks” on retail websites. Click on the seals to confirm they’re valid. Confirm that your online purchase is secure by looking for the “s” after “http” in the URL or the lock symbol in the lower right-hand corner of the screen. Be sure to check the company out with the BBB at www.bbb.org before doing business with them.

Review all terms and conditions. Whether you’re dealing with an online firm or a brick and mortar store, review the terms and conditions of the contract carefully. What are the company’s refund and exchange policies? What is their cancellation policy? What happens if the company can’t hold up their end of the bargain? Who will perform the service on your special day? Be sure you understand your rights as a consumer before doing business with the company.

Keep documentation of your order. For online orders, save a copy of the confirmation page or e-mails confirming the order until you receive the item or service and are satisfied. If you’re dealing with a company personally, be sure to get all details in writing, including specific dates, products, prices, cancellation and deposit policies and signatures from both parties.

Pay with a credit card. Credit cards offer consumers the added protection of disputing any charge over $50 within 60 days of the purchase. Most established businesses accept major credit cards, so use them whenever possible, including payment for deposits Shoppers also have dispute rights if there are unauthorized charges on the card, and many card issuers have “zero liability” policies if someone steals your card number and uses it. Never wire money.

Consider purchasing wedding insurance. Wedding insurance can cover a range of prospective problems including vendor no-shows, cancellations, inclement weather, military deployment, medical emergencies, travel delays and more. Many policies start at $200 and can potentially save you thousands of dollars.

For more consumer tips you can trust, visit www.bbb.org/us/bbb-news.

Scammers Offering Cheap Home Exercise Equipment - Don't Buy It!

6/10/2011

Posted on 6/10/2011 by
The Better Business Bureau of Minnesota and North Dakota is hearing from consumers who have lost money on offers they found on Craigslist advertising home exercise equipment at 50% off in some cases. They say that after paying for their exercise equipment with Green Dot MoneyPak gift cards, the merchandise they ordered was not delivered and the scammers dropped out of contact.

According to consumers and information in BBB files, these scammers are moving from Craigslist ad to Craigslist ad, website to website, making the same fraudulent offer. The most recent bogus site -- allegedly offering discounted home exercise equipment -- reported to the BBB was www.directhomefitness.com.

To avoid falling for this scam, consumers should:

Be wary of websites or Craigslist advertisements linking to websites where home exercise equipment is offered at steep discounts.
Be suspicious of websites that ask customers to wire money or pay with a MoneyPak gift card. Consumers should never give their MoneyPak number to someone they don't know.
Beware of websites requesting MoneyPak as a form of payment even if they display the MoneyPak or Green Dot logo. Consumers should check www.moneypak.com for a list of approved MoneyPak partners.
Treat your MoneyPak card like cash. Transactions cannot be reversed.

Consumers who have been scammed by fraudulent offers like this should contact their local law enforcement and file a claim, as well as file complaints with the FTC (www.ftc.gov) and at www.ic3.gov.

Another Advance Fee Scammer Claims Fargo, ND Address

6/8/2011

Posted on 6/8/2011 by
The Better Business Bureau of Minnesota and North Dakota has discovered another advance fee loan company claiming to operate out of Fargo, North Dakota. Last week, our BBB issued an alert on Fraser Brokerage, a company promising consumers advance fee loans over the telephone, a practice which is illegal in the U.S. and Canada.

Earlier this week, Wakefield Financial, another fraudulent online entity offering advance fee loans -- and claiming a Fargo address -- was brought to our attention. The BBB is confident they are not actually at this address. Two U.S. consumers have fallen victim to this company so far and in each case they wired money to Spain and then did not receive promised loans.

People should be extremely wary of any website that guarantees loans regardless of credit and should also never wire money (or send it via MoneyPak) to anyone they don't know. It is the experience of the BBB that people who pay fees upfront to online entities like this never receive their loans.

Advance Fee Loan Company Claims Fargo Address

6/7/2011

Posted on 6/7/2011 by

Same Street Address as Better Business Bureau’s Fargo Office

Saint Paul, Minnesota – June 3, 2011 – The Better Business Bureau of Minnesota and North Dakota (BBB) is warning consumers and businesses to be wary of an advance fee loan company calling itself Fraser Brokerage, which claims a Fargo address. The address the company is claiming – 51 Broadway – is the same as the BBB’s Fargo office. After a quick check of the building and its listed tenants, the BBB has determined the company is not at this address and the suite number they provided does not exist.

“Most offers like this require a little legwork to look into,” said Dana Badgerow, president and CEO of the BBB. “However, in this case, a quick elevator ride was all we needed to do to confirm the company was not where they said they were, a clear indication they are not a legitimate organization.” A BBB representative who contacted the company at their listed number in an attempt to verify their address was hung up on.

A consumer contacted the BBB on Wednesday to say Fraser Brokerage had offered them a $5,000 loan, but first the consumer would have to make four payments of $147 upfront, a hallmark of an advance fee loan scam. Many companies advertise easy loans online at favorable rates, and then seek payments from consumers in advance to secure these alleged loans. Unfortunately, these loan offers are not legitimate and are targeted at customers and companies who are struggling with debt and poor credit, often making bad situations worse.

Advance Fee loan offers have been around for a long time and seem to surge when money and credit are tight. Offers of this nature are usually found online, in the classified sections of newspapers and magazines, or else potential victims are contacted directly via phone or email. Often with very little or no background check at all, customers are told they qualify for loans. After filling out all necessary paperwork, they are then asked to pay an upfront fee of anywhere from $300 to $3,000. The fee is either paid by wire transfer, often to locations outside the U.S., or debited directly out of the consumer’s checking account. It is the experience of the Better Business Bureau that customers who pay these upfront fees never receive their loans. Generally, once the requested fees are paid the companies making the offers cease contact or their phone numbers are eventually disconnected.

In the case of the consumer who contacted the BBB regarding Fraser Brokerage, they reported company representatives asked them to go to a Walmart and purchase a MoneyPak, which is a means of transferring money quickly and easily. The BBB advises consumers not to send money in this fashion to anyone they don’t know.

The BBB of Minnesota and North Dakota has not received any complaints against Fraser Brokerage, but have awarded the company a rating of “F” due to their nature of business.

To avoid falling victim to advance fee loan offers, the BBB advises the following:

If you’re asked to pay a fee upfront or wire funds to receive your loan, the offer is not legitimate. According to the Federal Trade Commission, it’s illegal for companies doing business by phone in the U.S. to promise you a loan and ask you to pay for it before they deliver. Requiring advance fees for loans is also illegal in Canada.
Be especially leery of websites that provide no contact information and promise fast, easy loans to all who apply – regardless of credit.
Be sure to check the company’s reliability report with the Better Business Bureau at www.bbb.org.
Remember, the Internet is full of bogus offers. If it sounds too good to be true, it probably is!

The mission of the Better Business Bureau is to promote through self-regulation, the highest standards of business ethics and conduct, and to instill public confidence in responsible businesses through programs of education and action that inform, protect and assist the public. Contact the BBB at www.thefirstbbb.org or 651-699-1111, toll-free at 1-800-646-6222.

Why Businesses Support Us

6/7/2011

Posted on 6/7/2011 by Dan Hendrickson

A lot of people tend to think the Better Business Bureau is a government agency. However, we are NOT a government agency, nor do we receive tax dollars. Rather we are a non-profit agency supported by our 6,300 Accredited -- or member -- Businesses in Minnesota and North Dakota.

Why do companies support us? They do it for a wide variety of reasons, of course. Some certainly become accredited with us for the services and programs we provide in return – such as increased visibility, co-branding opportunities and free mediation and arbitration services. Some because they know 7 out of 10 people prefer to do business with companies who belong to the Better Business Bureau.* But all of our member companies believe in an organization devoted to encouraging ethical behavior and maintaining a marketplace where buyers and sellers can trust each other; they believe in the work that we do and the things that we stand for.

Our member companies know that we serve and support the communities they do business in and that we offer valuable educational outreach to students, seniors and everyone in between. They know that every weekday from 8 a.m. to 5 p.m. the BBB has trained operators available to answer questions from the public and help them make informed purchasing decisions. They know that we’re constantly monitoring the marketplace for scams which target both businesses and consumers. Finally, they know that every dollar we prevent consumers from losing to scams and fraudulent offers is a dollar they have to spend with legitimate businesses.

The Better Business Bureau plays a pivotal role in the health of our marketplace. Thanks to the support of our Accredited Businesses we’re able to: provide a forum where businesses and customers can resolve their differences amicably; monitor advertising in Minnesota and North Dakota and challenge questionable claims by advertisers; offer free Business Reviews on companies (both accredited and non-accredited); and provide the public with timely fraud alerts and updates regarding unethical business practices. Our presence helps minimize the need for more restrictive government regulations.

The marketplace has changed a lot since 1912, the year the Better Business Bureau was founded (right here in Minneapolis!), but one thing that won’t ever change is the need for an organization devoted to making businesses better and standing up for the little guy. Those two things might seem somewhat contradictory, but actually one of our roles is to gently remind businesses that they become better when they stand up for the little guy.

Business or customer, we’re your Better Business Bureau! We appreciate the support of our Accredited Businesses and hope that you’ll support them as well!

*According to a 2007 Princeton Research Survey

Customers Report Delays in Shipments from MN Organic Food Retailer

6/2/2011

Posted on 6/2/2011 by

June 1, 2011 – St. Paul, MN – Customers are contacting the Better Business Bureau of Minnesota and North Dakota (BBB) regarding problems they’re experiencing with Nature’s Prime Organic Foods, Inc., an online organic food retailer operating out of Victoria, Minnesota. The BBB processed twenty customer complaints filed against the company in the month of May, all alleging issues with delays in delivery or non-delivery of products.

“A significant uptick of complaints is always a cause for concern,” said Dana Badgerow, president and CEO of the BBB. “And though the company seems to be responding to and working to resolve the complaints we’re forwarding to them, we’re not yet seeing signs that the underlying cause of the delays in deliveries is being addressed.”

Consumers have stated that after placing orders on the company’s website and having their credit cards charged, the company failed to deliver their orders in the agreed-upon timeframe. Some customers report that the company did not return many of their inquiry phone calls and emails. Others say after contacting the company about delayed shipments, Nature’s Prime Organic Foods, Inc. missed promised follow-up delivery dates. In other cases, consumers have reported receiving only partial orders.

The company has addressed many of the complaints forwarded to their attention by the BBB and resolved some of them by delivering the ordered goods or by issuing credits. Some recent complainants have requested that their orders be cancelled and their credit cards be refunded. Currently over a dozen complaints are pending, and the BBB is in the process of updating the company’s report.

The Better Business Bureau contacted Nature’s Prime Organic Foods, Inc. in late April of this year in an attempt to discuss and learn more about the spike in customer complaints. The company responded to the message left by the BBB, but did not address the cause of the increase in complaint activity.

If you’re considering ordering food from an online supplier, the BBB recommends:

Paying with a credit card. It’s best to use a credit card, because under federal law, the shopper can dispute the charge if he or she doesn’t receive the item.
Keeping documentation of your order. After completing the online order process, there may be a final confirmation page or the shopper might receive confirmation by e-mail. The BBB recommends saving a copy of that as well as any e-mails for future reference and as a record of the purchase.
Know your rights. Federal law requires that orders made by mail, phone or online be shipped by the date promised or, if no delivery time was stated, within 30 days. If the goods aren’t shipped on time, the shopper can cancel and demand a refund. There is no general three-day cancellation right, but consumers do have the right to reject merchandise if it’s defective or was misrepresented. Otherwise, it’s the company’s policies that determine if the shopper can cancel the purchase and receive a refund or credit.

Don’t Pay for Free Advice on Scholarships for College

5/27/2011

Posted on 5/27/2011 by

Saint Paul, MN – May 25, 2011 – The academic year is winding down, and many high school students are preparing to apply for financial aid as tuition costs continue to rise. Each year, millions of people depend on grants and scholarships to pay for college. Navigating the process of applying for financial aid can be confusing and some companies claim they can help, but often only end up charging fees for information and assistance the student can already get for free elsewhere. The Better Business Bureau of Minnesota and North Dakota (BBB) recommends doing your research before paying a company to find financial aid for college.

During the 2009-2010 school year, $94 billion in grants were made available to college students to help cover education costs, according to The College Board. Sources of the funding included federal and state government, institutions, private entities and employers.

“Times are tight and many families desperately want to tap into the well of scholarships and grants to help their kids go to college,” said Dana Badgerow, president and CEO of the BBB. “Unfortunately, some companies are trying to take advantage of this situation. The good news is that all the information you need is already available for free.”

Every year, the BBB receives complaints from parents who paid money upfront to a company that promised to find scholarships and grants for their child but ultimately didn’t deliver.

The BBB recommends listening for the following red flags when receiving the sales pitch from a financial-aid finder:

“The scholarship is guaranteed or your money back.” In reality no one can guarantee that they will get you a grant or scholarship. The refund guarantees that are offered usually have so many conditions or strings attached that it is almost impossible for consumers to get their money back.
“You cannot get this information anywhere else.” Actually, scholarship information is widely available in books, from libraries and financial aid offices and on the Internet, if you are willing to search for it.
“We will do all the work.” Only parents and students can really determine and provide the financial information needed to complete the forms.
“You have been selected by a national foundation to receive a scholarship.” If you have not entered a competition sponsored by the foundation, this claim is highly unlikely.
“May I have your credit card or bank account number to hold this scholarship?” This is never a requirement for a legitimate scholarship offer.
“The scholarship will cost some money.” Legitimate scholarship offers never require payment of any kind.

For more information on finding financial aid for school, visit www.fafsa.gov. For more BBB advice on managing personal finances and avoiding scams visit www.bbb.org/us/Consumer-Tips.

“Secure Your ID” Day a Success in Bismarck and Fargo

5/25/2011

Posted on 5/25/2011 by

Nearly Four Tons of Documents Collected for Shredding

Saint Paul, Minnesota – April 18, 2011 – Despite inclement weather, the Better Business Bureau of Minnesota and North Dakota (BBB) and AARP North Dakota are proud to proclaim “Secure Your ID” Day a success. The dual events, held Saturday in Bismarck and Fargo, attracted 450 participants and a total of almost four tons of sensitive documents were collected for shredding. BBB experts were also on hand to provide practical tips on how to prevent identity theft online and off.

“It’s a tribute to the hardiness of North Dakota – and Minnesota – citizens that so many braved the elements to participate in this great event, taking a crucial step in protecting themselves from identity theft,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “Consumer turnout for Secure Your ID Day has increased each year and we look forward to that trend continuing in the future.”

“Secure Your ID” Day events are held twice yearly in North Dakota, and are sponsored by the BBB and AARP ND, along with local partners The Bismarck Tribune, The Forum, Recall and Wells Fargo. The next “Secure Your ID” Day is scheduled for this fall, with details to be announced soon.

For more information on the BBB’s “Secure Your ID” Day and identity theft prevention measures for both consumers and businesses, visit: www.us.bbb.org/secureID.

BBB and AMSA Offer Advice on Avoiding Moving Scams this Summer

5/17/2011

Posted on 5/17/2011 by
Following a few simple rules when selecting a mover will go a long way toward protecting yourself from being victimized by scams this summer, according to the Better Business Bureau (BBB) and the American Moving & Storage Association (AMSA). Chief among them: make sure you know who you’re hiring and know your rights.

May is National Moving Month, the start of the busiest time of the year for changing residences. More than 37 million Americans—or about 13 percent—move to a different home every year, according to the latest U.S. Census Bureau statistics.

Every year, however, both the BBB and AMSA receive complaints from consumers who have fallen prey to dishonest and often unlicensed moving companies. The BBB received more than 8,900 complaints against movers in 2010—a five percent increase over the previous year—primarily about damaged or lost goods and final prices in excess of original estimates. In a too-frequent worst-case scenario, the moving company holds the customer's belongings “hostage” and requires potentially thousands of dollars to unload the van.

One particularly-egregious complaint last year involved a consumer who hired a moving company found on Craigslist. A-1-A Jay's Way Moving quoted a reasonable price of $80 per hour. It wasn’t until they arrived at the new apartment that A-1-A Jay’s Way Moving upped the price to $800 – practically doubling the quoted price. Demanding the payment in cash, A-1-A Jay’s Way Moving refused to unload the belongings and threatened that the furniture would be taken to storage, leaving the consumer no choice but to pay the drastic difference in price.

The BBB discovered that the company did not have its required licensing as a household mover with the Federal Motor Carrier Safety Administration (FMCSA). A-1-A Jay’s Way Moving did not respond to the complaint.

"Because anyone with a truck and a website can claim to be a mover, our industry is plagued by con artists who don’t adhere to standards for honesty and ethical conduct," said AMSA President and CEO Linda Bauer Darr. "When it comes to such an important decision, you can prevent a lot of headaches by checking on a company in advance to identify which put customer service and integrity first. For interstate moves, that means an AMSA-certified ProMover."

"Checking a mover's credentials is critical and easy. Last year alone, consumers relied on the BBB more than one million times for finding a trustworthy mover," said Dana Badgerow, president and CEO of the Better Business Bureau of Minnesota and North Dakota. "When making the final choice, go with a BBB Accredited Businesses or a business that has a good rating with the BBB."

The BBB and AMSA offer the following checklist for finding a trustworthy moving company:

Research the company thoroughly. While state regulations vary, all interstate movers must, at minimum, be licensed by the federal government and are assigned a motor carrier number you can verify on FMCSA’s website, www.protectyourmove.gov. Also check the company's rating with your BBB, which maintains more than 17,000 Business Reviews on movers across North America. Having at least a satisfactory BBB rating is one of seven screenings AMSA relies on when authorizing its interstate mover members to display the ProMover logo, the sign of a quality, professional mover which has pledged to abide by the organization's Code of Ethics.

Get at least three written in-home estimates. No legitimate mover will offer to give you a firm price online or over the phone. Also keep in mind that the lowest estimate can sometimes be an unrealistic low-ball offer which can cost you more in the end.

Know your rights. Research your rights as a consumer with either FMCSA for interstate moves or the state in which you reside for moves within that state. Also, enlist the help of the BBB or local law enforcement if the moving company fails to live up to its promises or threatens to hold your belongings hostage. FMCSA requires interstate movers to offer arbitration to help settle disputed claims.

Consider getting full value protection. It may cost a few dollars more up front, but it can provide some peace of mind and eliminate a headache after your move. Investing in full (replacement) value protection means any lost or damaged articles will be repaired or replaced, or a cash settlement will be made to repair the item or to replace it at its current market value, regardless of age. It’s important to note that the required minimum coverage of 60 cents per pound would not cover the replacement cost, for example, of a flat panel TV if damaged in transit.

More tips and information on how to choose a mover and plan your move are available at AMSA's consumer website; and the U.S. Department of Transportation's site. To research a mover or find your nearest Better Business Bureau, visit www.bbb.org.

About the BBB
As the leader in advancing marketplace trust, the Better Business Bureau is an unbiased non-profit organization that sets and upholds high standards for fair and honest business behavior. Every year, more than 65 million consumers rely on BBB Business Reviews^® and BBB Wise Giving Reports^® to help them find trustworthy businesses and charities across North America. Visit www.bbb.org/us for more information.

About AMSA
The American Moving & Storage Association, headquartered in Alexandria, Va., is the trade association representing the nation’s moving and storage companies, which provide household goods moving services, specialized transportation for sensitive freight such as computers and trade show exhibits, and warehouse storage services. The association has 3,200 members, including more than 200 international members, and sponsors programs and activities that promote consumer protection, professional development, safety, and operational efficiency.

BBB provides tips to storm damage victims

5/11/2011

Posted on 5/11/2011 by

May 24, 2011 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) is offering guidance to area residents who suffered damage to their homes during recent severe weather in and around the metro area, and reminds people to take precautions when cleaning up and making repair decisions. Though most contractors have your best interests in mind, there are those few that are only interested in making a fast dollar. To avoid those bad actors, the BBB provides the following tips to homeowners who have experienced property damage:

Contact your insurance company immediately to inquire about policy coverage and specific filing requirements. This gets the ball rolling on the claim process.
Document the damage to your property (and autos); take pictures or video if possible.
Do not make any permanent repairs until you get approval from your insurance company. Your insurer might not fully reimburse you for permanent repairs made without their authorization.
Make any minor repairs to limit further damage to the home. You may be liable for damage that occurs after a storm has passed, so make temporary repairs, such as boarding up broken windows or throwing a tarp over a leaky roof. If you have to make temporary repairs to protect your home from the elements, be sure to save all of your receipts.
Get references from friends and relatives and contact the Better Business Bureau to obtain Reliability Reports on any company you are considering hiring. Visit our Website 24 hours a day at www.bbb.org. Or call 651-699-1111, toll-free at 1-800-646-6222. Shop around and get more than one estimate.
Ask all companies for proof of liability and workers compensation insurance as well as a license to do work in Minnesota. A contractor should be responsible for obtaining all necessary permits, not you. Local or national companies may both do a fine job with your storm damage repair needs. If you choose to do business with someone who is not local, be sure to understand who will be taking care of any service needs that may arise after the completion of the project.
Understand the difference between warranties and guarantees. The manufacturer warranties their products and contractors have warranties on service. Contractors may also offer customer service guarantees. Get copies of any/all warranties and guarantees.
Refrain from filing an insurance claim on something that you do not intend to fix. There could be repercussions from your insurance company when you do not make repairs you are being compensated for. Keep in mind that if you hold a mortgage on your home, your mortgage company may have a vested interest in you making the repairs and most will mandate you to make the repairs. Most checks from insurance come to the consumer with both the consumer’s name and the mortgage company’s name. Both need to sign off on the check.
Some companies list bids on their own contract to do service work on your home/property and some do not (basing their pricing on "insurance allowance"). Both are acceptable methods of conducting business.
Prepare a written contract agreement with anyone you hire. It should specify the work to be done, the materials to be used, and the price breakdown for both labor and materials. Be aware that anything you sign is a contract. Read carefully and avoid signing an "estimate" or "authorization" form before you have actually decided to hire a particular contractor. Pay special attention to any details in bold, that are underlined or that you need to initial.
Be sure the name, address, license number and phone number of the contractor appear on all invoices and contracts!
Any promises made orally should be written into the contract, including warranties on materials or labor.
Never pay in full for all repairs in advance, and do not pay cash.
Review all documentation before signing on the dotted line and before making any payment. Be sure it specifies the schedule for releasing payments to the contractor. Ask for a start and end date for the work to be done.
Although you may be anxious to get things back to normal, avoid letting your emotions get the better of you. Don't be pressured into making an immediate decision with a long-term impact. Make temporary repairs if necessary. Storm victims should never feel forced to make a hasty decision or to choose an unknown contractor.

The Minnesota Department of Commerce has developed a one-stop shop to help Minnesota homeowners and businesses prepare for natural disasters. Among the tools on their site is a checklist that consumers can use to take inventory of their belongings. Consumers can also download the free myHome Scr.APP.book app for iPhone® users by visiting the iTunes® App Store or searching 'NAIC" in the app store from their phone. Research suggests 48 percent of consumers do not have an inventory of their possessions. Of those who do, 32 percent have no photos and 58 percent have no receipts.

Their Home Inventory Checklist will walk consumers from room to room in their home and help them compile a thorough list of their property. By completing the checklist, homeowners who do file an insurance claim or qualify for assistance will know what they had in their home that needs to be replaced.

For questions regarding insurance, call the Minnesota Department of Commerce Consumer Reponse Team at 651-296-2488 or 800-657-3602 (outside Twin Cities Metro area). You can also visit their website at www.insurance.mn.gov.

Minnesota consumers contact BBB with questions about mailing

5/5/2011

Posted on 5/5/2011 by

Saint Paul, Minnesota – May 3, 2011 – Minnesota consumers have been contacting the Better Business Bureau of Minnesota and North Dakota (BBB) regarding a mailing they’ve received from HomeServe USA. The mailings inform recipients that they are responsible for the maintenance and repair of their exterior water lines, leaving them liable for repairs which could potentially cost thousands of dollars. It then provides an 800 number and a deadline to enroll in their Water Service Line Coverage. Some consumers have stated the mailings appear to be from a government or county agency. The BBB is advising consumers to review these notices carefully, particularly the portion that says ‘HomeServe is an independent company separate from your local utility or community.’

The BBB also notes that while the company is correct when they say homeowners are responsible for the maintenance and repair of their water lines – from the street to their meters – the warranty coverage they offer is optional, not mandatory.

“Similar to any warranty, service plan, or insurance policy it is up to the consumer to determine its value and whether or not it’s worth purchasing,” said Dana Badgerow, president and CEO of the BBB. “They should also be clear about what is covered under the policy offered, as well as what is not covered.”

The BBB says that while some homeowners may not be covered for the line repairs offered by Home Service USA, anyone who is uncertain should call his or her water department to avoid paying for duplicate coverage. You should also review your homeowner’s insurance policy to see if coverage is already provided, as well as contact your insurance company to ask how this coverage would work in conjunction with your current policy.

HomeServe USA is headquartered in Miami, Florida. The company also claims a P.O. Box in St. Paul. Their Business Review with the Better Business Bureau of South East Florida gives them an “A” rating, but notes that they have previously entered into consent agreements with the states of Kentucky and Ohio for mailing solicitations that ‘generated confusion’ and were found to be ‘unfair and deceptive’ in their appearance. Home Service USA is not currently Accredited with the BBB of Minnesota and North Dakota.

The BBB recommends the following tips to consumers who receive a call or letter from Home Service USA or similar companies:

Read the service contract very carefully and make sure you have a clear understanding of it, especially each of the exclusions, before agreeing to buy coverage. Do not purchase any coverage over the phone without seeing a contract with all details that were discussed verbally set down in writing.
Make sure you’re familiar with the company’s cancellation policy in case you change your mind after signing up.
Check the company’s BBB Reliability Report at www.bbb.org to see if there are any unanswered, unresolved or unusual pattern of complaints that other consumers have noticed.

BBB, Medical Experts Poke Holes in Claims of Pure Life Patch

4/28/2011

Posted on 4/28/2011 by

Saint Paul, Minnesota – April 19, 2011 –The Better Business Bureau of Minnesota and North Dakota (BBB) is challenging claims made by Pure Life Health Laboratories, makers of the Pure Life Patch. Promotional literature touting the benefits of Pure Life Patches, which are worn on the feet, claim that ‘98.7% of patients affected with ‘benign’ diseases are healed within the first 3 days of Pure Life Patch treatment’ and ‘96% of patients affected by ‘serious’ diseases were healed in less than 30 days after starting the treatment.’ The BBB has given the company a rating of “F” due to their nature of business and the claims they’re making, which are scientifically unproven.

“We were alerted to this company by a concerned citizen, whose mother was about to sign up for a $100 per month subscription for this highly questionable product,” said Dana Badgerow, president and CEO of the BBB. “We looked into the company’s claims and sought the opinion of an M.D. who specializes in alternative medicine. He reviewed the ingredients in the company’s product and said that none have been proven to be beneficial in the manner claimed.”

The medical professional the BBB consulted, Dr. Greg Plotnikoff, the Medical Director of the Institute for Health and Healing at Abbott-Northwestern Hospital, noted there is no data to support the company’s claims. He also added that due to the fact the product is manufactured in Japan, there isn’t the same infrastructure in place as there is in the U.S. to test and validate health product claims.

The Mayo Clinic in Rochester has also weighed in on detoxification foot pads, such as the Pure Life Patch, in an online article available on their website. The article states that no scientific studies have been published that show these foot pads work or that they’re safe to use. They suggest that, as with anything that sounds too good to be true, people wait for scientific evidence that proves the claim before investing their time or money.

Pure Life Health Laboratories claims an address in Minnesota – a mailbox in a UPS store on Hennepin Avenue in Minneapolis. The company is not registered with the Minnesota Secretary of State. A BBB investigation determined Pure Life’s parent company is CJW Holdings (also known as Ultralife Fitness), located in Midvale, Utah. That company has an “F” rating with the BBB of Utah, and there have been several government actions against them in regard to misrepresentations involving ‘free’ offers and claims involving the products they market.

The BBB has processed three complaints against Pure Life Health Laboratories regarding delivery issues. The company has resolved two of those complaints by providing refunds. A third complaint is currently pending.

If you’re considering ordering an alternative medical product or treatment, the BBB advises that you be wary of those making dubious claims, and keep in mind that nothing is more important than your health. You’ll also want to make sure that you’re doing everything you can to ensure you’re dealing with legitimate companies who are selling quality products they will stand behind.

Here are some other things consumers should consider – or do – before ordering alternative medicinal products or treatments:

Is the product you’re looking at approved for use in the United States? The U.S. has some of the strictest safety standards worldwide, and though you may be able to purchase medical products from other countries, they may not be cleared for use here. Ask the manufacturer of the device whether it’s approved or check for yourself at the Food and Drug Administration’s website, www.fda.gov.
If the company is offering a free trial, is that offer related to a membership, subscription or extended service contract? Also, is there an action you need to take should you decide not to continue receiving the product?
What are the companies return policies? How many days do you have to return the product?
Look at the product label. If the label is written in multiple languages or the measures are in units other than those used in the United States, it’s possible the product is approved for use in another country and not approved here in the U.S.
Talk to your doctor. They will be familiar with your medical history and also be able to advise you as to which products or treatments are effective and which are not.
Know who you’re dealing with. Even if a company’s website seems formal or legitimate, be wary if they don’t provide their address and/or a contact number.
Check the company’s Reliability Report at www.bbb.org.

Additional advice on free trial offers is available at www.bbb.org/us/article/free-trial-offers--are-they-good-deals-425. Consumers who believe they have been misled by a free trial offer can file a complaint online with the BBB at www.bbb.org.

BBB Warns of Phishing Email Received from Epsilon Data Breach

4/15/2011

Posted on 4/15/2011 by

Saint Paul, MN - April 11, 2011 - Just days after millions of customers' email addresses were stolen in one of the largest data breaches in U.S. history, the Better Business Bureau is seeing one of the first Epsilon data breach phishing scams.

Phishing, a popular emailing scam, is a term coined by computer hackers who use email to fish the Internet hoping to hook you into giving them your logins, passwords and/or credit card information. If you are a customer of one of the companies that had email data stolen, BBB is warning you to be on the lookout for phishing emails.

Typical phishing scammers pose as reputable companies to fraudulently obtain your personal information. In this case, the BBB is now seeing emails being sent from a fake 'Chase Bank,' one of the companies whose data was compromised. Following suit, the email warns that ‘your account’ will be deactivated or deleted if you do not update your profile immediately. The email instructs you to update your account by clicking on the link provided.

"These hackers are looking for you to respond with vital information that can ultimately lead to identity theft," said Dana Badgerow, president and CEO of the Minnesota and North Dakota BBB. "Consumers need to know the red flags in order to keep their identity protected."

BBB advises consumers that there could be other phishing emails shooting through cyberspace and to do the following if they suspect they have fallen victim to a phishing scam.

Never reply to the email. If the message includes a link within it, never click it. Many schemers use this as way to spread a viral attack on your computer.

Do not give personal or financial information to anyone who contacts you via email. Even if they claim they are from your bank, the IRS or a law enforcement agency, these businesses will not contact you via email; they will send you a letter.

Spread the word. Discuss phishing scams with all the members of your family who have email addresses. Young people are very computer savvy, but may not be scam savvy, and older adults are specifically targeted by scammers because they are often very trusting.

Transmitted information should be encrypted. When sending personal information like addresses, credit card numbers and Social Security numbers over the Internet, make sure the website is fully encrypted and the network is secure. Look for https (the "s" stands for secure) at the beginning of the URL address to confirm its security.

Know the red flags. Watch out for grammatical mistakes in emails. Poor grammar or misspelled words are red flags that the email is probably a scam. Most importantly, never wire money based on instructions in one of these suspicious emails. Scammers prey on those who think they need to wire money to have a situation resolved.

Protect your computer. Keep your anti-virus software up-to-date and run it regularly.

Contact the Federal Trade Commission. The FTC works to legally prevent fraudulent business practices in the marketplace. File a complaint with the FTC by calling 1-877-FTC-HELP.

A sample of the fraudulent email claiming to be from Chase Online Banking follows:

For more information about phishing scams, visit www.bbb.org.

The BBB and AARP North Dakota invite ND Residents to "Secure Your ID" Day in Bismarck and Fargo on April 16

4/4/2011

Posted on 4/4/2011 by

Saint Paul, Minnesota - March 30, 2011 - The Better Business Bureau of Minnesota and North Dakota (BBB) and AARP North Dakota invite the Fargo-Moorhead and Bismarck-Mandan communities to "Secure Your ID" Day Saturday, April 16. Area residents and businesses are encouraged to attend and take a key step in identity protection by shredding and properly disposing of their sensitive paper documents as well as CDs and floppy discs. The Fargo event will be held at the Wells Fargo branch on 13th Ave. S. The Bismarck event will be held at the Wells Fargo Gateway Mall location at 1050 E. Interstate Ave. The times for both events are from 8 a.m. to 1 p.m.

The dual events are part of a series of Secure Your ID Day events being hosted by Better Business Bureaus all across the country that day. The BBB and AARP ND, along with local partners Wells Fargo, Recall, The Forum and the Bismarck Tribune, are working together to educate North Dakota consumers about identity theft, which has been the top consumer complaint to the Federal Trade Commission (FTC) for the past eleven years in a row, with over 250,000 cases of identity theft reported to the FTC in 2010.

"Secure Your ID Day is designed to remind everyone that identity theft is a problem that’s not going away," said Dana Badgerow, president and CEO of the Better Business Bureau. "And while anyone can have their identity stolen, there are definite steps people can take to reduce their risk."

People are invited to bring one box or bag of documents to be shredded. Tips and resources on how to avoid identity theft will also be provided. Documents to be shredded should be removed from binders, but staples, paper clips, CD’s and floppy discs are okay to be shredded.

BBB Secure Your ID Day Details
Who: The Better Business Bureau of Minnesota and North Dakota and AARP North Dakota, along with local partners The Bismarck Tribune, The Forum, Recall and Wells Fargo.
What: Free document shredding and tips and resources for protecting your identity.
When: Saturday, April 16, 2011, from 8 a.m. to 1 p.m.
Where: Wells Fargo parking lot, 1050 E. Interstate Ave., Bismarck and 2501 13th Avenue South, Fargo.

For more information on the BBB’s "Secure Your ID" Day and identity theft prevention measures for both consumers and businesses, visit: www.us.bbb.org/secureID.

Contact: BBB of MN/ND -- Dan Hendrickson, Communications Coordinator 651-695-2463 / dhendrickson@thefirstbbb.org

Contact: AARP ND -- Lyle Halvorson, Communications 701-355-3653 / LHalvorson@aarp.org

About the BBB of Minnesota and North Dakota
The mission of the Better Business Bureau is to promote, through self-regulation, the highest standards of business ethics and conduct, and to instill public confidence in responsible businesses through programs of education and action that inform, protect and assist the general public. Our hours of operation are 8 a.m. to 5 p.m. Monday through Friday. Contact the BBB at www.bbb.org or 651-699-1111, toll free at 1-800-646-6222.

About AARP North Dakota
With 83,000 members in North Dakota, AARP is a nonprofit, nonpartisan membership organization that helps people 50+ have independence, choice and control in ways that are beneficial and affordable to them and society as a whole. AARP does not endorse candidates for public office or make contributions to either political campaigns or candidates. We produce AARP The Magazine, the definitive voice for 50+ Americans and the world's largest-circulation magazine with over 35.7 million readers; AARP Bulletin, the go-to news source for AARP's millions of members and Americans 50+; AARP VIVA, the only bilingual U.S. publication dedicated exclusively to the 50+ Hispanic community; and our website, AARP.org. AARP Foundation is an affiliated charity that provides security, protection and empowerment to older persons in need with support from thousands of volunteers, donors, and sponsors. We have staffed offices in all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands.

For-Hire Essay Company Raises Flags with BBB

3/31/2011

Posted on 3/31/2011 by

Saint Paul, Minnesota - March 24, 2011 - The Better Business Bureau of Minnesota and North Dakota (BBB) is expressing ethical and practical concerns about the business model of Essaywritingcompany.com, a Minnesota online firm which offers to write research and term papers, on a for-hire basis, for high school and college students.

The company, which up until recently was headquartered in Apple Valley, maintains a website where students can solicit their services. On their website, the company claims to guarantee "A’s," and offer a 100% satisfaction guarantee. However, complaints to the BBB allege the company didn’t meet deadlines, and failed to provide promised refunds in a timely manner.

"In addition to the many ethical considerations, students who hire third parties to do their work for them run the very real risk of getting expelled for submitting work that’s not their own," said Dana Badgerow, president and CEO of the BBB. "The old adage still holds: students who cheat are not just cheating the system, they’re cheating themselves."

The BBB recently secret-shopped this company, contracting with them to write a college-level paper. The person who performed the secret shopping on behalf of the BBB reported the company was very difficult to reach and didn’t return several phone calls. The completed essay was brought to Dan Wackman, Chair of the Journalism School and Mass Communication at the University of Minnesota, for review. Wackman, who specializes in the subject matter of the essay (the ethics of advertising to children) said he would give the essay a "C" grade, far short of the "A" the company’s website guarantees. He also said the paper was not formatted to meet Modern Language Association (MLA) standards. MLA style is followed by most post-secondary schools and specifies guidelines for formatting manuscripts and using the English language in writing.

The BBB has processed four complaints against Essaywritingcompany.com in the last year. The company has responded to all of those complaints, resolving three of them by providing refunds. A fourth complaint is currently pending.

The following claims the company makes on their website are also a source of concern for the BBB and may be in violation of the BBB’s Code of Advertising:

The company states it’s not liable if the customer doesn’t receive their essay due to a technical issue.
The site claims all of their writers have college degrees or Ph.D’s, but does not offer substantiation of this.
The 100% satisfaction guarantee isn’t explained in detail.
The company uses customer testimonials in a manner which may be misleading.

The BBB advises students to avoid paying others to do their coursework for them and to keep the following things in mind:

Most schools have strict plagiarism policies and students found guilty of violating those policies can be expelled.
Teachers are human. If you’re behind in your school work, see if you can get an extension or consider seeking out a tutor to help get you back on track.
Remember that anything worth doing requires hard work and sacrifice. Though it might mean some late nights - and extra coffee - doing your own work will prove to be its own reward.

Better Business Bureau Announces Call for Integrity Award Nominations

3/31/2011

Posted on 3/31/2011 by

BBB Looking for Most Ethical Businesses in Minnesota and North Dakota

St. Paul, Minnesota - March 30, 2011 - The Better Business Bureau of Minnesota and North Dakota (BBB) is calling for nominations for its twelfth annual Integrity Awards. The BBB Integrity Award recognizes companies who display outstanding ethics in dealings with their customers, employees, vendors and the communities in which they do business. All for-profit businesses of any size, owned or operated in Minnesota or North Dakota, are eligible. Nominees must be in good standing with the BBB; however membership is not a requirement to compete for the award. The nomination deadline is May 2, 2011.

Anyone can nominate a company by visiting www.thefirstbbb.org or by mail. Nominations should include the company name, contact name, address, phone number, and e-mail along with the nominator’s name and phone number, and be mailed to: BBB, Attn: Mackenzie Kelley, 2706 Gannon Rd., St. Paul, MN 55116. Information can also be faxed to 651-699-7665.

"The Integrity Awards offer everyone in our region an opportunity to recognize their favorite businesses to deal with," said Dana Badgerow, president and CEO of the Better Business Bureau. "They also serve as a wonderful reminder of just how many ethical companies there are in our marketplace."

Entrants are judged on four areas of their business: management practices; customer/vendor relations; marketing/sales practices; and reputation within their industry/community.

Once nominated, the company will receive an official entry form from the BBB. An independent panel of judges will decide the award finalists and recipients. Winners will be announced live at the BBB's 2011 Integrity Awards in October. Winners will also be recognized in Integrity Awards publicity and will be eligible to compete for the National BBB Torch Award for Marketplace Ethics.

BBB Advises Donors on Tsunami Relief Efforts

3/11/2011

Posted on 3/11/2011 by

St. Paul, Minnesota - March 11, 2011 - In the wake of the most powerful earthquake to ever hit Japan, many Americans want to help those impacted by the earthquake and the ensuing tsunami. The Better Business Bureau of Minnesota and North Dakota warns donors to exercise caution when making donations to relief agencies and charities.

"In the face of any disaster, Americans will immediately step forward with donations to aid the victims and their families," said Dana Badgerow, president and CEO of the BBB. "Unfortunately, we’ve seen time and time again that scammers will try to take advantage of the generosity of the public after a disaster, which is why it’s so important to take your time and do your research before donating to relief efforts."

The BBB offers the following advice for donors to ensure their donations go to trustworthy relief efforts:

Before donating, visit www.bbb.org/charity to research organizations you’re considering supporting.
Be sure that the charity is experienced in carrying out relief efforts in the wake of a natural disaster. Although well-intentioned, they may not be able to effectively deliver aid to those in need.
Don’t give your credit card number or other personal information to a telephone solicitor or in response to an e-mail solicitation.
Be aware that while donating via text (through your cell phone carrier) is an easy way to give, funds may not be available for relief efforts as quickly as they would be if donations were made directly through the websites of individual charities and relief organizations.
Don’t give cash. Checks or money orders should be made out to the name of the charitable organization, not to the individual collecting the donation.
Ask for written information about the charity’s program(s) and finances such as the charity’s latest annual report and financial statements.
Don’t give in to excessive pressure for on-the-spot donations. Be wary of any request to send a "runner" to pick up your contribution.
Ask what the charity intends to do with any excess contributions remaining once they’ve fully funded the disaster relief activities mentioned in solicitations.
Beware of fake charities that imitate the name and style of well-known organizations in an attempt to confuse donors.
Be wary of appeals that are long on emotion, but short on describing what the charity will do to address the needs of victims and their families.
Make sure your contribution is tax deductible: donations should be made to charitable organizations that are tax exempt under section 501(c)(3) of the Internal Revenue Code. Go to IRS Publication 78 on the IRS’ website for a current list of all organizations eligible to receive contributions deductible as charitable gifts.

For additional information you can trust when making giving decisions, or to view BBB Wise Giving Reports on charities across the nation, start with bbb.org.

National Consumer Protection Week: The BBB’s Top Five Tips to Become a More Streetwise Consumer

3/3/2011

Posted on 3/3/2011 by

March 3, 2011, Saint Paul, Minnesota - National Consumer Protection Week, March 6-12, is an annual effort led by the U.S. Federal Trade Commission (FTC) to educate the public on how to protect their pocketbooks. In conjunction with National Consumer Protection Week, the Better Business Bureau of Minnesota and North Dakota (BBB) offers five tips to become a more streetwise consumer.

"In a tough economy, it's more important than ever to protect the money you have from scammers and bad businesses," said Dana Badgerow, president and CEO of the BBB. "These simple steps will go a long way towards warding off the common scams that steal millions from unsuspecting consumers every year."

The BBB recommends following these five steps to protect your wallet against scammers and unscrupulous businesses:

Get everything in writing and always read the fine print.

Contracts, customer agreements and fine print protect the business and explain the terms of the agreement with the customer. While it's natural to want to just skim over the fine print, it's important that customers understand everything about the legal agreement they're entering into. Whenever signing a contract, the BBB recommends reading the fine print carefully - even if it means taking it home and sleeping on it. Also, don't just take a sales associates' word for it; get all verbal promises in writing.

Protect your identity - and your pocketbook.

Fighting identity theft means staying vigilant online and off. Protect your identity by taking the following steps:

Always shred sensitive documents that include personal financial information such as bank, credit card and Social Security numbers.
Monitor your financial accounts regularly to detect suspicious or unusual activity.
Make sure your computer has up-to-date anti-virus software and be extremely selective when opening attachments or clicking on links in e-mails.
Shop online through secure sites only (shoppers should always look in the address box for the "s" in https:// and in the lower-right corner for the "lock" symbol before paying) and always confirm that the business is trustworthy before entering your credit or debit card number.

Never wire money to someone you don't know.

Many scams bilk victims by convincing them to wire money. The reasons for wiring the money can vary and include mystery shopping, paying fees to win a lottery, and - if the target is a small business owner - overpayment for goods or services. Scammers know it's extremely difficult to track money sent via MoneyGram or Western Union, and nearly impossible for victims to get their money back. Even if you've been given a check to supposedly cover the amount you're wiring, never send money to someone you don't know personally.

Know where to complain.

If you've had a bad experience with a business or been ripped off by a scammer, there are any number of organizations and government agencies that want to hear about it. You can file a complaint with:

The Better Business Bureau at www.bbb.org/us/file-complaint,
Federal Trade Commission at www.ftc.gov, and
Your state Attorney General's Office.

If you've fallen victim to an online scam - such as a phishing e-mail or deceptive website - you can also file a complaint with the Internet Crime Complaint Center at www.IC3.gov.

Always check businesses out with the BBB.

Nearly 400,000 businesses bear the BBB seal of accreditation and meet our standards; you can find the seal on websites and at business locations. However, the BBB doesn't just report on accredited businesses. You can check out BBB Business Reviews for nearly 4 million businesses across North America for free by visiting www.bbb.org/us/Find-Business-Reviews/. A BBB Business Review will tell you how many complaints the company has received, whether the company responds to complaints and much more.

For more advice on managing your money and avoiding scams, visit www.bbb.org/us/Consumer-Tips/.

The mission of the Better Business Bureau is to promote, through self-regulation, the highest standards of business ethics and conduct; and to instill public confidence in responsible businesses through programs of education and action that inform, protect and assist the general public. Our hours of operation are 8 a.m. to 5 p.m. Monday through Friday. Contact the BBB at www.bbb.org or 651-699-1111, toll-free at 1-800-646-6222.

BBB Tips on Finding a Tax Preparer

2/28/2011

Posted on 2/28/2011 by

Saint Paul, Minnesota – February 25, 2011 – The Better Business Bureau of Minnesota and North Dakota (BBB) encourages taxpayers to do their research before selecting tax preparation help or they may get hit with fines and fees if the return isn’t correct or filed late. The BBB also cautions against tax preparers who claim they can obtain larger refunds than other tax preparers. According to the IRS, if your returns are prepared correctly, every preparer should derive substantially similar numbers.

In 2009, the BBB received just over 3,000 complaints against tax preparers. Commonly, complainants stated that the tax preparer made errors in their return which resulted in fines and fees. The IRS reports that roughly 80 percent of Americans enlist the help of a tax preparer or tax software when filing their taxes.

“Many people depend upon their tax refunds to cover bills and basic living expenses,” said Dana Badgerow, president and CEO of the Better Business Bureau. “Therefore, if you choose to have someone else do your taxes, it’s important you know their background, as well as their qualifications.” The BBB reminds taxpayers they are legally responsible for what’s on their own tax returns, even if they’re prepared by someone else, and offers the following advice on how to find a trustworthy tax preparer, as well as some things to keep in mind:

Ask around. Get referrals from friends and family on who they use and check BBB reports on tax preparers and tax preparation services at www.bbb.org.
Look for credentials. Ideally, your tax preparer should either be a certified public accountant, a tax attorney, an enrolled agent or a certified E-file provider. Be sure to find out if the preparer is affiliated with a professional organization that provides or requires its members to pursue continuing education and holds them accountable to a code of ethics.
Investigate whether the preparer has any questionable history with your state’s Board of Accountancy (for CPA’s), the State Bar Association (for attorneys) or the IRS Office of Professional Responsibility (OPR) for enrolled agents.
Don’t fall for the promise of big refunds. Be wary of any tax preparation service that promises larger refunds than the competition, and avoid tax preparers who base their fee on a percentage of the refund.
Remember that a Paid Preparer is required by law to sign your return and fill in the preparer areas of the form. They should also include their appropriate identifying number on the return. In addition, the preparer must give you a copy of your return.
Think about accessibility. Many tax preparation services only set up shop for the months leading up to April 15. In case the IRS finds errors, or in case of an audit, you might need to be able to contact your tax preparer throughout the year; be sure to find out how you would do so.
Read the contract carefully. Read tax preparation service contracts closely to ensure you understand issues such as how much it is going to cost for the service, how the cost will be affected if preparation is more complicated and time consuming than expected and whether the tax preparer will represent you in case of an audit.

For more advice on finding professionals you can trust, visit www.bbb.org.

The mission of the Better Business Bureau is to promote, through self-regulation, the highest standards of business ethics and conduct; and to instill public confidence in responsible businesses through programs of education and action that inform, protect and assist the general public. Our hours of operation are 8 a.m. to 5 p.m. Monday through Friday. Contact the BBB at www.bbb.org or 651-699-1111, toll-free at 1-800-646-6222.

BBB Advises Public to Begin Preparing Now for Flooding

2/14/2011

Posted on 2/14/2011 by

Saint Paul, MN - February 10, 2011 - With higher than average snowfalls throughout Minnesota and the Red River Valley, the Better Business Bureau of Minnesota and North Dakota (BBB) is advising residents in affected areas to start preparing now for spring flooding. While there's no way to predict the severity of floods at this point, many indicators point to a high risk of widespread flooding. According to the Federal Emergency Management Agency (FEMA), flooding is the nation's number one natural disaster.

"Looking around, the spring thaw may seem a long way off," said Dana Badgerow, president and CEO of the BBB. "But it's not, and there are things people can be doing today to help ensure they're as prepared as possible should flooding occur in their area."

The first thing people should consider - even those in low-risk flood zones or areas which have never flooded before - is purchasing flood insurance. Flood insurance comes under the National Flood Insurance Program (NFIP), which is administered by the Federal Emergency Management Agency, or FEMA. Since most homeowner's insurance policies don't cover flooding, Congress created the NFIP in 1968 to help property owners protect themselves from the financial toll of a flood. The NFIP doesn't actually write the policies, but can refer you to an insurance agent or company who can. According to an interactive tool on NFIP's website just 2 inches of water could cost you $7,800 in cleanup. And over the past 10 years, the average flood claim has amounted to over $33,000.

You may figure that if you are in a serious flood that federal disaster assistance will pay for your damage, right? Wrong! Federal disaster assistance comes in the form of a low-interest loan, not a grant, and only if the President formally declares a disaster.

Not a homeowner but worried about flooding? Renters, condo unit owners and business owners can also buy flood insurance as long as their community participates in the NFIP. Can you buy flood insurance if you live in a high-risk area? Yes, in fact if you are in a high-risk area and have a federally-backed mortgage you will be required by your lender to have flood insurance when you obtain the mortgage. If you're in a moderate-to-low risk area you may wonder if you should bother. However the NFIP says that almost 25 percent of all flood insurance claims come from areas with low-to-moderate flood risk. Those in low-to-moderate flood risk areas may qualify for the Preferred Risk Premium, which can be as little as $119 per year.

To find out if your community participates in the National Flood Insurance Program, visit http://www.fema.gov/fema/csb.shtm. Consumers should be aware that flood insurance policies generally take 30 days to go into effect. For more information on flood insurance, and to find out your flood risk, visit www.floodsmart.gov or call 1-800-427-2419.

In addition to purchasing flood insurance, here are some other things people can do to prepare for spring flooding (from www.fema.gov):

Move valuable items or keepsakes from your basement to the highest floor of your home or business; keep in mind the possibility of main and upper floor flooding.
Install backflow valves in waste lines to keep water flowing in one direction.
Make sure you have the right insurance for your property. Review what is and isn't covered, and learn the difference between replacement cost coverage versus standard coverage, which only pays the actual cash value of insured property.
Make sure your gutters and drains are cleared. Clean and maintain storm drains and gutters and remove potential debris from your property to allow free flow of potential floodwater.
Plan and practice a flood evacuation route.
Inventory your household possessions for insurance purposes. Be sure to keep a written and visual (videotaped or photographed) record of major household items and valuables, even those stored in basements, attics or garages. Create files that include serial numbers and receipts for major appliances and electronics. Have jewelry and artwork appraised. These documents are critically important when filing insurance claims.
Build an emergency supply kit: food, bottled water, first-aid supplies, medicines and a battery-operated radio. Visit www.ready.gov for a complete disaster supply checklist.

The mission of the Better Business Bureau is to promote, through self-regulation, the highest standards of business ethics and conduct, and to instill public confidence in responsible businesses through programs of education and action that inform, protect and assist the general public. Our hours of operation are 8 a.m. to 5 p.m. Monday through Friday. Contact the BBB at www.bbb.org or 651-699-1111, toll-free at 1-800-646-6222.

BBB Offers Advice on Dealing with Ice Dams

2/11/2011

Posted on 2/11/2011 by

It’s been quite a winter already, and we still have weeks to go before spring arrives. Many people in both Minnesota and North Dakota have had trouble with ice dams forming on their roofs or are still battling ice dams. The Better Business Bureau of Minnesota and North Dakota (BBB) is offering advice to homeowners on how to deal with this problem and protect their investment in their homes.

Ice dams are ridges of ice that form at the edge of a roof, preventing melting snow from draining off the roof. Melting occurs when warm air from indoors escapes through the attic and melts snow on the roof. That water can then leak into homes, damaging walls, ceilings and insulation. According to the University of Minnesota Extension Agency, summer is the best time to prevent ice dams – by increasing the ceiling insulation to cut down on heat loss, making ceilings airtight and/or adding natural roof ventilation. Plugging leaks and adding insulation can reduce energy use in homes by 20 to 30 percent.

For homeowners currently contending with ice dams – or who are looking to avoid their formation – the BBB recommends using a snow rake to remove excess snow from the roof. However, even if care is taken, roofing materials may be damaged in the process. It is not advisable to get up on your roof to remove snow. Many people are injured each year trying to deal with this problem on their own. Sometimes it’s best to leave things to professionals.

Before hiring a company to break up ice dams on your roof, here are some things you should do first:

Check out the company’s record with the BBB at www.bbb.org or by calling 1-800-646-6222.
Make sure the company has insurance and their workers are covered under workers’ compensation.
Get estimates from multiple companies.
Ask how much experience each company has working on roofs and ice dams, as well as what techniques they’ll be using to remove the ice dams. Less intrusive techniques may reduce potential damage to your roofing.
Watch out for someone who pulls up in a truck and tells you they can ‘save you some money.’ Your roof is an integral part of your home and it’s not something you want to cut corners on. You’ll often end up regretting it.

For more information on ice dams, how they’re formed and how to avoid them, visit http://www.extension.umn.edu/distribution/housingandclothing/dk1068.html.

Top Five Ripoffs When Buying Sports and Concert Tickets

2/2/2011

Posted on 2/2/2011 by

Whether you’re trying to snag tickets to the big game or the hottest concert, the Better Business Bureau of Minnesota and North Dakota (BBB) warns that you run the risk of getting ripped off if you decide to gamble on a less than reputable source.

Fake tickets aren’t just a concern for people who want to go to the Super Bowl or see Lady Gaga, even smaller events can become a target. Not only were counterfeit tickets to major sporting events like the BCS Championship game or the NFL playoffs a problem this winter, consumers have also recently wasted money on fake tickets for UFC fights, and local concerts.

“Every season provides an opportunity for scammers to sell counterfeit tickets,” said Dana Badgerow, President and CEO of the BBB. “In the winter you have college football and NFL games leading up to the Super Bowl, in the spring the hot tickets are for March Madness and hockey and NBA playoffs and then summer hits with big name concerts.”

To avoid getting ripped off buying event tickets, the BBB recommends you:

Apply common sense – The reason tickets are expensive is because they’re hard to get and the chances of you getting lucky and finding a deal are slim. If a situation sounds too good to be true, such as someone selling tickets to a popular event for much less than offered elsewhere, it’s probably not on the level.

Never wire money to someone you don’t know – Say for some reason you do believe that a seller you found online who lives in another country really has tickets to an event here. The fact that the seller then asks you to wire money to pay for the tickets should be the final red flag that makes you walk away. When buying tickets online, ideally pay with a credit card or through Paypal because of the consumer protections provided.

Do your research – If buying online, ask to see a picture of the tickets so you can confirm the seats match up with the venue. If your friends already have tickets, you can also make sure they look the same as the ones you want to buy. Search for guidance online about how the tickets should look. For example, the NFL has offered advice on how to tell if Super Bowl tickets are legit here.

Don't buy from scalpers at the event - Buying tickets outside the venue can be a game of roulette. You might get taken to the cleaners or the seats may be just as advertised. Keep in mind that, in some states, it’s illegal to charge more than the face value for tickets.

Choose a reputable online ticket broker – When purchasing tickets through an online broker, look for the BBB seal on their website and check them out online at www.bbb.org/us/Find-Business-Reviews. Review the company’s policy for customer satisfaction and what happens if tickets purchased through their site are fake or not as advertised.

For more advice on spending your money wisely and not getting ripped off, visit www.bbb.org/us/Consumer-Tips/

Better Business Bureau Sees Big Spike in Inquiries

2/1/2011

Posted on 2/1/2011 by

Record number of consumers turn to the BBB in 2010

Saint Paul, Minnesota - January 26, 2011 - The Better Business Bureau of Minnesota and North Dakota has compiled its statistics for 2010 and is announcing the Top Ten industries for customer complaints and inquiries, as well as a record number of total instances of service to the public: 2,190,201 - a 26% increase compared to 2009!

"We’re very pleased with this impressive increase," said Dana Badgerow, president and CEO of the BBB. "It demonstrates conclusively that more and more consumers are turning to us when they’re looking for reliable companies."

The BBB handled roughly 24,500 complaints in 2010, down from 25,500 the year before, resolving nearly 90% of them. "That doesn’t mean we were less busy - at all," said Badgerow. "On the contrary, we believe this decline was due to our efforts to remind consumers they should check out companies with us before making purchasing decisions."

Complaints against auto dealers topped our list last year. Complaints against contractors were also prevalent, as evidenced by the four categories in the construction field which made the list. The construction industry also topped the list of inquiries from the public in 2010. Collection agencies moved up that list from the year before, from #6 to #4. This could be a reflection of the uncertain economic conditions and consumers wanting to verify that companies contacting them in regard to debts are legitimate.

The Top Ten complaints on industries were:

Auto Dealers - New Cars
Auto Dealers - Used Cars
Siding Contractors
Auto Repair & Service
Contractors - General
Roofing Contractors
Construction & Remodeling Services
Banks
Window - Installation & Services
Television - Cable CATV & Satellite

The Top Ten inquiries on industries were:

Contractors - General
Roofing Contractors
Construction & Remodeling Services
Collection Agencies
Heating & Air Conditioning
Mortgage Brokers
Auto Dealers - Used
Auto Dealers - New
Plumbing Contractors
Internet Shopping

Predictions for 2011

The BBB has received thousands of calls about scams that affected consumers this past year. The unique role we play gives us insight into current trends and helps us to predict what to expect in the coming year. Based on our observations, here are some scams to be on the lookout for in the months ahead:

Magazine Telephone Sales. Scams are on the rise in this industry and will likely continue to be a problem. If you receive a call from a magazine sales staff, be sure to ask them to send you the offer in writing before you make a commitment and provide your credit card number.

ATM skimming. Skimming devices are getting more and more sophisticated and will continue to line crooks’ pockets in 2011.

Job scams. Since the unemployment rate continues to remain high, job seekers should be aware of fake job offers - especially ones where ‘employers’ tell you the offer is contingent upon payment of an upfront fee.

Online shopping scams. Due to the fact it’s relatively easy to create fake websites, consumers will likely continue to be victimized by offers that seem too good to be true.

Fraudulent charities. With so many people in need due to natural disasters domestically and around the world, con artists will be vying for donations, preying on honest people who are looking to extend a hand to those in need.

The mission of the Better Business Bureau is to promote, through self-regulation, the highest standards of business ethics and conduct, and to instill public confidence in responsible businesses through programs of education and action that inform, protect and assist the general public. Our hours of operation are 8 a.m. to 5 p.m. Monday through Friday. Contact the BBB 24 hours a day at www.bbb.org or 651-699-1111, toll free at 1-800-646-6222.

Dateline and the BBB Team Up

1/27/2011

Posted on 1/27/2011 by Dan Hendrickson

On the Sunday, January 30th episode of Dateline, Chris Hansen will be doing a report on air duct cleaners and the fraudulent marketing practices some companies in that industry utilize to entice customers. Working closely with the Better Business Bureau, Hansen discovered shady operators who con consumers out of millions of dollars, and target one of the most vulnerable segments of our society: the elderly.

Dateline also discovered there are air duct cleaning companies across the country using advertising tricks, such as promising low prices for their services only to raise those prices once they get inside the door. Thanks to hidden cameras, viewers will get an opportunity to see what happened when a volunteer invited one of the rogue companies into their home - which in turn gets confronted by reporter Chris Hansen.

"Though there are many ethical air duct cleaning companies in our service area, there are also companies whose business practices definitely concern us," said Dana Badgerow, president and CEO of the Better Business Bureau of Minnesota and North Dakota. "This report will hopefully show the public what to look out for, and also what can happen if you don't check first at www.bbb.org before entering into a contract with a company."

The Dateline report will air at 6 p.m Sunday evening (Jan. 30th) on NBC.

Better Business Bureau Opens Satellite Office in St. Cloud

1/24/2011

Posted on 1/24/2011 by

January 21, 2011 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota has partnered with the Central Minnesota Small Business Development Center and the G.R. Herberger College of Business at St. Cloud State University to open a satellite office in the new St. Cloud State University Welcome Center (355 5th Avenue South). The office officially opened Wednesday, January 19.

“Our goal is to provide better accessibility to the many programs the BBB offers and deliver expanded and improved service to businesses in the St. Cloud region,” said Dana Badgerow, president and CEO of the BBB. “The office will be primarily staffed with a trained intern/representative of the BBB who will be available during scheduled hours.”

The BBB will be offering a number of educational workshops and Focus Luncheons for Accredited Businesses and interested business owners at its St. Cloud location.

“St. Cloud State University and the Small Business Development Center is excited the BBB will be providing services at the college’s new Welcome Center,” said Barry Kirchoff, Central Minnesota Region Small Business Development Director. “It is the vision of the college to have the Welcome Center’s Small Business Development Center be a one-stop location in serving the needs of Central Minnesota small business owners.”

Business owners with questions about the BBB’s St. Cloud office can contact Lisa Jemtrud, Director of Outreach and Industry Services for the BBB, at 1-800-646-6222.

The BBB’s mission is to be the leader in advancing marketplace trust, with a vision of maintaining an ethical marketplace where buyers and sellers can trust each other. The Better Business Bureau was founded in Minneapolis in 1912 by ethical business owners.

Give Back in 2011; Five Tips for Volunteering

1/20/2011

Posted on 1/20/2011 by

Donating your time to a charity is in many ways similar to deciding to make a cash donation. You want to know that the charity you’re considering is accountable and will use your time and talent effectively. If you’ve made giving back part of your New Year’s resolutions, the Better Business Bureau of Minnesota and North Dakota recommends taking five steps to make sure your volunteering has a big impact.

Much of the great work that charities perform is made possible because of volunteers and the number of people giving their time continues to grow. According to the most recent numbers from the Bureau of Labor Statistics, 63.4 million people volunteered for an organization in 2009, or 26.4 percent of the US population.

"Charities are always looking for volunteers to help the community and those in need," said Dana Badgerow, president and CEO of the BBB. "Volunteering can be an extremely rewarding experience, but you want to be sure to do your research when you donate your time, just as if you were giving money."

The BBB Wise Giving Alliance recommends taking the five following steps to make sure your time and energy are put to great use as a volunteer:

Identify your skills. Volunteering opportunities are available for any skill level. Consider what you’re good at and what services you’d be particularly well-equipped to provide. From stuffing envelopes to construction to providing pro bono legal advice, you can find a good fit regardless of your education or talents.

Consider your passions. Maximize your enthusiasm for volunteering by finding an issue that resonates with your own personal passions. If you’re a runner, consider a marathon fundraiser. If you like history, look for opportunities to help out at an archeological dig. By indentifying your passions, you’re more likely to stay engaged with the charity and be a more effective volunteer.

Determine your availability. Make a realistic estimate of how much time you’re willing to give. Maybe it’s just a weekend of picking up trash at a park, a week of building schools in a foreign country or maybe you’re willing to make a long-term commitment to tutoring someone to read. It’s better to volunteer the amount of time you can reasonably handle, rather than drop out in the middle of a longer commitment.

Research the charity thoroughly. Just as you would before making a cash donation, research the charity fully before you volunteer to make sure the organization has a commitment to standards and accountability. You can view BBB Wise Giving Alliance evaluations on nationally-soliciting charities for free at www.bbb.org/charity.

Commit to stick with it. According to an article in the Stanford Social Innovation Review, more than one third of those who volunteer one year don’t volunteer anywhere the following year. Even if your early attempts at volunteering weren’t a good fit, keep at it and look for new opportunities to give back. In a tough economy, charities need the support of volunteers more than ever.

Following are just a few sites that list volunteer openings:

www.allforgood.org

www.idealist.org

www.iparticipate.org

www.networkforgood.org

www.serve.gov

www.volunteermatch.org

For more advice on volunteering and to view charity evaluations on nationally-soliciting organizations, visit www.bbb.org/charity.

Seven Scams that Target Small Businesses

1/18/2011

Posted on 1/18/2011 by

Being vigilant against fraud is not only good for a company’s financial health, it also strengthens customer trust in the business. Becoming a victim of fraud can have a negative financial and reputational impact on a business, and the Better Business Bureau of Minnesota and North Dakota recommends owners train their staff to look out for seven common scams that prey on small companies.

Every year the BBB receives thousands of complaints from small business owners who fell for an invoicing scam or were misled into paying for products and services they didn’t want. Scammers aren’t always trying to steal money from a business; sometimes they are after a company’s financial or customer data and will use many kinds of high and low-tech methods for getting it.

"Small business fraud can come from internal threats, such as employee fraud, or from external full-time scammers," said Dana Badgerow, president and CEO of the BBB. "Because small business owners often lack the time and resources to fight fraud, they are a popular target for any number of different scams."

The BBB is warning business owners to look out for the following seven scams that commonly target small companies:

Directory Scams - A perennial problem that has plagued businesses for decades involves deceptive sales for directories. Commonly the scammer will call the business claiming they just want to update the company’s entry in an online directory or the scammer might lie about being with the Yellow Pages. The business is later billed hundreds of dollars for listing services they didn’t agree to or for ads which they thought would be in the Yellow Pages.
Office Supply Scams - Some scammers prey on small business owners hoping that they won’t notice a bill for office supplies like toner or paper which the company never ordered. Every year, the BBB receives thousands of complaints from small business owners who were deceived by office supply companies and billed for products they didn’t want.
Overpayment Scams - Be extremely cautious if a customer overpays using a check or credit card and then asks you to wire the extra money back to them or to a third party. Overpayment scams target any number of different companies including catering businesses, manufacturers, wholesalers and even sellers on sites like eBay, Craigslist and Etsy.
Data Breaches - No matter how vigilant your company is, a data breach can still happen. Whether it’s the result of hackers, negligence or a disgruntled employee, a data breach can have a severe impact on the level of trust customers have in your business. You can learn how to defend your company from a data breach for free with BBB’s Data Security - Made Simpler at www.bbb.org/data-security.
Vanity Awards - While it’s flattering to be recognized for your hard work, some awards are just money-making schemes and have no actual merit. If you are approached about receiving a business or leadership award, research the opportunity carefully and be wary if you’re asked to pay money.
Stolen Identity - Scammers will often pretend to be a legitimate company for the purposes of ripping off consumers. When it comes to stolen identity, the company doesn’t necessarily lose money, but their reputation is potentially tarnished as angry customers who were ripped off by the scammers think the real company is responsible.
Phishing E-mails - Some phishing e-mails specifically target small business owners with the goal of hacking into their computer or network. Common examples include e-mails pretending to be from the IRS claiming the company is being audited or phony e-mails from the BBB saying the company has received a complaint. If you receive a suspicious e-mail from a government agency or the BBB, don’t click on any links or open any attachments. Contact the agency or the BBB directly to confirm the legitimacy of the e-mail.

For more advice on how to manage your business effectively, visit www.bbb.org/us/Business-Resources/.

BBB Lists Top 10 Scams and Rip-Offs of 2010

1/7/2011

Posted on 1/7/2011 by

Job hunters and financially-strapped families are targets of scams in tough economy

January 4, 2011 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) released a list of the top 10 scams and rip-offs of 2010 today. Job hunters and those struggling to get out of debt were common targets of fraudsters, hackers and deceptive offers in this tough economy.

“With the economy still on the mend, scammers had a field day targeting struggling families who were looking for work and trying to make ends meet,” said Dana Badgerow, president and CEO of the BBB. “While some of the most popular scams are perennial problems that have always plagued consumers, some new additions to the list are signs of our challenging economic times.”

Following, in no particular order, is the BBB’s list of top scams and rip-offs that took advantage of consumers and small business owners across the U.S. in 2010:

Job Hunter Scams – Scams targeting job hunters vary and include attempts to gain access to personal information such as bank account or Social Security numbers, and requirements to pay a fee in order to even be considered for the job.

Debt Relief and Settlement Services – The BBB warned consumers in 2010 to seriously evaluate claims made by companies offering debt relief and settlement services. These companies often require upfront fees and potentially leave the consumer drowning in even more debt. According to tentative year-end estimates, complaints to the BBB regarding debt relief services increased by approximately 30 percent in 2010.

Work from Home Schemes – Some work from home schemes promise to teach the secrets to making money online, others claim you can make money assembling items at home or get paid to be a mystery shopper. Some victims even found that their opportunity to work from home was a job to fence stolen goods. The end result is that instead of getting paid, you can end up losing hundreds – if not thousands – of dollars.

Timeshare Resellers – Complaints to the BBB about the timeshare industry – including deceptive resellers – increased by over 40 percent, according to 2010 estimates. Timeshare owners who are desperate to get rid of their costly vacation property are being targeted by companies that claim they have an eager buyer. The company tells the seller they just have to pay up to several thousand dollars to cover fees. After paying the fees, the seller never hears from the company again.

Not So “Free” Trial Offers – Misleading free trial offers online for diet supplements, penny auctions and money making schemes blanket the Internet, resulting in thousands of complaints ever year. The free trial offers seem no-risk but complainants state they were repeatedly billed every month and found it extremely difficult to cancel.

Itinerant Home Repair/Roofers – BBBs across the country received complaints from consumers who answered a knock from a door-to-door salesman or itinerant worker who eventually failed to deliver on promises to fix their roof or conduct other work to the home. Complaints to the BBB about roofing companies increased by roughly 40 percent in 2010, according to tentative estimates, due in part to one company that solicited door to door, American Shingle, which received nearly 1,000 complaints nationwide after going bankrupt and not providing new roofs to angry customers.

Lottery and Sweepstakes Scams – The victim – often a senior citizen – receives a phony letter or phone call from someone pretending to be with Reader’s Digest, Publisher’s Clearing House or from a fraudulent foreign lottery. The scammer claims that the victim has won millions but must first wire hundreds or even thousands of dollars back to the scammers to cover taxes or some other bogus fee. The victim wires the money, but the prize never arrives.

Identity Theft – There are any number of ways a person can become a victim of identity theft. Through low-tech theft, phishing emails, vishing phone calls, smishing text messages, or even through no fault of your own as the result of a corporate data breach, millions fall victim to identity theft every year.

Advance Fee Loan Scams – A perennial problem, advance fee loan scams prey on consumers and business owners who are struggling financially. Victims are told they qualify for large loans but must pay upfront fees – often more than a thousand dollars. The victim wires money to the scammers, but never receives the loan.

Over-Payment Scams - Over-payment scams typically target small business owners, landlords or individuals with rooms to rent and sellers on classifieds or sites like Craigslist. The scammers ‘overpay’ the amount for the service or product and then ask the victim to wire the extra amount back to them or to another fraudulent entity. Ultimately, however, the check from the scammers proves to be no good and the victim is out any money they wired back to them.

Consumers or small business owners victimized by a scam can contact their local BBB or file a complaint at www.bbb.org. Always research a business with the BBB before you sign any contracts or hand over any money.

A New Way of Looking at Conflict

12/17/2010

Posted on 12/17/2010 by Dan Hendrickson

Here at the Better Business Bureau of Minnesota and North Dakota, conflict plays a significant role in our day-to-day operations. But did you know that customer complaints make up less than 2% of the total instances of service we provide to the public? It’s true! The vast majority of interactions take place online (www.bbb.org) when people are checking out companies before making their final purchasing decisions, a step that greatly reduces the number of complaints we receive – as well as the number of headaches experienced by customers.

Still, conflicts will arise, even when both parties have the best intentions. As with every dispute, how each party deals with conflict is the key to whether a resolution can be reached or whether the dispute will fester and build. Parties with open minds that are focused on solutions can often work through a dispute. Parties that dwell in the past and focus on their anger and hurt feelings are often doomed to carry that conflict with them for weeks, months, or even years.

Few people would argue the proposition that the world has become an angrier place. Part of this can certainly be traced to economic uncertainty. The tighter money becomes, the more stressed people get. And it’s tough enough to deal with conflict when all of your basic needs are being fulfilled. Throw in the added pressure of struggling to make ends meet, and all the elements are in place for frustrations to build and blow-ups to occur.

At the BBB, we feel that everyone needs to start learning how to better deal with conflict. Too often, the first approach to dealing with conflict is to get angry, say things (or, worse, do things) we wind up regretting and then cut off all lines of communication. That’s not a healthy – or a realistic approach – to solving problems.

It’s hard to say if things have always been this way or if soap operas, movies and TV dramas have taught us all that when we’re angry, the first thing we should do is storm out of a room. To be sure, there are times when putting some distance between you and the conflict is absolutely necessary. But generally the only way disputes get resolved is when the parties come together and are able to discuss things rationally.

An important thing for all of us to recognize upfront is that disagreements are going to happen. It’s a fact of life, even between family members and friends. What’s both interesting and sad about the way conflict is dealt with (or not dealt with) in our society is the fact that one disagreement can wind up outweighing years of friendship and countless happy memories. In our view, this is like throwing away a vase full of fresh roses after discovering a single thorn. It’s not a proportional response, nor does it make a lot of sense.

Now, it’s doubtful anyone who’s currently in the midst of a dispute would want to extend the duration of that conflict, if given a choice. At the BBB, at the onset of our conciliation and mediation processes, we try to remind both sides, business and customer, that there is a real value in being able to work through problems and allowing each party to move on with their lives. From there, we try to take the focus off of the past and place it on the future, on possible win/win solutions.

It’s tough to express the satisfaction a person feels when a dispute is resolved. Hopefully that’s a feeling everyone knows. In our role as third-party facilitators, we experience a bit of that feeling too. There’s nothing like watching two parties, who came into a room barely willing to look at each other, walk out together smiling and looking forward to the rest of the day with their disagreement behind them. That’s something we hope to see more of in the coming year.

The Chinese symbol for conflict represents both ‘danger’ and ‘opportunity.’ That might sound like a paradox, but we at the BBB understand exactly what it means. There is the danger that the conflict will deepen, and conversely an opportunity to bring opposing sides into balance. Our hope is that we can slowly help to shift attention more to the ‘opportunity’ side of the coin and that as a people, when it comes to conflict, we will once again become focused more on building bridges than burning them.

Tis’ the Season for Holiday Scams

12/16/2010

Posted on 12/16/2010 by

The holidays are a happy time for food, family, and friendship, but they are also a time for fraud. Consumers can fall into any number of traps over the holidays and become victim to identity thieves, hackers and deceptive merchants online. The Better Business Bureau of Minnesota and North Dakota (BBB) is warning holiday shoppers and donors to look out for five common scams this season.

"While the rest of us are pulling the decorations out of the attic, scammers

are blowing the dust off of their tried and true holiday scams," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "We can all help make these holiday scams a ghost of Christmas’ past by not falling for them anymore."

The BBB recommends being on the lookout for the following scams this holiday season:

Scam shopping sites online
We’re all looking for a great deal online, but some sites offer electronics or luxury goods at prices that are too good to be true. Every holiday season, the BBB hears from holiday shoppers who paid for a supposedly great deal online, but received nothing in return.

BBB advice: Always look for the BBB seal when shopping online and click on the seal to confirm it is legitimate. When shopping on sites that you aren’t household names, check the business out with the BBB before you buy.

Finding the season’s hottest toys and gadgets online
Every year, holiday shoppers fight over the "must have" toy or gadget of the season. When the item is sold out in stores, you can often find it online through sites like Craigslist or eBay-for a much steeper price. The problem is that some sellers will take your money and run.

BBB Advice: Shop locally on Craigslist and conduct the transaction in person-never wire money as payment. When purchasing items on auctions like eBay, research the seller extensively and always listen to your doubts if the deal doesn’t sound legit.

Identity theft at the mall
While you’re struggling at the mall with bags of presents, identity thieves see an opportunity to steal your wallet and debit or credit card numbers.

BBB Advice: Don’t let yourself get bogged down in purchases and lose track of your wallet. Know where your credit and debit cards are at all times and cover the keypad when entering your pin number while purchasing items or getting money from the ATM.

Bogus charitable pleas
The holidays are a time of giving which creates a great opportunity for scammers to solicit donations to line their own pockets. Also beware of solicitations from charities that don’t necessarily deliver on their promises or are ill-equipped to carry through on their plans.

BBB Advice: Always research a charity with the BBB Wise Giving Alliance before you give to see if the charity meets the 20 Standards for Charity Accountability.

Phishing e-mails
Phishing e-mails are a common way for hackers to get at your personal information or break into your computer. Common phishing e-mails around the holidays include e-cards and messages pretending to be from companies like UPS or FedEx with links to package tracking information.

BBB Advice: Don’t click on any links or open any attachments to e-mails until you have confirmed that they are not malicious. E-mail addresses that don’t match up, typos and grammatical mistakes are common red flags of a malicious phishing e-mail. Also beware of unsolicited e-mails from companies with which you have no association. Make sure you have current antivirus software and that all security patches have been installed on the computer.

For more advice on being a savvy consumer this holiday season, visit us online at www.bbb.org/us/consumer-tips-holiday.

No Matter How You Give, Give Wisely with Advice from the BBB

12/9/2010

Posted on 12/9/2010 by

Because of technology and the creativity of charities, there are many different ways that donors can give to a worthy cause. Whether you’re giving money, canned goods, used items or your time, the Better Business Bureau Wise Giving Alliance reminds donors that how you give is just as important as what you give.

According to the Chronicle of Philanthropy, charitable donations to the largest charities were down 11 percent last year. Despite the tough economy and the overall decline in giving, donors are still looking for ways to help the less fortunate particularly around the holidays. The Salvation Army reported that red kettle donations in November and December of 2009 actually increased by $9 million over the previous year.

"Despite the downturn in the economy, people are still looking for creative or small ways that they can give back and support those who are even less fortunate over the holidays," said Dana Badgerow, president and CEO of the BBB. "However you decide to give, it’s important to stop and take the time to research the charity thoroughly to make sure that your dollar stretches the farthest it can in this tough economy."

How you give -- and not just what you give -- to a charity matters. Following are five common ways that people donate to charities over the holidays and a few things to consider:

Give items -- Many organizations solicit for donations over the holidays including coats, toys, and canned goods. Whatever you’re donating, make sure the items are of good condition and that the recipient charity is accepting such items to help further its cause.

Give when you shop - Many charities have had great success partnering with businesses who agree to donate some amount of the purchase price from sales of items to a worthy cause. This type of cause-related marketing means that you can help while you shop. Check if the promotion identifies the actual or anticipated amount of the purchase price the charity will receive. Also some businesses, like grocery stores, ask if you want to donate to a charity and have that amount added to your receipt which is called embedded giving. See if the embedded promotion states which specific charity will receive the collected funds.

Give online -- Giving online with a credit or debit card is among the most efficient ways to support a charity. Before you enter in your numbers, give the website a thorough review and look for the organization’s privacy policy, and verify if the organization has appropriate security measures in place to protect such transactions.

Give through text messaging -- The option to give via text message took off in the wake of the disastrous earthquake in Haiti. After texting a message to a number, the donation is tacked on to your cell phone bill. While donating via text is fast and easy for the donor, the actual money can take months to reach the charity so consider donating directly to a charity through its website if there is an urgent need.

Give your time -- In today’s tight economy, you may not have money, but you can always give a little bit of your time to help support a worthy cause. In addition to volunteering around the holidays, you can also be a vocal supporter of a charity and help raise awareness among friends and family and on your Facebook page or blog.

The BBB Wise Giving Alliance reports on more than 1,200 national charitable organizations and determines if they meet 20 accountability standards addressing governance, finances and fund raising practices. To review charity evaluations and get more advice on how to give when times are tight, visit www.bbb.org/charity.

Consumers report problems with Fargo online company: BBB says furniture store website is down

12/3/2010

Posted on 12/3/2010 by

December 1, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) has received complaints against OnSaleFurnitureDepot alleging non-delivery of products. OnSaleFurnitureDepot is an online furniture company which claims to operate out of an apartment in Fargo, North Dakota.

Customers state that after ordering and paying for merchandise on the company’s website (www.onsalefurnituredepot.com), their merchandise was never shipped. They also state subsequent messages left with the company via phone and e-mail have not been returned.

“This is an unfortunate matter,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “A quick online investigation reveals there may be several other people out there who are in similar situations as the customers we’ve heard from.”

When the BBB tried to access the company’s website today, it re-directed to a page with the following message: ‘The website you are trying to view is currently experiencing difficulties, please try again later.’ A call to the company’s listed phone number was answered by a recorded message saying the user was not available, though messages were being taken. Five complaints against the company are pending. In all five cases, customers report they paid for their merchandise with a Green Dot MoneyPak card.

Green Dot MoneyPak is a money transfer service. On their website, Green Dot MoneyPak urges their customers to treat their MoneyPak number like cash and to only use their payment system with approved partners and companies they can trust. They also state that once you provide your MoneyPak number and the money is sent, Green Dot cannot provide refunds.

When shopping online, the Better Business Bureau advises customers to:

Check the company’s rating at www.bbb.org. A quick Google search is also advisable.
Pay with a credit card – Under federal law the shopper can dispute the charges if he or she doesn’t receive the item.
Use a reputable escrow service.
Trust your instincts – Offers on websites and in unsolicited e-mails can often sound too good to be true. Consumers should always go with their instincts and not be afraid to pass up a “deal” that might cost them dearly in the end.

Top Ten Tips for Staying Safe When Shopping Online

11/22/2010

Posted on 11/22/2010 by

November 18, 2010 – St. Paul, MN – Shopping online means avoiding the crowds, but it also opens buyers up to attacks from scammers and hackers. In order to fight these online menaces, the Better Business Bureau of Minnesota and North Dakota (BBB) offers 10 tips for staying safe when holiday shopping online.

“The convenience and ease of shopping online has replaced the hassle of going to the store for many people, but online shopping has its own set of risks,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “Taking precautions to avoid online fraud will result in a much happier holiday for everyone, except for scammers, of course – and hackers.”

Following are the “Top 10 Online Shopping Tips” for holiday shoppers to help fight unscrupulous online retailers, scammers and hackers:

1. Protect your computer – A computer should always have the most recent updates installed for spam filters, anti-virus and anti-spyware software and a secure firewall.

2. Shop on trustworthy websites – Shoppers should start with the BBB to check on the seller’s reputation and record for customer satisfaction. Always go to www.bbb.org first, and look for the BBB seal and other widely-recognized “trust marks” on retailer websites. Always remember to click on the seals to confirm that they are valid.

3. Protect your personal information – The BBB recommends taking the time to read the privacy policy of every website you visit and understand what personal information is being requested and how it will be used. If there isn’t one posted, it should be taken as a red flag that personal information may be sold to others without permission.

4. Beware of deals that sound too good to be true – Offers on websites and in unsolicited e-mails can often sound too good to be true – especially extremely low prices on hard-to-get items. Consumers should always go with their instincts and not be afraid to pass up a “deal” that might cost them dearly in the end.

5. Beware of phishing – Legitimate businesses do not send e-mails claiming problems with an order or an account to lure the “buyer” into revealing financial information. If a consumer receives such an e-mail, the BBB recommends picking up the phone and calling the contact number on the website where the purchase was made to confirm that there really is a problem with the transaction.

6. Confirm your online purchase is secure – Shoppers should always look in the address box for the “s” in https:// and in the lower-right corner for the “lock” symbol before paying. If there are any doubts about a site, the BBB recommends right-clicking anywhere on the page and select “Properties.” This will let you see the real URL (website address) and the dialog box will reveal if the site is not encrypted.

7. Pay with a credit card – It’s best to use a credit card, because under federal law, the shopper can dispute the charge if he or she doesn’t receive the item. Shoppers also have dispute rights if there are unauthorized charges on their credit card, and many card issuers have “zero liability” policies under which the card holder pays nothing if someone steals the credit card number and uses it. Also, never wire money if prompted to do so.

8. Keep documentation of your order - After completing the online order process, there may be a final confirmation page or the shopper might receive confirmation by e-mail. The BBB recommends saving a copy of that as well as any e-mails for future reference and as a record of the purchase.

9. Check your credit card statements often – Don’t wait for paper statements; the BBB recommends consumers check their credit card statements for suspicious activity by checking statements online regularly or by calling their credit card companies if fraud is suspected.

10. Know your rights – Federal law requires that orders made by mail, phone or online be shipped by the date promised or, if no delivery time was stated, within 30 days. If the goods aren’t shipped on time, the shopper can cancel and demand a refund. There is no general three-day cancellation right, but consumers do have the right to reject merchandise if it’s defective or was misrepresented. Otherwise, it’s the company’s policies that determine if the shopper can cancel the purchase and receive a refund or credit.

For more advice on staying safe online this holiday season, and to see reports on thousands of online retailers, go to www.bbb.org/us/consumer-tips-holiday/.

The Better Business Bureau Provides Advice for Black Friday Shoppers

11/22/2010

Posted on 11/22/2010 by

November 11, 2010 – St. Paul, MN – With Thanksgiving right around the corner, The Better Business Bureau of Minnesota and North Dakota (BBB) reminds people planning on shopping on Black Friday – the day after Thanksgiving – to prepare just as they prepare for their annual holiday feast.

“For many people, Black Friday shopping has become a part of the Thanksgiving tradition,” said Dana Badgerow, president and CEO of the BBB. “Our goal is to remind people to look out for their rights while they’re out and about looking for bargains.”

This holiday season, consumers should be sure to keep these tips in mind:

Budget. Outline your holiday expenditures ahead of time. Along with your list of gifts, include holiday cards, stamps, entertaining, and clothing. As you make each purchase, keep a running total to make sure you do not spend more than you planned.
Comparison Shop. Don’t rely on ads that claim to offer the lowest prices. The BBB has secret shopped many companies that make this claim and has determined they do not always have the lowest prices. Comparison shopping is the best way to find the best values.
Restocking Fees. Many consumers are looking for big ticket items for holiday gifts. Ask the store if they charge a restocking fee if the product is returned. Many stores find it necessary to charge these fees to cover the loss of revenue if they can no longer sell the item as new.
Return policies and refunds. Ask for the store’s return policy before you make your purchase. Companies are not required to give you your money back, but they need to post their return policy prominently near the cashier. Save your receipts in one place so you don’t lose them. Many companies are tightening their return policies and will most likely require you to produce a receipt for a return. Ask for a gift receipt and tape it on the inside of the gift box to make returns easier for family and friends.
Gift cards. New federal rules governing gift card sales went into effect earlier this year.
Those rules state:
o An inactivity fee cannot be charged until the card has not been used for 12 months.
o Gift cards cannot expire for at least 5 years.
o No more than one fee (of any kind) can be charged to the cardholder in a single month.
o Information printed on the card must disclose fees and expiration date and provide a toll-free phone number or website where you can get more information.
o A one-time fee can be charged when you buy the card, though this generally only applies to gift cards purchased through your credit card company – not those purchased directly from stores and restaurants.
Note: These new rules do not cover reloadable cards, such as prepaid phone cards or debit cards from the big credit card companies. Rebate and loyalty reward programs are also exempt. If you receive a gift card, you should redeem it promptly if possible.
Getting the real deal. Do you know if a sale is really a sale? Many times companies boast “70 percent off,” but 70 percent off what? If a company is advertising a “Going out of Business” sale, don’t assume they are offering the best price in town. Check the price on the same items at other stores.
Search for Black Friday Ads Ahead of Time. Newspapers often have coupons that give discounts for Black Friday. Black Friday ads are also posted on the Internet. Some sites post ads for Black Friday before they are published. This might help you plan where you will shop and for what items.
Check out the company. If you are shopping with a company for the first time, take a minute to contact the BBB at 1-800-646-6222 or visit www.bbb.org to obtain a report. Better Business Bureau Reliability Reports have been optimized for smart phones.

BBB warns of bogus recorded calls

11/16/2010

Posted on 11/16/2010 by

Consumers are telling the Better Business Bureau of Minnesota and North Dakota they're receiving recorded calls on their cell phones saying their Visa debit cards have been deactivated and they will be unable to make purchases or cash withdrawals.

The message then prompts people to enter their account information. The Better Business Bureau is letting people know this is a scam and they should not provide the requested information or ever share sensitive financial information with unknown parties.

"One of our own employees received one of these calls," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "We’re hearing that the message is very convincing. However, no credit card company or financial institution would ever ask their customers for this information in this manner."

The number showing up on people’s caller IDs is 952-563-7000. When the BBB called the number this morning, a recorded message said ‘We’re sorry, all circuits are busy now.’ If you receive a call or message from this number, you should disregard it. You can also report your experience to the Federal Trade Commission (www.ftc.gov) or the Minnesota Attorney General’s Office (http://www.ag.state.mn.us/).

How to Get a Temporary Job over the Holidays

11/11/2010

Posted on 11/11/2010 by

Many job hunters will get an early present this year as retailers are increasing the number of hires for the holiday season. Competition for these jobs will likely be fierce, and the Better Business Bureau of Minnesota and North Dakota recommends applying early and taking steps to put your best foot forward.

According to sources, many retailers are looking for more seasonal employees this year than in previous years. Toys R Us alone is hiring 45,000 holiday employees and other retail giants are hiring 20 or even 30 percent more seasonal staff than last year. According to the outsourcing firm, Challenger, Gray, and Christmas, as many as 600,000 people are expected to get holiday jobs this year.

“The holiday season will create a much welcome bump in the number of job openings, particularly in the retail and restaurant industry,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “While the jobs are usually temporary, this is great news for struggling families and people who have had problems finding work.”

The BBB offers the following advice for job hunters this holiday season:

Start the job search earlier rather than later.
The key to landing a seasonal job is to start searching early. Retail, shipping, restaurants and catering companies are common sources of seasonal employment and now is the time for job hunters to determine which job suits them best, identify companies they’d like to work for and then begin submitting applications and resumes.

Work where you shop.
Try to identify seasonal employment with businesses you actually shop at or frequent. You will already be familiar with the company and its products and, secondly, discounts available for employees mean significant savings when shopping for Christmas gifts. Discounts can range from 20-40 percent for seasonal employees.

Put your best foot forward.
Even if you are just picking up an application at stores in the mall, dress your best and be prepared for an interview. This includes being familiar with the company’s brand and its products. Retail job hunters in particular need to focus on impressing potential employers with their customer service skills—which is a must when dealing with stressed-out shoppers, long check-out lines and day-after-Christmas returns.

Be flexible.
Full-time employees usually have first dibs on the preferred hours and shifts, so, as a seasonal employee, expect to work long, sometimes inconvenient hours including working on Thanksgiving and Christmas Eve. If this is a second job in addition to your day job, be upfront and clear with your new employer about your available hours.

For more advice on making it through the holidays, visit us online at www.bbb.org/us/consumer-tips-holiday/

Protect your Debit Card Number from ATM skimming

11/8/2010

Posted on 11/8/2010 by

Even if you're choosy about which ATMs you use, you can still become a victim of identity thieves who place seamless devices on machines to steal debit card information. ATM skimming is a growing problem and the Better Business Bureau of Minnesota and North Dakota (BBB) recommends consumers take a few steps to protect themselves from becoming the next victim.

According to Bankrate.com, ATM skimmers are close to reaping $1 billion annually from unsuspecting consumers. Javelin Strategy & Research estimates that one in five people have become victims.

Identity thieves tamper with ATMs in any number of different ways in order to steal debit card numbers and PINs. It only takes a few seconds to install cameras over the keypad or a device over the card reader. ATMs aren't the only hot spots; credit card swipers at gas pumps and retailers can be tampered with as well.

"Skimming devices are becoming increasingly harder to detect and often blend in seamlessly with the ATM," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "If you're going to use an ATM, you could become a victim, and it's important to monitor your accounts closely so you can quickly detect any fraudulent activity on your card and minimize your losses."

Following are a few ways to fight identity thieves at the ATM:

Protect your PIN - When entering your PIN, cover the keypad with your other hand to prevent any cameras from catching your digits. False keypads placed over the real keypad are also a way scammers get PIN numbers so if the keypad looks different, move on.

Give it a wiggle - Skimming devices are often false panels attached to the ATM - such as where you put your card into the machine. If parts of the ATM look damaged or different, give them a wiggle. Also look for new or suspiciously placed cameras and unusual signage. Don't hesitate to walk away and use another ATM if it doesn’t feel right.

Be picky with your ATMs - Avoid using ATMs in poorly lighted or low trafficked areas. Experts often recommend choosing a bank ATM over standalone ATMs in public places. Not only do identity thieves attach devices to legitimate ATMs to steal numbers, they will also place their own phony ATMS in public places.

Keep an eye on your statements - The most vigilant person can still fall victim to ATM skimmers, and it's important to always keep a close eye on your accounts - particularly the itemized breakdown of charges and debits - so that you can quickly report any suspicious activity on your account.

Report Fraud Immediately - Report any fraudulent activity to your bank as soon as you discover it. Consumer protections for debit cards vary but depend largely on when you report the fraudulent activity. If you wait too long to report the fraud, your bank account could be cleaned out and your bank might not reimburse you.

For more advice on fighting identity thieves and preventing fraud, visit us online at www.bbb.org/us/consumer-tips-scams/

Better Business Bureau announces opening of North Dakota office

10/29/2010

Posted on 10/29/2010 by

Grand Opening Reception will be held in Fargo on November 9

October 26, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) is announcing the opening of a branch office in Fargo, North Dakota. The office officially opened in mid-October. A grand opening reception for community leaders, business owners and the media will be held Tuesday, November 9 from 3:30 to 5:30 p.m. at the Radisson Hotel Fargo. Drinks and hors d’oeuvres will be provided.

The Fargo office is located in Suite 505 of the Dakota Building at 51 North Broadway. BBB staff will be working to build partnerships in the region and help the BBB play a more prominent role in building marketplace trust, assisting both consumers and businesses by promoting the highest standards of business ethics and conduct.

“We’re extremely pleased to establish a physical presence in North Dakota,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “This has long been a goal of ours and will allow us to serve North Dakota – and North Central Minnesota – far more effectively.”

The Better Business Bureau of Minnesota and North Dakota has served the North Dakota region since 1997. Consumers in North Dakota can access company reports and helpful tips, as well as file complaints, online at www.bbb.org. Operators are also available to answer questions from the public Monday through Friday from 8 a.m. to 5 p.m. at 701-271-2855, toll-free at 1-800-646-6222.

Here are some other services and programs the BBB offers to both the public and businesses free of charge:

Dispute resolution. If consumers have a marketplace issue with a business, the BBB will gladly work with both parties to help resolve the situation. Though the BBB is not an enforcement agency, we are able to resolve a majority of the complaints we receive.
Advertising Review. This is a core program of the BBB. We monitor advertising in Minnesota and North Dakota newspapers, television, radio, and on the Internet each week, challenging ads that seem “too good to be true.” Any business can also send their ads (pre-publication) to the BBB to be reviewed for adherence to applicable advertising rules and guidelines.
Industry Review. When the BBB sees complaints rise within a certain industry, we ask companies within that industry to form a committee to discuss issues and create a set of standards they can all operate within.
Senior Program. The BBB receives calls every day from senior citizens and their caregivers regarding fraudulent offers seniors are receiving. The BBB Senior Outreach Program travels throughout Minnesota and North Dakota to talk to seniors, listen to their concerns, and educate them on consumer issues that affect the elderly.
Integrity Awards. The BBB Integrity Awards are presented each year to Minnesota and North Dakota companies who exemplify ethical behavior and display integrity in all aspects of their operations; toward their employees, vendors, customers, and within their community. Companies must also uphold BBB standards. Up to four companies are awarded this prestigious honor each year. The BBB also awards two scholarships every year to high school seniors who demonstrate an understanding of the importance of ethics.

The BBB is a non-profit agency serving both consumers and businesses. The Better Business Bureau was started back in 1912 in Minneapolis by business owners. Ethical business owners were frustrated by having to compete against companies that were using misleading advertising to attract customers, so they banded together to challenge these unethical companies and made their findings public. This was the genesis of the Better Business Bureau. Today there are more than 100 Better Business Bureaus in the United States and 14 in Canada.

Greenbay Financial Services Raises Red Flags with the BBB of Minnesota and North Dakota

10/25/2010

Posted on 10/25/2010 by

October 22, 2010 - St. Paul, MN - A company claiming to be operating out of downtown Minneapolis is raising red flags with the Better Business Bureau of Minnesota and North Dakota (BBB). Consumers have informed the BBB they've been contacted by Green Bay Financial Services after they had been turned down for loans with other firms. Callers state the company's representatives have told them they qualify for loans with their organization, but they will first need to provide a payment on the loan in advance. This is a classic advance fee loan pitch, and consumers are advised to be very wary if contacted by this firm or any other making similar offers.

"For a company claiming to be operating out of Minnesota, I could think of better names for a firm," said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. "That being said, we have many other concerns about this company, not least of which is the fact they're asking consumers for advance payments on supposed loans, and there's no physical address listed on their website (www.greenbayfinancial.com), both of which are huge red flags."

Advance fee loan scams have been around for a long time and seem to surge when money and credit are tight. These offers are not legitimate and are targeted at customers and companies who are struggling with debt and poor credit, often making bad situations worse. One consumer who contacted the BBB says a company representative informed them the company 'was in stage two of the Accreditation process with the BBB,' which is untrue.

Customers should be aware that companies making offers of this nature are usually found online, in the classified sections of newspapers and magazines, or else contact potential victims directly via phone or email. Often with very little or no background check at all, customers are told they qualify for loans. After filling out all necessary paperwork, they are then asked to pay an upfront fee of anywhere from $300 to $3,000. The fee is either paid by wire transfer, often to locations in Canada, or debited directly out of the consumer's checking account. It is the experience of the Better Business Bureau that customers who pay these upfront fees never receive their loans. Generally, once the requested fees are paid the companies making the offers cease contact or change their phone number.

To avoid advance fee loan scams, the BBB provides the following tips:

If you're asked to pay a fee upfront or wire funds to receive your loan, the offer is not legitimate. According to the Federal Trade Commission, it's illegal for companies doing business by phone in the U.S. to promise you a loan and ask you to pay for it before they deliver. Requiring advance fees for loans is also illegal in Canada.
Be sure to check the company's reliability report with the Better Business Bureau at www.bbb.org.
Beware of lenders not interested in your credit history and/or advertisements that downplay bad credit.
Remember, the internet is full of bogus offers. If it sounds too good to be true, it probably is!

2010 Better Business Bureau Integrity Award Recipients Announced

10/21/2010

Posted on 10/21/2010 by

Student of Integrity Scholarships also awarded

October 21, 2010, Saint Paul, Minnesota – The Better Business Bureau of Minnesota and North Dakota (BBB) announced the recipients of the 2010 BBB Integrity Awards at a ceremony held at the Minnesota History Center in Saint Paul last night. Kathy Tunheim, President and CEO of Tunheim Partners, Inc., was the keynote speaker at the event.

The BBB Integrity Awards are presented each year to companies who exemplify ethical behavior and display integrity in all aspects of their operations; toward their employees, vendors, customers, and within their community. Companies must also uphold BBB standards. Winners are chosen by an independent panel of judges.

“The Integrity Awards are always the highlight of our year,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “It’s the night we get to focus our attention on – and applaud – the companies that shine brightest in our region and set the standard by which other companies are measured.”

The 2010 Integrity Award winners are:

Category I (1 to 10 employees): Thread Logic. Thread Logic in Jordan, MN is a small-town embroidery company with a national clientele.
Category II (11 to 50 employees): Victory Auto Service and Glass. Victory Auto Service and Glass in Fridley (with locations in Ham Lake and Brooklyn Park) is an automotive repair company which provides customers with dependable service.
Category III (51-99 employees): Lehman’s Garage. Lehman’s Garage in Bloomington (with locations in Chaska, Eagan, Minneapolis and Savage) provides quality service to its auto body, service, glass and dent removal customers.
Category IV (100+ employees): Right at Home. Right at Home in Bloomington specializes in providing non-medical care for seniors to help them remain living independently in their homes.

Businesses that were chosen as finalists were: EDS Builders, Inc., Kamarron Design, Inc., Latuff Brothers Auto Body, Schmit Towing, Inc., Carpet King, Inc., ORBIT Systems, Inc. and Empire Today, LLC.

Another component of the event is the Student of Integrity Scholarships, sponsored by Best Buy. Two scholarships are awarded to high school seniors who demonstrate, through essay, their understanding of integrity and how they apply it to their lives. Judges decisions are based more on the students’ commitment to ethics and integrity than on grade point average. “We were blown away by this year’s essays,” said Mackenzie Kelley, BBB event coordinator and coordinator of the scholarship awards. “We all know that young people today are faced with many challenges. These essays reminded us that many youth are handling those challenges admirably.” Winners of this year’s Student of Integrity Scholarships are:

Shamis Adam, Central High School, Saint Paul, MN – $10,000
Valerie Kloeckl, Sibley East Senior High School, Arlington, MN – $5,000

Nominations are currently being accepted for the 2011 BBB Integrity Awards and may be made by customers, vendors, or even the company itself. Visit www.thefirstbbb.org for more information or call Mackenzie Kelley at 651-695-2482.

How to Find a Pest Control Company You Can Trust

10/13/2010

Posted on 10/13/2010 by

Not satisfied with the comforts of home, bedbugs are migrating to public places like movie theaters and retail stores and then hitching rides home on unsuspecting consumers. Not only are bedbugs a growing problem, they are also a hard problem to get rid of. The Better Business Bureau of Minnesota and North Dakota recommends doing your research to find a pest control company you can trust to get the job done efficiently.

According to a recent survey by the Pest Management Association, 95 percent of exterminators had encountered a bed bug infestation in the previous year—compared to only 25 percent of respondents ten years prior. While homes are the most common place for infestations, bedbugs also invade hotels, movie theaters, clothing stores and offices.

“When you discover an infestation in your home or business, you want to act quickly and get a professional in there fast,” said Dana Badgerow, president and CEO of the BBB. “Despite the urgency of the problem, you still need to do your research and make sure you are enlisting the help of a qualified and trustworthy pest control specialist.

When hiring a pest control company, the BBB recommends that home and business owners consider the following:

Start with the BBB.

Always research a business with your Better Business Bureau first. The BBB maintains reports on good and bad exterminators across North America. You can use the BBB’s Accredited Business Locator to quickly find local companies that uphold the BBB’s standards for ethical business practices.

Credentials count.

Make sure the exterminator has sufficient training and certifications. Ideally, the company will also be a member of a national or local trade association. Also research the company with your local pest control regulatory board.

Ask about liability insurance.

Find out how the company is covered, and how you will be reimbursed, if they happen to break any of your belongings or damage your home or office.

Get educated.

Make sure that you completely understand the extent of the infestation as well as the possible remedies and side effects of any chemicals used. Do your own research online into the problem and possible solutions.

Read the fine print.

Always read the find print carefully and don’t just take a technician’s word for it. Pay close attention to any warrantees or termination fees if you’re entering into an extended contract for monitoring or future services.

For more advice on hiring home maintenance professionals, visit http://www.bbb.org/us/consumer-tips-home/.

BBB says new Liberian scam same as the old Nigerian scam

10/5/2010

Posted on 10/5/2010 by

September 29, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) is receiving reports from businesses and consumers in the area who have received suspicious faxes allegedly sent by the son of Charles Taylor, the former president of Liberia who is currently on trial for war crimes at The Hague. The fax tells recipients they might be entitled to 30 percent of $177 million being kept in a secret bank account. The BBB is advising the public to disregard these faxes as they are fraudulent.

“This is simply a variant of the Nigerian scam,” said Dana Badgerow, president and CEO of the BBB. “Anyone who makes the mistake of following up on this ‘offer’ will soon find themselves being asked to put up their own money to pay taxes or fees on the non-existent funds. Not only that, but they’ll be putting themselves in contact with potentially dangerous people.”

The Nigerian scam, which has been perpetrated worldwide, targets small businesses, churches, and other non-profit organizations. A letter marked "urgent" or "confidential" arrives from Nigeria via mail or fax. The sender claims to be an official of a company or government ministry, or has an official-sounding name such as doctor, chief, lawyer, or prince. Some letters are written on "government" stationery.

Although each letter may contain a slightly different appeal, the "official" asks for assistance in transferring millions of dollars of excess money out of Nigeria. The person proposes depositing the money in a trustworthy U.S. bank account, in exchange for which the account-holder will receive 30 percent or more of the transferred funds. To participate in the deal, the business or individual must provide their bank account number and the name, address, phone and fax numbers of the bank.

Using the provided information, the con artists can then plunder the victim's bank account. Or they may try to get money directly by requesting exorbitant payments to cover transfer fees, travel expenses, taxes, or necessary bribes before the transaction can occur. Once the money has been wired, the scammers typically disappear and are hard to trace. Needless to say, no one has ever received the promised funds, and losses from participating in illegal foreign business deals are nearly impossible to recover.

If You Receive an Offer
If you're tempted to respond to an offer like this, the Federal Trade Commission (FTC) suggests you stop and ask yourself two important questions: Why would a perfect stranger pick you — also a perfect stranger — to share a fortune with, and why would you share your personal or business information, including your bank account numbers or your company letterhead, with someone you don't know? The U.S. Department of State also cautions against traveling to the destination mentioned in letters such as these. According to State Department reports, people who have responded to these solicitations have been beaten, subjected to threats and extortion, and in some cases, murdered.

If you receive a fax like this, you can report it to the FTC at www.ftc.gov. People who receive an offer via email from someone claiming to need their help getting money out of Nigeria – or any other country – should forward it to the FTC at spam@uce.gov.

If you have lost money to one of these schemes, call your local Secret Service field office. Local field offices are listed in the Blue Pages of your telephone directory.

BBB provides tips to storm damage victims

9/24/2010

Posted on 9/24/2010 by

September 24, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) is reminding people that while natural disasters often bring out the best in people, there are a handful of companies and individuals who will attempt to take advantage of the victims.

Some of the most common "after-disaster" scams involve home and yard repairs or clean-up. The BBB offers the following tips to homeowners who have suffered property damage:

Contact your insurance company immediately to inquire about policy coverage and specific filing requirements. This gets the ball rolling on the claim process, and might make you eligible for loss-of-use benefits – meaning you could be reimbursed for hotel costs, food, and other living expenses while your house is unavailable. Be sure to save all of your receipts.
Document the damage to your property and possessions thoroughly; take pictures or video if possible. Go from room to room and create a detailed account of your belongings.
Do not make any permanent repairs until you get approval from your insurance company. Your insurer might not fully reimburse you for permanent repairs made without their authorization.
Make any minor repairs to limit further damage to the home. You may be liable for damage that occurs after a storm has passed, so make temporary repairs, such as boarding up broken windows or throwing a tarp over a leaky roof.
Get references from friends and relatives and contact the Better Business Bureau to obtain Reliability Reports on any company you are considering hiring. Visit our Website 24 hours a day at www.bbb.org. Or call 651-699-1111, toll-free at 1-800-646-6222. Shop around and get more than one estimate.
Ask all companies for proof of liability and workers compensation insurance as well as a license to do work in Minnesota. A contractor should be responsible for obtaining all necessary permits, not you. Local or national companies may both do a fine job with your storm damage repair needs. If you choose to do business with someone who is not local, be sure to understand who will be taking care of any service needs that may arise after the completion of the project.
Understand the difference between warranties and guarantees. The manufacturer warranties their products and contractors have warranties on service. Contractors may also offer customer service guarantees. Get copies of any/all warranties and guarantees.
Refrain from filing an insurance claim on something that you do not intend to fix. There could be repercussions from your insurance company when you do not make repairs you are being compensated for. Keep in mind that if you hold a mortgage on your home, your mortgage company may have a vested interest in you making the repairs and most will mandate you to make the repairs. Most checks from insurance come to the consumer with both the consumer’s name and the mortgage company’s name. Both need to sign off on the check.
Some companies list bids on their own contract to do service work on your home/property and some do not (basing their pricing on "insurance allowance"). Both are acceptable methods of conducting business.
Prepare a written contract agreement with anyone you hire. It should specify the work to be done, the materials to be used, and the price breakdown for both labor and materials. Be aware that anything you sign is a contract. Read carefully and avoid signing an "estimate" or "authorization" form before you have actually decided to hire a particular contractor. Pay special attention to any details in bold, that are underlined or that you need to initial.
Be sure the name, address, license number and phone number of the contractor appear on all invoices and contracts!
Any promises made orally should be written into the contract, including warranties on materials or labor.
Never pay in full for all repairs in advance, and do not pay cash.
Review all documentation before signing on the dotted line and before making any payment. Be sure it specifies the schedule for releasing payments to the contractor. Ask for a start and end date for the work to be done.
Although you may be anxious to get things back to normal, avoid letting your emotions get the better of you. Don't be pressured into making an immediate decision with a long-term impact. Make temporary repairs if necessary. Storm victims should never feel forced to make a hasty decision or to choose an unknown contractor.

Better Business Bureau Tips for using Craigslist

9/21/2010

Posted on 9/21/2010 by

Better Business Bureau Tips for using Craigslist
Consumers urged to be cautious

September 17, 2010 – Saint Paul, MN – In the wake of another tragic death in the Twin Cities area involving a transaction initiated through Craigslist, the Better Business Bureau of Minnesota and North Dakota (BBB) is advising the public to practice caution when using the online service and others like it.

“There are certainly deals to be found online, but it’s good for both buyers and sellers to remember they’re usually dealing with people unfamiliar to them,” said Dana Badgerow, president and CEO of the BBB. “There are risks involved and we feel it’s very important that people take the time to pause and consider both their personal and financial security.”

Here are some basic tips from the BBB in regard to using sites like Craigslist:

Try to deal with local buyers and sellers.
Never wire funds.
Use caution when using an escrow service – make sure it’s reputable by checking them out at www.bbb.org.
Never give out your Social Security or personal financial information.
Don’t apply for jobs that require a payment.
Apartment or home rentals should be thoroughly checked out and inspected in person before money is put down.
Consider the risks involved with selling a high value item yourself and weigh that against any extra profit you might make. Is it worth it?

The following are red flags, signs you’re likely dealing with someone using Craigslist to defraud people:

The buyer or seller is from another country.
The buyer or seller will not meet with you and will only communicate via e-mail.
The buyer overpays and asks you to wire the extra funds back to him/her.

The riskiest part of buying or selling something through Craigslist (or other online e-commerce sites) is the meeting to complete the transaction. Here are some tips to ensure your transaction goes safely and smoothly:

Set up meetings during daytime hours and in a public place (coffee shop, restaurant).
Consider bringing a friend or family member with you if you have safety concerns.
If you’re the seller, consider using an escrow service.
If you’re buying an item, don’t pay with cash if the item is more than one hundred dollars; pay with a cashier’s check and let the seller know in advance you’re paying with a cashier’s check.
If the seller insists you come to their home or apartment, tell them you will only meet at a neutral public site.
Trust your instincts. If you don’t like the direction things are taking, walk away.

As in life, most of the people you deal with when buying or selling household goods on sites like Craigslist are honest. However, there are those who see these sites as an opportunity to commit crimes. The BBB advises everyone who uses websites like these to make sure they’re doing everything they can to protect themselves.

Contact:
Dan Hendrickson, Communications Coordinator
651-695-2463 / dhendrickson@thefirstbbb.org

Better Business Bureau Announces 2010 Integrity Award Finalists

9/17/2010

Posted on 9/17/2010 by

September 14, 2010 – Saint Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) announced the finalists today for the prestigious Better Business Bureau Integrity Awards. The 11th Annual Integrity Awards ceremony will take place Wednesday, October 20, 2010 from 6:00 – 9:00 p.m. at the Minnesota History Center in St. Paul.

The BBB presents the Integrity Award each year to companies who exemplify ethical behavior and display integrity in all aspects of their operations; toward their employees, vendors, customers, and within their community. The Integrity Award is open to all for-profit businesses located within the Minnesota and North Dakota region. Each year, the BBB invites anyone to nominate a company they feel demonstrates exceptional ethics. Nominees are then offered the opportunity to submit an entry to the BBB, where a panel of independent volunteer business and community leaders review the entries and decide on a winner(s). Companies compete in four different categories based on number of employees.

The 2010 BBB Integrity Award finalists are:

Category I (1-10 employees): EDS Builders, Inc., Lakeland, MN; Kamarron Design, Inc., Minneapolis, MN; Thread Logic, Jordan, MN.
Category II (11-50 employees): Latuff Brothers Auto Body, Saint Paul, MN; Schmit Towing, Inc., Minneapolis, MN; Victory Auto Service & Glass, Fridley, MN.
Category III (51-100): Carpet King, Inc., Minneapolis, MN; Lehman’s Garage, Bloomington, MN; ORBIT Systems, Inc., Mendota Heights, MN.
Category IV (100 + employees): Empire Today, LLC, Eagan, MN; Right at Home, Bloomington, MN.

“Today more than ever it’s necessary that we spotlight and celebrate companies in our region who operate with integrity in all aspects of their operations,” said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. “The Better Business Bureau and our fellow Integrity Awards sponsors are proud to provide the platform for this special event which recognizes the wonderful achievements of all of our finalists.” Recipients of this year’s Integrity Award will be announced live at the event on Wednesday, October 20, from 6:00 – 9:00 p.m. at the Minnesota History Center, 345 Kellogg Boulevard West, Saint Paul.

This year’s keynote speaker is Kathy Tunheim, President and CEO of Tunheim Partners, Inc. Ms. Tunheim is a highly respected business leader, specializing in corporate communications and communication strategy. Prior to cofounding the agency which became Tunheim Partners, Inc., Ms. Tunheim was Vice President of Public Relations and Internal Communications at Honeywell, where she gained experience in both the corporate world and the political arena that profoundly shaped her business approach. She also serves as trustee and board chair of several large nonprofit and philanthropic organizations.

Tickets for this event are available to the public and can be purchased online at www.thefirstbbb.org or by contacting Mackenzie at mkelley@thefirstbbb.org or 651-695-2482. Pre-registration is required.

Early bird tickets (dinner included) are available at the following rates until September 30:

Member pricing:
- Individual tickets are $65
- 10 tickets are $585
Non-member pricing
- Individual tickets are $85
- 10 tickets are $765

After September 30, ticket prices will be $70 and $90, respectively.

This is the fourth year that the BBB will present its Student of Integrity Scholarship Awards to high school seniors who demonstrate (through essay) their understanding of the impact ethical decisions have had on their lives. Best Buy is sponsoring the awards this year, and one $10,000 and one $5,000 scholarship will be presented to students of integrity to use towards the colleges of their choice.

“These scholarships are a wonderful way to reward students who have dealt with adversity, but found ways to remain true to themselves and their values,” said Lisa Jemtrud, Director of Outreach and Industry Services for the BBB.

Sponsors for the event are: ABRA Auto Body & Glass; Best Buy; The Gold Guys; Financial Concepts; The CW Twin Cities; Minneapolis-St. Paul Business Journal; Think Mutual Bank; Northland Group; CenterPoint Energy; Memory Vision; Clear Channel Radio; Rippe Print Communications; CHS, Inc. and Valley Pools & Spas.

Seven Tips for College-Bound Students to Fight Identity Theft

9/16/2010

Posted on 9/16/2010 by

College students have enough to juggle when it comes to school, work and their social life and fighting fraud often doesn’t make the list of priorities. Because college students are so susceptible to identity theft, the Better Business Bureau of Minnesota and North Dakota recommends that they take seven simple steps to protect themselves on campus.

According to the 2010 Identity Fraud Survey Report released by Javelin Strategy and Research, more than 11 million people became victims of identity theft in 2009. Young adults aged 18-24 took the longest to detect identity theft—132 days on average—when compared to other age groups. Subsequently the average cost ($1,156) was roughly five times more than amount lost by other age groups.

“Identity thieves don’t care if you’re a struggling student and don’t have a penny to your name; sometimes all they want is to exploit your clean credit record,” said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. “Young adults that establish good habits for monitoring and detecting fraud are laying a path that will help create a healthy financial road for the rest of their lives.”

The BBB recommends that college-bound students take the following seven steps to fight identity theft on campus:

School mailboxes are not always secure and can often be easily accessed in a dorm or apartment. To combat sticky fingers in the mailroom, have sensitive mail sent to a permanent address such as the parents’ home or a PO Box.

Important documents should be stored under lock and key—such as in a filing cabinet. This includes social security card, passport and bank and credit card statements. Shred any paper documents that have sensitive financial information rather than just tossing them out. Also shred any credit card offers that come in the mail.

Never loan your credit or debit card to anyone, even if they are a friend. Also just say no if your friend wants you to cosign for a loan or financing for items like a TV.

Make sure your computer has up-to-date antivirus and spyware software. Always install any updates and patches to your computer’s operating system or browser software which help keep your computer safe from any new advances by identity thieves online.

Always check your credit or debit card statements closely for any suspicious activity. The sooner you identify any potential fraud, the less you’ll suffer in the long run.

When shopping on unfamiliar web sites, always check the company out first with the BBB online (www.bbb.org). Also look for the BBB Accredited Business seal along with other trust seals; be sure to click on those seals to confirm they are legitimate.

Check your credit report at least once a year with all three reporting bureaus for any suspicious activity or inaccuracies. You can do this for free by visiting www.annualcreditreport.com.

For more advice on fighting fraud and managing personal finances visit us online at www.bbb.org/us/consumer-tips-finance.

Better Business Bureau Still Accepting Applications for 2010 Student of Integrity Scholarships

9/10/2010

Posted on 9/10/2010 by

September 10, 2010 – Saint Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) reminds high school seniors in Minnesota and North Dakota there’s still time to get their applications in for the 2010 Student of Integrity Scholarship Awards sponsored by Best Buy. There are two scholarships available, one for $10,000 and one for $5,000. The scholarships are awarded to individuals who demonstrate an understanding of the impact of ethical choices in their lives, as well as a commitment to integrity. Though a person’s academic record is considered, the scholarships have more to do with ethics than they do with grade point average.

“As the BBB, we encourage all students to always finish projects in advance,” said Dana Badgerow, President and CEO of the BBB. “That being said, many of us had to ‘cram’ to meet deadlines back in our school days. So even though time is growing short, we very much hope more students submit applications for these potentially life-changing scholarships.”

All Minnesota and North Dakota students who will be seniors during the 2010-2011 school year are invited to submit essays detailing times in their lives when they were faced with ethical challenges and how they dealt with them. All essays must be received no later than Monday, September 20th by 4:00 pm. The essays need to be 1,000 words or less and must be accompanied by a personal information page, one letter of reference, transcripts from sophomore and junior years, employment history, a list of extracurricular activities, and any post-secondary education plans.

The application and further details are available at http://minnesota.bbb.org/student-of-integrity-scholarship/.

The scholarships will be presented in conjunction with the Better Business Bureau Integrity Awards, which are given to companies that demonstrate ethics in their business practices. The BBB Integrity Awards will take place Wednesday, October 20 from 6:00 – 9:00 p.m. at the Minnesota History Center in St. Paul.

Get Multiple Estimates in One Simple Step with BBB’s eQuote!

9/9/2010

Posted on 9/9/2010 by

Your Better Business Bureau is proud to offer you a new way to get estimates from a number of reputable companies in one simple step. Our free eQuote program allows you to get estimates from multiple BBB Accredited Businesses in minutes. No more flipping through the phone book or checking out individual websites to try to find dependable companies in your area. Just type in your zip code and the type of service you’re seeking and eQuote does the rest.

“Though we offer many helpful services to the public, in terms of the time it saves, eQuote is among the handiest,” said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. “We think people are really going to like it.”

To learn more about eQuote, click here!

Why do scams and cons always seem to follow disasters?

8/30/2010

Posted on 8/30/2010 by Dan Hendrickson
Someone posed the question above to us recently, and it really made us think. The Better Business Bureau would like to start by saying that the vast majority of people are honest; scammers make up a very small percentage of our society. In fact, the argument could be made that a significant portion of the scams that target Americans originate outside our country. But, to be sure, there’s no shortage of dishonest operators doing ‘business’ right here in the U.S. And as the saying goes, a few bad apples can certainly spoil the bunch.

We live in a world where things are always happening; some good, most innocuous, and some horrifying and tragic. Strangely, it’s often the sad events – natural disasters, accidents – that pull us together as a society, reminding us all of our humanity and the simple fact that we all share the same space. When disaster strikes, such as the Haiti earthquake or the oil spill in the Gulf of Mexico, and people are suffering, the first reaction of most people is, ‘How can I help?’ But there is that small percentage whose first thought is always, ‘How can I profit from this?’ These people know that money will soon be flowing to the affected areas and the people that live there, but that’s of no importance to them. What matters is figuring out a way to divert at least some of that money into their pockets.

What makes people act like this is a question best left to the experts, such as psychologists and sociologists. Anthropologists would also have some perspective on this, as theft is something that goes back to Biblical times and has afflicted – and afflicts – most societies in one form or another. To be sure, having worked to uncover and expose fraudulent offers for almost 100 years, the BBB has a wealth of knowledge to draw from on this subject. In our view, the most obvious answer to the question of why scammers are always so quick to try to capitalize on disasters and human suffering may have been uttered many years ago by Willie Sutton, a bank robber who said he robbed banks because ‘that’s where the money was.’ It might be as simple as that.

This could explain why we heard about employment scams in the wake of the oil spill in the Gulf; why we heard about fake charity scams in the aftermath of both Hurricane Katrina and the Haiti earthquake; why scammers monitor obituary notices in the hopes of defrauding grieving widows and widowers: the opportunity to profit is there.

Say what you will about scammers, but many of them are not stupid. Some are, but they don’t usually stay out of jail long to have much of an impact. No, the professional scammers know that there’s opportunity in times of trouble. They know that caring people will be opening their pocketbooks and thinking with their hearts, not their heads, and are thus vulnerable to scams and fraudulent schemes. What’s their motive, you might ask? Their motive is their own financial gain, and opportunity plus motive generally equals crime.

It’s a simple and yes, a rather sad equation. For consumers, however, the answer to that equation is to simply be on guard. Scammers are always a concern; that’s a fact of life. But people shouldn’t let that fact make them cynical. If you do your research at http://www.bbb.org/us/charity/ (The BBB Wise Giving Alliance), you can be sure your donations are going towards legitimate charities that will make sure the money gets to where it’s needed most.

BBB Warns Public about Fraudulent, Aggressive Collection calls

8/30/2010

Posted on 8/30/2010 by

Consumers report being threatened with arrest

August 26, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) has received reports of fraudulent and aggressive collection calls targeting area consumers. In some cases, consumers have been threatened with arrest if they don’t pay off alleged debts immediately.

“People need to be aware that these calls are occurring and they need to know what to do if they receive a call like this,” said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. “The threat of arrest is a dastardly tactic, and it’s important to know what your rights are.”

The BBB urges the public not to be intimidated by debt collectors or people claiming to be debt collectors, and to keep in mind they have rights under the Fair Debt Collection Practices Act (FDCPA). Under that Act, debt collectors may not harass, oppress, or abuse debtors or any third parties they contact, nor can they state that anyone will be arrested if they don’t pay their debt.

Consumers who have reported these calls to the BBB have all either received or applied for a payday loan. However, all have stated that when they received these collection calls they were either not behind on their loans or had decided not to receive a payday loan. They also stated that when they contacted the payday loan companies they worked with, they were told these companies were not aware of or affiliated with any collection efforts. Some consumers have said the people making these collection calls had heavy foreign accents.

The fraudulent debt collectors, who have claimed to be both the Law Group of California and the Cyber Crime Unit of California, seem to have sensitive personal information of the people they’re calling. In one case, they had the last four digits of the consumer’s bank account and Social Security number. It’s unclear how this information was obtained. The Law Group of California (DBA United Attorney Services) has an F rating with the BBB of Los Angeles. http://los-angeles.bbb.org/Business-Report/United-Attorney-Services-100096503

Consumers who receive aggressive calls like this are advised to retain their composure. Don’t be bullied or pressured into sending the company a payment. Check the company’s Reliability Report with the Better Business Bureau at www.bbb.org and also check to make sure the company has proper state licensure. In addition, consumers should keep the following in mind:

Within five days after you are first contacted by a debt collector, the collector must send you a written notice telling you the amount of money you owe, the name of the creditor to whom you owe the money and what action to take if you believe you do not owe the money.
If you send a letter to the collection agency disputing that you owe the money within 30 days of receiving a collection notice, the debt collector cannot make further collection efforts until you receive proof of the debt. If you cannot obtain an address by which to contact the collection agency in writing, you may be the target of a scam.
You can file a complaint with the BBB, the FTC (www.ftc.gov) or with your state’s Attorney General’s Office.

For more information on collection agencies and your rights under the Fair Debt Collection Practices Act, go to: http://www.bbb.org/us/article/4732

Contact: Dan Hendrickson, Communications Coordinator
651-695-2463 / dhendrickson@thefirstbbb.org

Better Business Bureau hopes their State Fair giveaways ‘stick’ with consumers

8/19/2010

Posted on 8/19/2010 by

BBB Tips on a Stick not edible, but might keep fairgoers from being left with a bad taste in their mouths.

August 18, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) will have a booth in the Education Building at the Minnesota State Fair this year, and in the spirit of the Great Minnesota Get-Together, they’ll be offering something on a stick: tips for consumers.

Each day at the Fair, the BBB will hand out a different ‘Tip on a Stick’ designed to make Fairgoers more savvy shoppers. The tips will come on a small piece of cardboard attached to a stick, which will double as fans people can use to stay cool in what is typically steamy late summer weather.

“We’re incredibly excited to be at the State Fair,” said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. “And even though our offerings on a stick won’t satisfy any hunger cravings, they might prevent people from being left with a bad taste in their mouths – as well as help keep them cool.”

One of the tips the BBB gives away each day will have a sticker on it good for a free pork chop on a stick. BBB Tips on a Stick will also be available at the KTLK-FM booth.

All twelve daily consumer tips center on ways people can become wiser consumers and avoid potential pitfalls when making purchases from out of town merchandisers. Though the State Fair has a rigorous screening process for vendors, it’s always a good idea to:

know who you’re dealing with
know how to contact vendors if there are any problems
make sure you understand refund and exchange policies before making a purchase

Simply by following these guidelines and employing common sense, Fairgoers can ensure their State Fair experience is memorable for the right reasons!

Beware of Fake Soldiers on Social and Dating Web Sites

8/19/2010

Posted on 8/19/2010 by

St. Paul, MN – August 18^th, 2010 – Scammers pretending to be members of the military are wooing women on internet dating and social networking sites…but they aren’t looking for love – they are looking for money.

According to the U.S. Army Criminal Investigative Command, these scammers are using real military photos to create fake profiles and they have received hundreds of complaints in the last year about the scam. Some scammers have even used photos of military members that have passed away.

The Command reports that con artists build relationships with women and then start asking for money for things like Internet use, phones, leave papers, money to enable them to come visit the victim, etc. Once the woman sends the money, they never hear from the person they thought they could trust.

“To conduct a scam like this, which preys on the lonely by exploiting their emotions and admiration for our troops, is appalling,” said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. “Online dating has become quite popular indeed, but the downside to that is that it's also created an environment ripe for scammers.”

Many of these emails have been traced back to foreign cyber-cafes in Africa but the individuals perpetrating these scams are difficult, if not, impossible to track down.

At least one local dating service has seen this scam on their radar so be careful when on such a Web site and never, ever send money to someone you’ve never met.

If you feel you may have been a victim of such a scam, report it to the Internet Crime Complaint Center: ic3.gov / 800-251-3221 and the Federal Trade Commission: ftc.gov / 1-877-438-4338.

# # # #

Don’t Get Sucked in By Deceptive Air Duct Cleaners

8/18/2010

Posted on 8/18/2010 by
Local ads offering a low price on air duct cleaning can seem like a great deal with minimal risk. While most companies are on the straight and narrow, the Better Business Bureau of Minnesota and North Dakota warns consumers to beware of air duct cleaning businesses that employ bait and switch tactics or try to scare the homeowner into thinking they have a serious health-threatening mold problem.

According to the U.S. Environmental Protection Agency, a careless or inadequately trained service provider can damage your ducts or heating and cooling system, possibly increasing your heating and air conditioning costs or forcing you to undertake difficult and costly repairs or replacements.

Complaints to the BBB also show that putting your trust in the wrong company can mean spending thousands of dollars on unnecessary mold remediation services. “Most of us aren’t experts when it comes to maintaining the mechanical components of our house and we have to rely on the opinion of technicians,” said Dana Badgerow, President and CEO of the BBB. “Unfortunately, some companies are taking advantage of that trust by misleading customers and even lying about having a serious mold problem.”

The BBB recommends consumers:

- Check the Company Out With The BBB: Before setting up a visit, check the company out with your Better Business Bureau first. Ideally, the business will be Accredited by the BBB or at least have a solid rating. Be sure to pay close attention to the name of the business you’re researching because unscrupulous outfits often choose a name that is similar to an existing business that has a solid reputation. To check out a business’s Reliability Report or locate a BBB Accredited duct cleaner visit http://www.bbb.org/us/Find-Business-Reviews/

- Read the Fine Print: Ads and contracts may contain fine print which the business might think will absolve them from honoring their advertised price. Always ask plenty of questions and get to the bottom line of what it’s going to cost you, before you sign on the dotted line.

- If the duct cleaner discovers that you have a mold problem, get a second opinion: Mold remediation can cost a lot of money, so you’ll want expert advice on how to take care of it.

- File a Complaint with the BBB: If you believe you’ve been misled by a business, file a complaint with your BBB online at http://www.bbb.org/. Even if the BBB isn’t able to resolve the issue for you, the complaint can serve as a warning to other consumers about the business.

BBB Readies for Minnesota State Fair

8/18/2010

Posted on 8/18/2010 by Dan Hendrickson
It’s August, and for the first time ever the BBB of Minnesota and North Dakota will have a booth at the Minnesota State Fair! Each day of the Fair you’ll be able to find us over in the Education Building. Our staff has been working hard to prepare for the Great Minnesota Get-Together. Handout materials had to be ordered, labeled and stored in (heavy) boxes to await delivery to the Fairgrounds. Opening day is fast approaching!

The Minnesota State Fair, at its current location in St. Paul, has been around* since 1885, which is even longer than we’ve been in operation (1912). Combined, that’s an awful lot of history, and it only seems fitting that we’ll be a part of the festive Fair atmosphere this year.

Just as the State Fair has been there as the cities of Minneapolis and St. Paul grew up around it, so have we; working hard to establish and maintain an honest and ethical marketplace where buyers and sellers can trust each other.

As it’s grown over the years, the State Fair has attracted people from all over the country – indeed, all over the world. Conversely, from our humble beginnings in Minneapolis back in 1912, the Better Business Bureau has expanded to cover the entire U.S. and all of Canada. Today, there are 122 BBBs in operation.

The tradition of the Minnesota State Fair is a magnificent one. Is there anything better than a gorgeous late summer evening beneath the midway? Still, just as there’s no other Fair quite like the Minnesota State Fair, no other BBB can say that they were the very first BBB. We can, and we say it proudly.

We’re very excited to be a small part of the wonderful experience that is the Minnesota State Fair, and we look forward to seeing you there!

*According to Wikipedia, the first Minnesota State Fair was held in 1859.

BBB advises public on fraudulent order confirmation e-mails

8/10/2010

Posted on 8/10/2010 by
The Better Business Bureau of Minnesota and North Dakota has been informed consumers are receiving suspicious order confirmation e-mails purportedly from Zappo’s, an online shoe retailer and an Accredited Business with the BBB of Southern Nevada. The BBB has determined these e-mails are fraudulent and do not originate from Zappo’s. Consumers are advised not to click on any links in these e-mails and to contact Zappo’s directly if you’ve ordered shoes from them recently and have questions about your bill.

In all likelihood, this is a phishing scam designed to steal passwords or install a virus or malware on users’ computers. Because the message is fraudulent, the BBB advises that anyone who receives this e-mail take the following steps:

-- Do not click on any links or reply to the message.
-- Completely delete the message from your inbox.
-- Run a full virus scan on your computer if you did click on any links.

If you ever have any questions about an e-mail you receive, caution is always the best approach. Check online with the BBB at www.bbb.org or contact us at 1-800-646-6222.

You Too Can Donate Like a Billionaire

8/9/2010

Posted on 8/9/2010 by

The BBB recommends donors research charities fully before they give—just like the billionaires do

August 5, 2010 - St. Paul, MN - Forty billionaires have pledged to donate a substantial portion of their wealth to charity with the hope of inspiring others to donate to worthy causes as well. While the dollar amount might be less, the BBB of Minnesota and North Dakota encourages everyone to give like a billionaire by researching any charity fully before making a donation.

“Every experienced philanthropist has a thorough process for vetting charities in order to determine which worthy causes will be able to stretch their dollar the farthest,” said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. “While we aren’t all billionaires, we can all give like one. Evaluating the effectiveness of a charity is more than just looking at the fundraising and administrative costs. Transparency, impact, and accountability are also important factors that everyone should consider before they give.”

The BBB recommends the following five steps to give like a billionaire:

Take the time to check the organization out with the BBB Wise Giving Alliance and the local charity registration office (usually a division of the state attorney general's office). Don’t be pressured to give before you do your research.
Consider more than just the charity’s finances. Impressive financial ratios are not a guarantee that a charity is being run ethically and effectively. Review the BBB’s Standards for Charity Accountability to identify fundamental features of a well-run organization.
Don't be fooled by names that look impressive or that closely resemble the name of a well-known organization. Sometimes name similarity is used as a ruse to confuse the potential donor.
Watch out for appeals that focus solely on a problem but don’t clearly explain what the charity intends to do about it. The charity’s intended program activities should be spelled out.
If you want to consider donating to a newly established charity, take the time to review the charity’s program plans including its board approved budget. Make sure that it has the capacity to be able to follow through on its intended objectives.

About the BBB Wise Giving Alliance
The BBB Wise Giving Alliance produces reports on over 1,200 nationally soliciting charitable organizations. The BBB Wise Giving Alliance does not rank charities but rather seeks to assist donors in making informed judgments by providing objective evaluations of national charities based on 20 strict standards. The outcomes of the evaluations – or BBB Wise Giving ReportsTM – are available online at www.bbb.org/charity. The BBB Wise Giving Alliance is an affiliate of the Council of Better Business Bureaus.

BBB Warns Against Five Scams Targeting Senior Citizens

8/4/2010

Posted on 8/4/2010 by

Fraud targeting senior citizens is a growing concern as millions have fallen victim to scammers. The Better Business Bureau of Minnesota and North Dakota (BBB) encourages families to keep the lines of communication open with their elders regarding finances and to recognize some common cons targeting senior citizens.

According to a June 2010 survey by Investor Protection Trust, more than 7.3 million senior citizens—roughly 20 percent of Americans aged 65 or older-- have “been taken advantage of financially in terms of an inappropriate investment, unreasonably high fees for financial services, or outright fraud.”

“Having a serious conversation with your elderly parents about how they are managing their money is not easy, but it is extremely important in order to help protect them from unscrupulous crooks,” said Dana Badgerow, president and CEO of the BBB. “It’s important to keep the lines of communication open so that you can identify suspicious spending habits, as well as educate your elder family members on recognizing the red flags of common cons.”

The BBB warns against the following five scams that commonly target senior citizens:

Sweepstakes and Lottery Scams – Typically, the victim receives a letter in the mail stating they have won a lottery or sweepstakes; it might even claim to be from Publisher’s Clearing House or Reader’s Digest. The letter instructs the victim to deposit an enclosed check and then wire a portion back to the company to cover taxes or administration fees. While the funds will initially show up in the bank account, the money will be removed when the bank determines the check is fake. The victim is out whatever funds they wired back to the scammers — often amounting to thousands of dollars.

BBB Advice: Never wire money to someone you don’t know. You should never have to send money to receive any winnings from a lottery or sweepstakes.

Medicare Scams – Navigating the Medicare system isn’t easy and some scammers will look for any opportunity to take advantage of the confusion. Commonly, a scammer will claim to be with Medicare and ask for personal information such as Medicare, Medicaid, social security, credit card or bank account numbers. The victim might be given any number of excuses to provide this information including that an error needs to be fixed, that he or she is part of a survey or eligible to receive free products or can sign up for a new prescription drug plan.

BBB Advice: Remind your elderly family members that Medicare will never call to ask for sensitive personal financial information. If you suspect fraud contact your local police or the Health and Human Services Office of Inspector General at 800-HHS-TIPS.

Bereavement Scams – Scammers will often try to take advantage of the increased vulnerability of senior citizens who have recently lost a loved one, such as a spouse. In one recent example, a mother and daughter team in Ohio would find targets by scouring the obituaries. They would then call the widow or widower and claim that their spouse had outstanding debts that needed to be paid immediately. Victims would then provide a blank check or credit card.

BBB Advice: Offer help to elderly family members if they have recently lost a loved one and are inexperienced in managing finances. If you are uncertain about owing a debt when collectors call, ask for written confirmation.

Deceptive Professionals – While many scams targeting senior citizens might not have a face, some scammers will be invited in the front door including technicians, contractors, chimney sweeps, air duct cleaners and other services. Some professionals will lie about the extent of the problem or claim safety issues and then inflate prices for unsuspecting senior customers.

BBB Advice – Find professionals you can trust by checking out the BBB's Directory of Accredited Businesses. Always research a company with the BBB before you hand over any money and report any deceptive services to your BBB, local law enforcement and the state Attorney General.

Investment and Work at Home Opportunities - Promises of easy money often target older adults because they may be looking to supplement their income. The pitch might come in the form of an investment opportunity that promises big returns, or as a way to make money at home for an upfront cost. Regardless of the specifics, the victim is offered what sounds like a great opportunity but the extra income never materializes.

BBB Advice: Always research any work at home opportunity with the BBB. Beware of investment or money-making offers that seem too good to be true or use high pressure sales tactics to get you to sign up immediately.

For more advice on avoiding scams and fraud visit: www.bbb.org/us/consumer-tips-scams

Seven Tips for College-Bound Students to Fight Identity Theft

8/4/2010

Posted on 8/4/2010 by

College students have enough to juggle when it comes to school, work and their social life and fighting fraud often doesn’t make their list of priorities. Because college students are so susceptible to identity theft, however, and the Better Business Bureau of Minnesota and North Dakota recommends that they take seven simple steps to protect themselves on campus.

According to the 2010 Identity Fraud Survey Report by Javelin Strategy and Research, more than 11 million people became victims of identity theft in 2009. Young adults aged 18-24 took the longest to detect identity theft—132 days on average—when compared to other age groups. Subsequently the average cost of losses to this age group ($1,156) was roughly five times more than amount lost by other age groups.

“Identity thieves don’t care if you’re a struggling student and don’t have a penny to your name,” said Dana Badgerow, President and CEO of the BBB of Minnesota and North Dakota. “Young adults that establish good habits for monitoring and detecting fraud are laying a path that will help create a healthy financial road for the rest of their lives.”

The BBB recommends that college-bound students take the following seven steps to fight identity theft on campus:

School mailboxes are not always secure and often can be accessed easily in a dorm or apartment. To combat sticky fingers in the mailroom, have sensitive mail sent to a permanent address such as a parent’s home or a P.O. box.
Important documents should be stored under lock and key--such as in a filling cabinet. This includes your Social Security card, passport and bank and credit card statements. Shred any paper documents that have sensitive financial information rather than just tossing them out. Also shred any credit card offers that come in the mail.
Never loan your credit or debit card to anyone, even if they are a friend. Also just say no if your friend wants you to cosign for a loan or financing for items like a TV.
Make sure your computer has up-to-date antivirus and spyware software. Always install any updates and patches to your computer’s operating system or browser software which help keep your computer safe from any new advances by identity thieves online.
Always check your credit or debit card statements closely for any suspicious activity. The sooner you identify any potential fraud, the less you’ll suffer in the long run.
When shopping on unfamiliar websites, always check the company out first with BBB online (www.bbb.org). Also look for the BBB Accredited Business seal along with other trust seals; click on the seals to confirm that they are legitimate.
Check your credit report at least once a year with all three reporting bureaus for any suspicious activity or inaccuracies. You can do this for free by visiting www.annualcreditreport.com.

For more advice on fighting fraud and managing personal finances, visit us online at www.bbb.org/us/consumer-tips-finanace.

New Overdraft Rules for Debit and ATM Cards

7/26/2010

Posted on 7/26/2010 by

On July 1st new rules went into effect concerning overdrafts on your debit or ATM cards. You now get to choose in advance what happens when you make a charge on your debit or ATM card and don’t have enough money in your account to pay for it.

Let’s say you buy something with your debit or ATM card but haven’t been keeping track of how much you have in your account. It turns out you don’t have enough money in there, which means the withdrawal will lead to an overdraft. According to the Federal Reserve Board Web site http://www.federalreserve.gov/consumerinfo/wyntk_overdraft.htm there are usually two ways that banks deal with an overdraft:

Standard overdraft practices. Your bank will cover your transaction for a flat fee of about $20-$35 each time you overdraw your account. For example, if you make a purchase with your debit card for $150 but only have $100 in your account, your account will be overdrawn by $50 and your bank will charge you a fee. If you then make an ATM withdrawal for $50, your account will be overdrawn by $100 and you will be charged another fee. In this example, if the fee your bank charges for its standard overdraft practices is $30, you will pay a total of $60 in fees on $100 in overdrafts.

Overdraft protection plans. Your bank may offer a line of credit or a link to your savings account to cover transactions when you overdraw your account. Banks typically charge a fee each time you overdraw your account, but these overdraft protection plans may be less expensive than their standard overdraft practices.

So what’s different under the new rules? Basically, your bank has to give you the option to choose how the bank will deal with an overdraft from you. In the past, some banks automatically enrolled you in a standard overdraft program when you opened an account with them. Now, the bank has to ask your permission and you have to opt in. If you don’t opt in, beginning August 15th, 2010, your bank’s standard overdraft practices won’t kick in when you charge too much. Instead, the transaction will typically be declined when you don’t have enough in your account to cover it. You won’t be charged an overdraft fee, but you also won’t be able to complete the purchase or withdrawal, either.

If you have an existing account that was opened any time before July 1st, you are supposed to get a notice from your bank about their standard overdraft practices, asking if you want them to continue or not. If you open an account after July 1st, you will be asked if you want to opt in or out when you fill out the initial paperwork. Whichever way you decide, you can change your mind at any time.

Warning: If you write checks or set up automatic bill payment from your checking account, the new rules do not cover checks or automatic bill payments. Your bank can still automatically enroll you in their standard overdraft practices for those types of transactions. If you don’t want that to happen, contact your bank, but you may find that you don’t have the option to cancel.

As always, it pays to shop around when you open a checking account. Banks could lose significant revenue if a majority of customers now opt out of overdraft protection, so down the road certain banks may decide to charge their customers new fees to make up for that loss of revenue. Always be aware of the terms of service of your account, and that includes reading those updates that come in the mail! If you don’t like your bank’s terms, you may want to shop for a bank whose fee structure you like better.

Complaints to the BBB against Debt Settlement Companies on the Rise

7/16/2010

Posted on 7/16/2010 by

July 14, 2010 - St. Paul, MN - The Better Business Bureau of Minnesota and North Dakota (BBB) is warning financially troubled families to beware of misleading debt settlement companies that claim they can easily reduce or eliminate credit card debt. Since the start of the recession, the BBB has received more than 3,500 complaints from individuals, including many who paid hundreds of dollars in upfront fees to debt settlement companies but only fell deeper into debt.

"The debt settlement industry is flourishing and many families are being lured into believing that debt settlement is an easy fix and that their credit card debt will just disappear," said Dana Badgerow, president and CEO of the BBB. "The truth is that the process doesn’t work for many consumers, it has potentially serious negative consequences, and should primarily be used as a last ditch effort to stave off bankruptcy."

Consumers from all 50 states have filed complaints with the BBB about debt settlement companies since the recession began in late 2007. In addition to the BBB, angry customers are also taking their complaints to their state Attorney General. Attorneys General from Florida, Maine, Texas, Idaho, Missouri, New York, Illinois, West Virginia, Vermont and Minnesota have taken action against companies such as Dallas-based Debt Settlement America, Debt Rx USA, Financial Freedom of America and Credit Solutions which has received more than 1,600 complaints alone in the last 36 months and Austin-based Clear Your Debt and Swift Rock Financial Solutions.

Some practices by debt settlement companies are also coming under fire on Capitol Hill. In late April, Senator Charles Schumer (D-NY) introduced the Debt Settlement Consumer Protection Act which seeks to "protect consumers from deceptive, abusive and financially injurious practices rampant in the debt settlement industry."

Typically with debt settlement (also referred to as debt negotiation), the consumer pays an upfront fee to the debt settlement firm with the understanding that the company will try to negotiate a settlement with creditors for less than what is owed. The debt settlement business works with the consumer to establish a plan for the consumer to put money into an account administered by the debt settlement company or a third party, and that money is used to pay any negotiated settlements. It will usually take at least six months to a year before there is enough money to start settling accounts, and during that time the consumer will typically not be making payments to creditors. Not only does this put the consumer at risk of having creditors file garnishments or other legal actions, his or her credit rating will likely suffer as a result of not making required monthly payments.

Complainants to the BBB allege that instead of having their debt settled as promised, they were driven deeper into debt and sometimes sued by their creditors which led to mounting legal fees and had their wages garnished. Some complainants decided after making several months worth of payments that they did not want to proceed with the debt settlement process, but the debt settlement company did not give them their money back which they had set aside in one case as much as $15,000.

The BBB warns families that are drowning in debt to look for the following red flags when considering getting help from a debt settlement or negotiation firm:

High upfront fees - Beware of companies that require large upfront fees before any debts are settled. Often, these upfront fees may be better used to reduce a consumer’s overall debt.
Promises that are too good to be true - Some companies might promise that they can reduce debt by more than half even before looking into the customer’s financial situation.
Claims that it’s a fast, easy and painless process - Reducing debt through debt settlement takes time often years and can have a significant negative impact on the customer’s credit score. It can also expose consumers to lawsuits and garnishments.

Before enlisting the help of a debt settlement company, the BBB recommends that struggling consumers:

Contact their lender first - Try to work out an agreement directly with your lenders before enlisting outside help.
Seek help from a non-profit credit counseling center - Credit counseling centers can provide guidance for little or even no cost. You can find a credit counseling center near you at the National Foundation for Credit Counseling, www.nfcc.org.
Consider debt settlement only as a last resort before filing for bankruptcy protection - The debt settlement process can take years and have a severely negative impact on your credit rating and can limit your access to future credit. In the meantime, your credit card company or other creditors can decide to take you to court and garnish your wages. It is best to avoid these potential consequences if you have other workable alternatives to dealing with your debt.
Research the debt settlement firm with the BBB first. Find out how many complaints it has received, how the firm responded to complaints and whether or not there are any recent government actions or lawsuits against the company.

More advice on managing credit and paying down high balances is available through the BBB’s Managing Credit - Made Simpler at www.bbb.org/credit-management.

BBB Small Business Advice: Writing a Privacy Policy

7/16/2010

Posted on 7/16/2010 by

Online privacy policies have taken center stage as social networking sites and search engines have recently come under fire for sharing user information. Even if you think your business is too small to merit a privacy policy, the Better Business Bureau of Minnesota and North Dakota (BBB) advises that if you have a website, you will benefit by having a comprehensive privacy policy.

“Privacy policies are about transparency and are integral to building trust between your business and your customers,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “While it’s easy to get intimidated by the scope and legalese, the bottom line is, you will increase consumer confidence in doing business on your website if you have a clear privacy policy.”

When drafting your website’s privacy policy, the BBB recommends using simple language to answer the following five questions:

What information do you collect? – Outline the types of personal information that you collect from customers. This includes home address, e-mail, phone numbers and credit card numbers.
How do you collect the information? – Websites collect information from customers in many different ways. Even if you don’t actually sell goods through your site you might have an e-mail sign-up for a newsletter, an application for credit or install cookies on the visitor’s computer to track their activities. Disclose how data is being collected to show you have nothing to hide.
How do you use the information? – Include background on how you share customer information with third parties such as to process orders. If you sell customer information to marketers, explain what information is sold and how it could be used.
What control does the customer have over their personal information? – Customers need a way to contact your business and control their personal data, whether it’s changing a password on their account or taking their name off of a mailing list. Plan to include a direct phone number or e-mail address that customers can use to manage their information.
How do you protect the information? - Explain how you protect customer data including, but not limited to, website encryption, limiting employee access to sensitive customer data, and server security.

There is no cookie-cutter privacy policy. Your business is unique and your privacy policy should reflect that. Seek legal guidance before you finalize your policy. You are legally liable if you fail to abide by your privacy policy statement or if the statement does not comply with local and national laws.

As your business changes, so should your privacy policy. Plan to revise your policy as your web activities evolve and alert customers when you make revisions affecting their personal data.

For additional free advice on keeping customer data safe visit BBB’s Data Security -- Made Simpler.

Is the BBB anti-business?

7/14/2010

Posted on 7/14/2010 by Dan Hendrickson

Some business owners mistakenly believe the BBB is anti-business. As an agency that forwards customer complaints on to companies, that perception is perhaps understandable. However, nothing could be further from the truth. The Better Business Bureau was founded, way back in 1912, BY business owners. The goal then, as now, was to create an agency which would work vigilantly to maintain an ethical and vital marketplace.

The business owners who helped establish the BBB realized there needed to be an independent entity which could monitor advertising trends and identify problematic business practices; they realized that while most businesses were capable of regulating themselves, some oversight was necessary to prevent fraudulent operators from swindling customers and degrading trust in the marketplace.

Thus the Better Business Bureau was born, with the express goals of championing the cause of consumers and holding businesses to the highest standards of honesty in their advertising and selling. We do this without a single penny of government funding. That’s right: the BBB is not a government agency! True to our faith in the virtues of the private sector, BBBs are nonprofit organizations that are financed almost exclusively by membership dues paid by businesses and professional firms in local communities.

These dues allow us to provide free conciliation services to both businesses and the public; they allow us to monitor advertising on radio, television, in print and on the Internet, and they allow us to hire staffers who answer consumer questions every day and offer advice which prevents them from falling for scams and bogus offers. Every dollar we keep out of the hands of scammers is a dollar consumers have to save, invest or spend with legitimate firms.

So if you’re a business owner and receive a complaint from the BBB, we understand the natural tendency might be to get upset, but keep in mind we’re simply doing the job ethical business owners like you tasked us with almost 100 years ago. We’re not here to punish you, nor is it our goal to make your jobs more complicated. Our goal is to make every business the best business it can possibly be.

We are your Better Business Bureau.

BBB Warns Car Shoppers about Online Dealer Scam

7/8/2010

Posted on 7/8/2010 by

Victims lose thousands to scammers posing as dealers online

July 7, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) is warning car shoppers to beware of websites offering too-good-to-be-true deals on repossessed cars. The BBB has heard from people across the country who thought they were buying from a reputable dealer online but were actually sending money to scammers posing as legitimate, already-established community dealerships.

“Because scammers essentially steal the identity and good name of real auto dealers, car shoppers will think that they’re buying a car from a reputable business,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “The truth is, they’re being sold a bill of goods by coordinated, agile scammers who are in all likelihood operating from overseas.”

Recently, a Memphis auto dealer, America Auto Sales (www.memphisautoworld.com), received more than 1,000 calls from consumers across the country who had shopped for a new car on www.americautosales.com thinking that it was the website of the Memphis dealership. The phony website used the name, address and contact information of the real dealer.

The fraudulent website claimed to sell repossessed cars at prices well below market. Buyers were instructed to wire a deposit—as much as $5,000—to an individual rather than the company, which, according to the phony website, “helps us avoid taxes legally.” The balance was to be paid upon delivery at the consumer’s address within five days.

After paying the deposit, victims called the real dealership to arrange delivery of their car. Some customers even showed up at the lot to pick up the cars they had “bought” on the bogus site.

Similar websites have posed as many different dealers in Colorado, Florida, Georgia, Michigan, New Mexico and Texas. The websites are often taken down after a few days only to crop up shortly thereafter under a different URL address and under the auspices of another legitimate dealer.

The BBB recommends that car shoppers look for the following red flags when shopping for a car online:

Prices that are too good to be true.
The dealer only communicates through chat or e-mail—never by phone.
The dealer only accepts payment by money wire transfer.

If you have been the victim of a fraudulent auto dealer online, notify your BBB at www.bbb.org and the Internet Crime Center at www.ic3.gov to file a complaint.

BBB Warns that Scams Emerge in the Wake of the BP Oil Spill

7/1/2010

Posted on 7/1/2010 by

The Deepwater Horizon oil spill continues to threaten the environmental and economic health of the Gulf Coast. In the wake of the largest environmental disaster in U.S. history, a coordinated effort is underway to clean up the spill and provide aid to affected families. Your Better Business Bureau warns that the recovery effort creates a great opportunity for scammers to make an easy dollar by deceiving those who are trying to find work, file claims with BP or donate money or volunteer to help with the cleanup.

“It’s tragic that scammers are taking advantage of an already disastrous situation,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota. “Unfortunately, history has shown that in the wake of a national disaster, scammers find a variety of ways to prey on the misfortune of others.”

Whether you’re looking for work or financial assistance or want to help out by donating money or volunteering your time, the BBB recommends doing your research and avoiding the following scams:

The Job Scam: Several organizations including BP and the BBB have reported on job scams in the wake of the oil spill. Most commonly, job hunters say they were told to pay an upfront fee to get a job or pay for training. The BBB has also heard from people who were recruited for cleanup work by outfits that did not seem to have a contract with BP.

Jobs available directly with BP are posted on BP’s website. For jobs through the state, such as Florida, Alabama, Louisiana and Mississippi, you can visit the states’ job websites. If you have been recruited by a company that claims to have a contract with BP, research the business fully and try to confirm with BP that they are a legitimate employer for the oil spill clean up. The BBB advises job hunters to be wary of companies that require applicants to pay an upfront fee.

The vast majority of jobs created will go to Gulf residents or industry specialists. Many of the jobs involved in the cleanup also require specific training or certifications, such as Hazardous Waste Operations and Emergency Response training. For most cleanup jobs, the employer will provide appropriate training for new employees.

The Claim Scam: Unsolicited e-mails claiming that the recipients qualify for compensation from BP are landing in inboxes. Additionally, the FTC warns against phony adjusters who ask for fees to expedite services

The toll-free BP claims line is 1-800-440-0858. The line is available 24 hours a day, 7 days a week, or you can file a claim online through BP’s website. Additionally, there are many claims offices along the Gulf Coast. More information is available through the Deepwater Horizon Response website and on BP’s website.

The toll-free BP claims line is 1-800-440-0858. The line is available 24 hours a day, 7 days a week, or you can file a claim online through BP’s website. Additionally, there are many claims offices along the Gulf Coast. More information is available through the Deepwater Horizon Response website and on BP’s website.

The Charity Scam: Following any major disaster, scammers will pose as charitable organizations and try to solicit donations from well-meaning individuals.

The oil spill is unlike previous disasters and constraints in the clean up effort limit what charities can do with your money or how you can volunteer.

While you can’t donate or volunteer to clean up oil, opportunities may include shoreline monitoring, fund raising, office work help in food programs for families in need and providing transportation. Numerous charities with volunteer programs ask that you register with them so that they can assess your skills and place you appropriately when openings arise. The BBB Wise Giving Alliance has compiled a list of nationally soliciting charities which meet BBB standards that are asking for donations and volunteers for the Gulf effort.

How to Contact BP and Where to Report Fraud:

BP has set up phone numbers to address specific concerns surrounding the Oil Spill. You can find a contact list on their website.

BP has also set up a fraud hotline at 1-877-359-6281. Additionally, you can alert the FBI by calling (866) 720-5721 or via e-mail disaster@leo.gov. Also contact your local BBB so we can help get the word out and warn other people.

For more advice on finding a job, funding your business or donating to a charity, visit http://www.bbb.org/us/Consumer-Tips/.

Order Confirmation from GoDaddy is pure scammy

6/23/2010

Posted on 6/23/2010 by

The Better Business Bureau is warning Minnesota and North Dakota business owners about a phishing scam which targeted one of our member companies (Accredited Businesses) and may be targeting other businesses as well. The e-mail below was received by a BBB member company, who reported it to us suspecting it was a scam. They then followed up directly with GoDaddy.com, who confirmed that the e-mail was a phishing scam. GoDaddy.com advised the business NOT to click on the links in the e-mail.

Phishing is when Internet scammers send spam or pop-up messages to elicit personal information (credit card numbers, bank account information, Social Security number, passwords, or other sensitive information) from unsuspecting victims.

If you receive an e-mail similar to the one below, unless you’ve just signed an agreement with GoDaddy.com, delete it without clicking on any links. Please check online at www.bbb.org or contact us at 1-800-646-6222 if you ever receive a suspicious offer or e-mail. Internet scams can also be reported to www.ic3.gov.

BBB provides tips to storm damage victims

6/23/2010

Posted on 6/23/2010 by

June 23, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota reminds everyone who's experienced storm damage this summer to take precautions when cleaning up and making repair decisions. Natural disasters can bring out the best in people, as strangers reach out to help others in need. Unfortunately, crises also bring out persons who will attempt to take advantage of the victims.

Some of the most common "after-disaster" scams involve home and yard repairs or clean-up. The BBB offers the following tips to homeowners who have suffered property damage:

Contact your insurance company immediately to inquire about policy coverage and specific filing requirements. This gets the ball rolling on the claim process, and might make you eligible for loss-of-use benefits – meaning you could be reimbursed for hotel costs, food, and other living expenses while your house is unavailable. Be sure to save all of your receipts.
Document the damage to your property and possessions thoroughly; take pictures or video if possible. Go from room to room and create a detailed account of your belongings.
Do not make any permanent repairs until you get approval from your insurance company. Your insurer might not fully reimburse you for permanent repairs made without their authorization.
Make any minor repairs to limit further damage to the home. You may be liable for damage that occurs after a storm has passed, so make temporary repairs, such as boarding up broken windows or throwing a tarp over a leaky roof.
Get references from friends and relatives and contact the Better Business Bureau to obtain Reliability Reports on any company you are considering hiring. Visit our Website 24 hours a day at www.bbb.org. Or call 651-699-1111, toll-free at 1-800-646-6222. Shop around and get more than one estimate.
Ask all companies for proof of liability and workers compensation insurance as well as a license to do work in Minnesota. A contractor should be responsible for obtaining all necessary permits, not you. Local or national companies may both do a fine job with your storm damage repair needs. If you choose to do business with someone who is not local, be sure to understand who will be taking care of any service needs that may arise after the completion of the project.
Understand the difference between warranties and guarantees. The manufacturer warranties their products and contractors have warranties on service. Contractors may also offer customer service guarantees. Get copies of any/all warranties and guarantees.
Refrain from filing an insurance claim on something that you do not intend to fix. There could be repercussions from your insurance company when you do not make repairs you are being compensated for. Keep in mind that if you hold a mortgage on your home, your mortgage company may have a vested interest in you making the repairs and most will mandate you to make the repairs. Most checks from insurance come to the consumer with both the consumer’s name and the mortgage company’s name. Both need to sign off on the check.
Some companies list bids on their own contract to do service work on your home/property and some do not (basing their pricing on "insurance allowance"). Both are acceptable methods of conducting business.
Prepare a written contract agreement with anyone you hire. It should specify the work to be done, the materials to be used, and the price breakdown for both labor and materials. Be aware that anything you sign is a contract. Read carefully and avoid signing an "estimate" or "authorization" form before you have actually decided to hire a particular contractor. Pay special attention to any details in bold, that are underlined or that you need to initial.
Be sure the name, address, license number and phone number of the contractor appear on all invoices and contracts!
Any promises made orally should be written into the contract, including warranties on materials or labor.
Never pay in full for all repairs in advance, and do not pay cash.
Review all documentation before signing on the dotted line and before making any payment. Be sure it specifies the schedule for releasing payments to the contractor. Ask for a start and end date for the work to be done.
Although you may be anxious to get things back to normal, avoid letting your emotions get the better of you. Don't be pressured into making an immediate decision with a long-term impact. Make temporary repairs if necessary. Storm victims should never feel forced to make a hasty decision or to choose an unknown contractor.

Scams against consumers proliferate in uneven economy

6/21/2010

Posted on 6/21/2010 by

New scams claim BBB affiliation

June 21, 2010 – St. Paul, MN – New scams are targeting Minnesota consumers and they’re using the Better Business Bureau’s name to attempt to convince people into believing they’ve won prizes such as new cars or millions of dollars – and to convince them to wire hundreds of dollars to the scammers, or provide them with their bank account information.

Consumers have contacted the Better Business Bureau of Minnesota and North Dakota (BBB) to say they’re receiving calls from a company called Global International. The callers tell people they’ve won $8.5 million dollars and then give them a ‘BBB Code of Approval,’ which they say they will need to claim their prize. However, the Better Business Bureau is not affiliated with any lottery or sweepstakes and there is no such thing as a ‘BBB Code of Approval.’ It’s simply a combination of letters and numbers likely invented by the scammers. One of the bogus codes, given to at least two potential victims, is 0054-JL. Two consumers who reported this scam to the BBB have stated the scammers were also fraudulently claiming an affiliation with Bank of America.

Several BBB’s across the country have Reliability Reports on Global International, including the BBB of Cincinnati http://www.bbb.org/cincinnati/business-reviews/sweepstakes/global-international-in-cincinnati-oh-90001173/ and the BBB of Honolulu http://www.bbb.org/hawaii/business-reviews/sweepstakes/sweepstakes-and-prizes-general-information-in-honolulu-hi-22000317

Another consumer recently informed the BBB she had been contacted by a mystery caller saying they were with the BBB and telling her she had won a new car. Soon after giving the consumer that exciting news, the caller asked for their bank account information, which the consumer elected not to provide.

“Consumers should be aware that if they ever receive a call from someone claiming to be with or associated with the BBB, telling them they’ve won a prize, it’s a scam 100% of the time,” said Dana Badgerow, president and CEO of the BBB of Minnesota and North Dakota.

In a twist on the scam above, a consumer who had been targeted the day before by someone claiming to be with Global International was contacted by Global International Sales Services. The consumer was told a courier was at Customs Services at the Minneapolis International Airport with a check for $1.5 million dollars. However, before the money could be released to them, they would have to wire $175 to an address in Jamaica, where many scams like this originate. Wisely, the consumer called the BBB first and decided not to send requested funds to the scammers.

Consumers should never allow themselves to be pressured. If a caller you’re not familiar with is pressuring you to send them money immediately, contact the Better Business Bureau. Another warning sign consumers should always be on the lookout for in regard to calls like this is if they’re asked to wire money to pay fees on their ‘winnings.’ Fraudulent promoters will ask people to wire money or send a personal check back to them to cover what may seem like legitimate fees, such as processing, insurance, administrative, handling or tax fees. They also may instruct people to call a separate number to claim their winnings. When they do, scammers will try to get them to send money or ask for personal identification information that will undoubtedly be used for identity theft purposes.

The BBB advises all consumers to be wary in regard to phone calls and notifications they receive telling them they’ve won something, be it cash or prizes, and remember: if it sounds too good to be true, it is.

BBB offers money management advice for newlyweds

6/21/2010

Posted on 6/21/2010 by

Marriage is an exciting time for a couple, however, once the honeymoon is over, it’s time to sit down and get serious about your finances. After walking down the aisle, Better Business Bureau of Minnesota and North Dakota (BBB) advises newlyweds to take control of their money or risk a rocky financial future.

According to research by Utah State University, married couples that frequently fight over money are more likely to split up. Even when compared to frequent fights over other issues—such as chores, sex and in-laws—fighting about money was a better predictor of a future divorce.

“When considering your financial future, it’s important for newlyweds to realize that they are in it together and nurturing their nest egg can be a rewarding experience—and not just a source of frustration and fights,” said Dana Badgerow, president and CEO of the BBB. “Have the conversation earlier, rather than later, so that you can develop healthy personal finance habits together.”

In order to start your new life together on the right financial foot, the BBB offers the following advice:

Let Financial Skeletons out of the Closet. After marriage, any personal debt becomes “our debt” and it’s important to sit down early on and discuss what outstanding obligations exist on both sides including car loans, school loans and credit card debt. Review your credit reports to get a better idea of what you are both bringing to the marriage.

Build a Budget. After you’ve gotten a grasp on your debt, it’s time to build a monthly budget. Look at your monthly bills to create a realistic picture of how you spend. Discuss your long term goals—such as buying a house or car and having kids—and figure out how much money you need to set aside every month to reach those goals.

Designate a Driver but Travel Together. In order to avoid confusion, one person should be assigned to paying the bills every month. This doesn’t mean that the other person takes a back seat role in managing the finances. Have a discussion at least every month about your financial progress in order map your path and nip any bad spending habits in the bud.

Plan for Emergencies. Many young couples fail to save money to get them through hard times such as health problems and unexpected unemployment. Experts recommend you set aside three to six months of salary in a rainy day fund—ideally an interest-bearing account that can be easily accessed.

Save for the Future. Retirement may seem like a long way off to newlyweds, but setting aside money now means reaping big rewards later on. Take advantage of both employers’ retirement matching programs—if available—or set up individual retirement accounts.

Make a Vow to Be Savvy Consumers. Many families have had their life savings decimated after becoming a victim to fraud or identity theft. Check out your BBB’s website to find trustworthy businesses, get educated on the red flags of fraud and learn how to protect your identity.

For more advice on managing your money, www.bbb.org/us/consumer-tips-finance/.

BBB issues alert about phony Census callers

6/17/2010

Posted on 6/17/2010 by

The Better Business Bureau is warning the public to beware of callers posing as Census workers. The BBB has heard from several consumers this week who have received calls asking them where they shop for groceries, if they have ever had a mental illness and asking for personal information that could lead to identity theft.

According to the U.S. Census Bureau website, you will only receive a call in case your 10-question form is returned with incomplete or illegible information.

The calls have been coming from 866-851-2010, which is just one digit “off” a legitimate Census bureau number of 866-861-2010. The BBB called the number and asked to speak to a supervisor who even provided an identification number but who refused to say why she would be asking about a person’s shopping habits or mental health status or personal identification information.

Completing the 2010 Census is necessary for our communities to receive adequate funding for public programs and projects. If you do receive a visit from a Census worker, the Census site (http://2010.census.gov/2010census/about/whole.php) offers the following information:

If a census taker knocks on your door, here are some recognition tips to assure the validity of the employee:

The census taker must present an ID badge that contains a Department of Commerce watermark and expiration date. The census taker may also be carrying a bag with a Census Bureau logo.
The census taker will provide you with supervisor contact information and/or the local census office phone number for verification, if asked.
The census taker will ONLY ask you the questions that appear on the census form.

The 2010 Census form and the 2010 Census takers will not ask you for your Social Security number, bank account number, or credit card number. In addition, the 2010 Census form and the 2010 Census takers never solicit for donations and will never contact you by e-mail.

Scammers Target Metro Restaurants Again

6/15/2010

Posted on 6/15/2010 by

The Better Business Bureau of Minnesota and North Dakota has been made aware of another scam targeting restaurants in the metro area. In this scheme, what scammers are trying to do is trick restaurants into helping them establish an identity for an online service like Craigslist, which will allow the scammers to bypass Craigslist verification controls put in place to prevent spam and online scams.

Here’s how it works: scammers contact a restaurant and claim to be health inspectors. They then attempt to set up a time for the inspection. Before ending the call, the caller gives the restaurant employee a 5-digit confirmation code, which they say must be given to the health inspector. Another call is then received sometime later that day asking the restaurant owner to relay the confirmation number. If they do that, though they themselves have not provided any sensitive financial information, they’ve helped the scammers get past Craigslist’s (or other online services’) verification controls.

To set up a Craigslist account, users have to provide a phone number. So scammers, not wanting to tie their phone number to an account used for fraudulent purposes, will enter the telephone number of a legitimate business – usually that of a restaurant. The scammer then receives a 5-digit verification code. At this point the scammers contact restaurants pretending to be health inspectors (Note: MOST restaurant health inspections are performed on a surprise basis). Again, the goal of the scam is not –generally speaking —to defraud restaurants. What they want is for the restaurant to read back the verification code when the automated phone call from Craigslist goes out (to verify the account). If they’re successful in doing that, they’ve now got a Craigslist account which isn’t tied to their number, and they’re free to scam other people.

The BBB is unaware of any instances where anyone pretending to be a health inspector has actually visited any restaurants, but businesses should be prepared for anything. It’s a good idea to have policies in place in regard to unexpected visitors. Employees should be trained to ask for proper identification and report anything unusual to management immediately. There was an instance in the metro area several months ago where a restaurant was victimized by a robber posing as a delivery person.

In Minnesota, restaurant inspections are generally performed by the Department of Health or city/county health officials.

Gulf Oil Spill Recovery: Tips for Donors and Volunteers

6/10/2010

Posted on 6/10/2010 by

Arlington VA - June 10, 2010 - In the wake of any disaster, many reach for their checkbooks and donate money to aid and rescue organizations. The Better Business Bureau Wise Giving Alliance cautions, however, that the oil spill in the Gulf of Mexico is unlike previous disasters and offers specific advice to potential donors and volunteers.

“Although tens of thousands of individuals are already involved in the response to the oil spill, many others wonder how they can pitch in and help, whether it means writing a check or volunteering their time,” said Dana Badgerow, president and CEO of the Better Business Bureau of Minnesota and North Dakota. “Businesses, communities and wildlife across several states have been seriously impacted by the spill and the need for assistance is great. However, the logistical constraints in the clean up effort limit what charities can do with your money or how you can volunteer.”

The BBB Wise Giving Alliance recommends that donors and volunteers consider the following:

Beware of well-intentioned but inexperienced organizations – New non-profits and relief organizations spring up following any major disaster. While these groups might have the best of intentions, new charities responding to a crisis may lack the resources, experience and management needed to be effective. Ideally, look for established organizations with environmental expertise or experience aiding Gulf communities.

Understand where your money is going - Find out how the organization plans to spend funds for Gulf relief, ecosystem recovery and related activities. Among the activities that charities are promoting, in addition to shoreline rescue and protection, are needs assessment, litigation, economic relief, advocacy for new governmental energy policies and research into long-term solutions to minimize effects of future disasters. Ask whether the organization offers to restrict your donation for use in its Gulf-related activities or intends to use it for general support for all of its programs.

Rely on expert opinion when it comes to evaluating a charity - Be cautious when relying on third-party recommendations posted on blogs or web sites, as the authors might not have fully researched the organizations they list. The public can go to www.bbb.org/charity to research charities to verify that they are accredited by the BBB and meet the BBB’s 20 Standards for Charity Accountability.

Find out if the charity is doing Gulf-related work or raising funds for other Gulf relief organizations - If a charity is raising money for other groups, you may want to consider “avoiding the middleman” and giving directly to those performing the work. Research ultimate recipients of the “middleman’s” donations to ensure that theseorganizations are equipped to do the job you want to support and are aware of the individual or organization soliciting on its behalf.

Volunteering for Gulf clean-up may require special skills or training - Learn what qualifications are necessary before setting off for the site. If you’re looking to get your hands dirty, you’re out of luck unless you’re certified to handle hazardous materials or have received training to care for injured wildlife. In fact, Gulf residents are being told not to handle any tar balls that wash up on the beach or animals that might be affected by the spill. Other volunteer opportunities may include shoreline monitoring, fund raising, office work, help in food programs for families in need and providing transportation. Numerous charities with volunteer programs ask that you register with them so that they can assess your skills and place you appropriately when openings arise.

There will be many opportunities to give, so keep checking – The Gulf region will be suffering from the effects of the oil spill for years to come and, as the situation unfolds, there will be more opportunities for donors to step in and help in the future. If you can’t find a cause you can get behind right now, plan to revisit the possibility of making a donation or volunteering in the months to come.

The BBB Wise Giving Alliance has compiled a list of nationally soliciting charities which meet BBB standards that are asking for donations and volunteers for the Gulf effort. More information and charity evaluations are available at www.bbb.org/charity.

BBB Inboxes Inundated with Bogus Job Offers

6/7/2010

Posted on 6/7/2010 by

For the last week or so, employees of the BBB of Minnesota and North Dakota have watched our e-mail inboxes swell with fraudulent job offers from unknown senders. You would THINK scammers would take the time to make sure agencies like ours were taken off their mailing lists, but apparently that’s not the case.

Most of these ‘offers’ are variations of the same bogus offer – only the name of the scammer changes – but they all have the same theme: you can make money the easy way. Unfortunately, this is yet another example of the old maxim ‘if it sounds too good to be true, it is.’

First of all, the solicitation e-mails are very vague and poorly written. They also tell ‘potential employees’ that a prerequisite for the job is having a bank account. This is a HUGE red flag. Job seekers should never give out their bank account numbers to any potential employer, and if you’re ever asked to wire money through your personal bank account, you can bet something fraudulent is occurring – and you will likely be the one to pay the price for it.

The following is an example of the fraudulent e-mails our staff has been receiving (this is what we call a reshipping scam):

Subject: [SPAM] Do you need additional work? We seek employees
Importance: Low

My name is Leta and our company is looking to fulfill several part time positions in your region. We are one of the largest internet solutions resellers on the market and are looking to build strong support team in United States to provide the best Customer Care.

Title of the current position available is "Payment Processing Assistant" and we have seven openings.

An ideal applicant for this position must meet the following requirements:
* At least 22 years of age
* Resident of United States of America
* Very observant and able to focus on details
* Patient
* Trustworthy
* Practical
* Loves to learn
* Explains well in writing
* Handles deadlines
* Bank account
* Full internet access (at home or at work)

Benefits:
* 50% of the monthly cell phone bill is covered by the company
* Monthly salary starting at $2000(after a month evaluation period)
* 5% commission for every processed transfer
* Banking, Western Union and Money Gram fees is be covered by the company

If you are interested please reply to: [redacted]

The Better Business Bureau offers the following tips to help job seekers avoid these types of employment scams:

Avoid job listings that use these descriptions: “package forwarding,” “reshipping,” “money transfers,” “wiring funds” and “foreign agent agreements.” These and similar phrases should raise a red flag.
Do not be fooled by official-sounding corporate names. Some scam artists operate under names that sound like those of long-standing, reputable firms.
Never forward or transfer money from any of your personal accounts on behalf of your employer. Also, be suspicious if you are asked to “wire” money to an employer. If a legitimate job requires you to make money transfers, the money should be withdrawn from the employer’s business account, not yours.
Do not give out your personal financial information. A potential legitimate employer will not request your bank account, credit card or Paypal account number. Only provide your banking information if you are hired by a legitimate company and you choose to have your paycheck direct deposited.

BBB Tips on Selling Gold and Jewelry

6/3/2010

Posted on 6/3/2010 by

With the tight economy and continued high unemployment rates, more and more people are considering selling their gold and jewelry for extra cash or to make ends meet. While the lure of cashing in on old or broken jewelry is strong, there are some things you should be aware of before sending your merchandise away or making any deals.

Consider your options. It is important to do research on the companies you plan to do business with in most situations, but especially when valuables are the commodity.

Resale value will likely be less than purchase amount. Jewelry purchased in a retail setting is marked up according to production costs and other retail factors. When you sell your jewelry, especially gold, you are getting what is similar to the wholesale price.

Things change. The price of gold is not a set price, nor is it regulated, so it’s in your best interest to shop around. Ideally, customers will be able to shop prospective buyers on the same day, as the price of gold is subject to change daily.

Be aware that after receiving merchandise you send through the mail, some buyers will send you a check without first allowing you the opportunity to reject their offer. At that point they have your gold and you have a check for an amount you think is too low. These buyers are relying on you accepting the check rather than going through the hassle of returning it and trying to get your gold back. If this happens to you, be aware of your rights and remember you do have options.

Look for a reputable jeweler in your area. Getting an appraisal for jewelry is a good way to know what the actual value of your merchandise. Do not be afraid to ask for the karat information and weight in pennyweights or Troy ounces. This information is valuable in determining the market value of the jewelry being sold. Jewelry that is gold plated or less than ten karats is typically not worth much.

You should get carded. In accordance with the 1979 Anti-Fencing Law, a buyer is required to card someone selling them gold. If your driver’s license or state I.D. is not asked for, it could be a sign that this business is not right for you. To learn more about the Anti-Fencing Law, visit the U.S. Department of Justice website at www.usdoj.gov.

Location, location, location. While the internet is a fabulous tool, it may be more helpful for first time sellers to meet with an actual jeweler first to learn more about what they are selling. Make sure that there is a physical address and telephone number for the business you are considering.

Use a tracking system. Be cautious if you’re mailing your gold to an out of state buyer. Pay the shipper the extra amount which allows you to track your package and/or send your items certified. You will also want to insure your merchandise.

Not all jewelry is created equal. The ideal jewelry to sell for scrap is mismatched and broken, because it has no real purpose otherwise. However, jewelry with a designer label, has an intricate pattern, or contains gemstones is more valuable. This type of jewelry is better off sold to a jeweler or at an auction.

If you’re selling gold coins, be aware that many coins have value beyond their worth in gold. Consult a coin collector’s book or do some research on the Web before selling your coins.

Check with the Minnesota Department of Commerce. Like pawn shops, gold buyers have to be registered with the state.

Check the company’s Reliability Report with the Better Business Bureau of Minnesota and North Dakota at www.bbb.org or by calling 651-699-1111.

Phone Relay Service Used in Attempted Scam against Businesses

6/3/2010

Posted on 6/3/2010 by

June 2, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) is warning all businesses, but particularly restaurants, that they’re being targeted by scammers who are abusing Telecommunications Relay Services (TRS) in an attempt to defraud them. Two restaurants in the Twin Cities have reported this scam to the BBB in recent days, so it’s very likely other restaurants are being contacted too.

The Telecommunications Relay Service is a telephone service that allows people with hearing or speech disabilities to place and receive phone calls. TRS communications assistants serve as ‘middle men’ for the calls, relaying what the hearing-impaired person types to the called party by voice, and converting to text what the called party voices back to the calling party.

How the scam works: Scammers place a call through TRS to a restaurant and place an unusually large order, often for delivery. The scammer then offers to pay with a credit card and usually asks if they can overpay and have the overage wired back to them. Inevitably, the credit card used by the scammer is discovered to be stolen, leaving the company out those funds and the funds they wired to the scammers.

Though this scam appears to be heavily targeting restaurants, it can easily be altered and used on any type of business. To avoid falling victim to this scheme and others like it, the BBB advises that businesses:

Keep their guard up and never wire money to unfamiliar parties, even if they’ve given you a credit card number to cover the cost.
Inform their employees of scams of this nature and how they operate.
Implement policies about payment processes and make sure all employees always follow proper protocol.

If you ever receive an unusual order or have concerns about a potential scam, contact the BBB at 651-699-1111, toll-free 800-646-6222 or online at www.bbb.org.

BBB Suspends Accreditation of Crescent Equities

6/2/2010

Posted on 6/2/2010 by

The Better Business Bureau of Minnesota and North Dakota (BBB) has suspended the accreditation of Crescent Equities, a gold, silver and platinum dealer based out of St. Louis Park, Minnesota. The company has been the subject of customer complaints alleging Crescent Equities failed to deliver precious coins or metals customers purchased as an investment, leaving them out the money they had paid to the company. Customers report their calls to the company have gone unanswered and the company’s office appears to be vacated.

The BBB has processed six complaints against the company. Five of those were closed unanswered; the other was closed as unresolved. On May 5th, the BBB met with a company representative who stated Crescent Equities would respond to all customer complaints and make every effort to resolve them. However, the company has failed to follow-up with the BBB as promised.

Due to the fact the company has both unanswered complaints and a pattern of complaint activity, their membership with the Better Business Bureau was suspended earlier this week. Customers who have unresolved issues with the company are urged to file complaints with the BBB and contact their state’s Attorney General’s Office.

Look for this Plaque

5/27/2010

Posted on 5/27/2010 by

If you see a plaque like this on the wall (or receptionist’s desk) of a business you’re visiting, be aware that this company is an Accredited Business, a member company of the Better Business Bureau. That means the company you’re dealing with meets our standards for integrity and reliability. Furthermore, they have signed an agreement with us pledging to continue to abide by those standards and support the BBB’s efforts to educate and protect the public. In addition, these businesses have agreed to work with the BBB to resolve complaints in a timely manner that is equitable for consumers.

It’s the support of these businesses which make our mission possible and allow us to provide our services to the public free of charge. So if you choose to work with an Accredited Business because they’re a member of the Better Business Bureau, be sure to let them know that. And if you see this plaque on the wall of an organization you’re doing business with, take a second to thank them for what they’re doing to make the marketplace and the communities we live in better places.

The Mission of the Better Business Bureau is to promote the Highest Ethical Relationship between Businesses and the Public.

Best Buy name appropriated by scammers

5/27/2010

Posted on 5/27/2010 by

Employment/reshipping scheme targets job seekers

The Better Business Bureau of Minnesota and North Dakota (BBB) has been informed of an employment/reshipping scheme perpetrated by unknown con artists who have appropriated Best Buy’s name. The scam targets unsuspecting job seekers via email with a solicitation to become a gift wrapper for Best Buy. However, the job offer is not offered by Best Buy, is not legitimate and people who accept these fraudulent positions may be asked to do things for which they could be prosecuted by authorities – even if they don’t realize what they’re doing is illegal.

In a nutshell, instead of performing legitimate work for a salary, people who ‘work’ for these scammers will be taking part in a reshipping scheme. Reshipping schemes work like this: scammers send their ‘employees’ stolen merchandise or merchandise ordered from mail order or Internet auction sites – which isn’t paid for – and then have them reship that merchandise to a foreign company.

Another variation of this scheme is when job seekers are hired to collect payment from U.S. clients and then wire the money to overseas parties. The ‘employees’ are told to keep a percentage of the money as their pay. However, they find out later that the collected payments were for non-existent merchandise sold through online auction sites. Auction bidders would bid on items and send in their payment to the seller, only to find out the merchandise never existed.

The Better Business Bureau offers the following tips to help job seekers avoid these types of scams:

Avoid job listings that use these descriptions: “package forwarding,” “reshipping,” “money transfers,” “wiring funds” and “foreign agent agreements.” These and similar phrases should raise a red flag.
Do not be fooled by official-sounding corporate names. Some scam artists operate under names that sound like those of long-standing, reputable firms.
Never forward or transfer money from any of your personal accounts on behalf of your employer. Also, be suspicious if you are asked to “wire” money to an employer. If a legitimate job requires you to make money transfers, the money should be withdrawn from the employer’s business account, not yours.
Do not give out your personal financial information. A potential legitimate employer will not request your bank account, credit card or Paypal account number. Only provide your banking information if you are hired by a legitimate company and you choose to have your paycheck direct deposited.
Do not fax copies of your ID or Social Security number to someone you have never met. Credit checks and fake IDs can be obtained with this information. Only give these documents to your employer when you are physically at the place of employment.
If you have questions about the legitimacy of a job listing, contact your Better Business Bureau, your state or local consumer agency or the Federal Trade Commission.

The Need to Take a Step Back (and Breathe)

5/27/2010

Posted on 5/27/2010 by Dan Hendrickson

The long holiday weekend is approaching fast, and it feels like everyone could use a break. The weakened economy over the last few years has left most Americans feeling stretched -- and stressed. The unemployment rate continues to hover around 10% and though there are many indicators that seem to point to a robust economic recovery, that doesn’t change the fact that many people are still feeling desperate, and emotions are running high.

This was evidenced here in the Twin Cities by the recent report of a road rage incident which ended in one driver running down another driver with their car. An arrest was made in this case and now one person is hospitalized and the other has been jailed. This is just one example, and there are many, of the importance of taking just a few seconds to slow down and breathe in the midst of a conflict; to take a step back and remember how good we have it here in the upper Midwest (and the U.S. as a whole).

Though we’ve suffered economically too, most people you meet are friendly and optimistic about the future. We’re creative and resourceful individuals and we will find our way out of the troubles we’ve been mired in. We’ve done it before and we’ll do it this time, too.

In the meantime, we urge everyone to focus on the everyday luxuries we so often take for granted. Despite being a society divided in many ways, ours is a country where the rule of law is in force, the nutritional needs of most people are being met and basic services and fresh water are enjoyed by all. We possess a great many personal freedoms and there are still protections in place for the underprivileged. In many countries the world over, this is not the case. Many are gripped by war, famine or both. For too many, violence and strife are a part of daily life.

Contrasted with that, our everyday headaches aren’t so much to bear. Traffic incidents, disputes between companies and customers – and between friends and family – should be kept in perspective. Though no doubt some of these conflicts seem serious (and to be sure, some are), they aren’t all serious and there’s a real need to reassess how we deal with conflict as a society. Too many of us don’t have the tools we need to deal with conflict in a healthy and productive manner, or if we have those tools we too often fail to put them to use when we need them most.

A good place to start, when confronted with conflict, is to take that step back and take just a few seconds to breathe; separate the emotion from the situation and put things in perspective. By taking this small, simple step, so many situations which escalate into hurt feelings and harsh words -- or worse -- might get sorted out. That would be great for us as individuals and as a society.

Remember, you always get the best view of things when you take the high road – and traffic is generally lighter. The BBB of Minnesota and North Dakota wishes everyone a safe and good Memorial Day weekend. We encourage everyone to take some time to reflect on all those who have died fighting over the years for the freedoms we enjoy today.

BBB Advice for Getting Deals on Collective Buying Sites

5/25/2010

Posted on 5/25/2010 by

Everyone is looking for ways to pinch pennies and collective buying Web sites are becoming an extremely popular option to save on goods and services from local businesses. Before signing up for the next big deal, the Better Business Bureau of Minnesota and North Dakota (BBB) recommends researching all businesses involved and reading the fine print thoroughly.

Collective buying sites have become increasingly popular in a short amount of time. Groupon.com, which is a BBB Accredited Business, is one of the pioneers of collective buying and has 2.6 million subscribers. According to Groupon, they have made 1.8 million transactions that saved shoppers 85 million in their relatively short history.

Collective buying sites typically offer one deal every day such as for products or gift cards redeemable at local businesses—including restaurants, retail stores and spas. If enough people sign up to buy it, they’ll get it at a significant discount. If not enough people are interested, the deal is canceled and no one is charged.

“Collective buying is a great way for businesses to attract new customers and for savvy consumers to land a great deal,” said Dana Badgerow, president and CEO of the BBB. “It can be a win-win situation for everyone involved as long as the customer does their research and understands all of the restrictions and stipulations.”

Before signing up for a deal on a collective buying Web site, the BBB recommends online shoppers:

Check every business with the BBB. Not only do you want to research the collective buying Web site with the BBB, you also want to research the business that is offering the deal. Look for the BBB Accredited Business seal on both Web sites and only go with businesses that have a good rating with Better Business Bureau.

Buy what you will use. While the idea of skydiving at half the usual cost sounds like a great deal, if you aren’t actually going to go through with it, you’re wasting your money. Focus on items and services you’ll use from stores and locations that are close by. If you experience buyer’s remorse, you might not have a way to get your money back.

Read the fine print—all of it. Don’t assume that every deal is like the next. The fine print on every offer is going to be different because every business has a different policy when it comes to eligibility, expiration dates, refunds, and black-out dates. Read the terms and conditions on the collective buying Web site, the specific terms and conditions listed with the offer and seek out the fine print on the business’s own Web site as well.

For more advice on being a savvy online shopper, visit www.bbb.org.

BBB, MN Cyber Crime Task Force Warn Small Businesses Foreign Hackers Are Targeting Them

5/25/2010

Posted on 5/25/2010 by

Immediate PCI Compliance Urged

May 25, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) and the Minnesota Cyber Crime Task Force (MCCTF) are issuing a warning to all small businesses that process credit cards. Foreign hackers are targeting smaller U.S. businesses with outdated or no online security software, stealing customer credit card information and then turning around and selling it on the Internet.

Businesses that are targeted by these cyber intrusions could be liable for any losses involving stolen credit card data, which could potentially bankrupt smaller businesses. All small businesses that process, store or transmit credit card information are urged to update their security software and become PCI compliant immediately.

“It’s easy for small businesses to become lax in regards to their Internet security, thinking they’re too small for hackers to bother with,” said Dana Badgerow, president and CEO of the BBB. “However, according to the Minnesota Cyber Crime Task Force, these are the businesses which are squarely in the crosshairs of cyber criminals.”

The Payment Card Industry (PCI) Data Security Standard is a set of requirements designed to ensure that all companies which process, store or transmit credit card information maintain a secure environment. Though the PCI security standard is not law, it was created by major credit card brands (such as Visa, MasterCard, Discover and AMEX), and at their discretion, merchants that do not comply with Payment Card Industry Data Security Standards may be subject to fines, card replacement costs, costly forensic audits and brand damage should a data breach occur.

According to the online PCI Compliance Guide (http://www.pcicomplianceguide.org/), Minnesota established the Plastic Card Security Act in 2007, which states that any company that is breached and is found to have been storing ‘prohibited’ PCI data (magnetic stripe, track data) will be required to reimburse banks and other entities for costs associated with blocking and reissuing cards. This law also opens up these companies to private lawsuits.

For more information on PCI compliance, visit https://www.pcisecuritystandards.org

Contact: Dan Hendrickson, Communications Coordinator
651-695-2463/dhendrickson@thefirstbbb.org

Contacted unexpectedly by a debt collector? Know your rights!

5/20/2010

Posted on 5/20/2010 by

The Better Business Bureau of Minnesota and North Dakota (BBB) has noticed an uptick recently in complaints filed by consumers who are reporting they’re being contacted by collection agencies after opting out of trial offers which were supposed to be free. Generally, these complaints have involved health products, such as acai berry supplements or teeth whitening products, which complainants have signed up for online. Some of these complainants have paid disputed bills simply to avoid the possibility of having their credit rating hurt.

“Our fear is that unscrupulous individuals know that due to the economy, now more than ever, consumers are concerned about their credit scores,” said Dana Badgerow, president and CEO of the BBB. “In that situation, they will be more likely to simply pay up if they receive a letter threatening them with collections, even if they disagree with the bill.”

The BBB advises consumers in these situations to know their rights. Just because you receive a bill from a collection agency, that doesn’t mean the bill or even the company itself is legitimate. If you receive a billing you disagree with from a collection agency, the BBB recommends the following:

• Check the company’s Reliability Report with the Better Business Bureau and also check to make sure the company has proper state licensure.

• Keep in mind that within five days after you are first contacted, the collector must send you a written notice telling you the amount of money you owe, the name of the creditor to whom you owe the money and what action to take if you believe you do not owe the money.

• Be aware that if you send a letter within 30 days disputing that you owe the money, the debt collector cannot make further collection efforts until you receive proof of the debt. If you cannot obtain an address by which to contact the collection agency in writing, you may be the target of a scam.

• File a complaint with the BBB at www.bbb.org or with your state’s Attorney General’s Office.

For more information on collection agencies and your rights under the Fair Debt Collection Practices Act, go to: http://www.bbb.org/us/article/4732

In mid-April of this year, the Better Business Bureau of Minnesota and North Dakota began receiving consumer complaints against Sans Financial, a company claiming to be a collections agency operating out of Bloomington, Minnesota. Consumers were contacted by the company through the mail and told that they owed money because they had failed to opt out of a trial offer of health products they had signed up for online. Complainants alleged, however, that they either had never received the products offered or they had cancelled their agreements prior to the expiration of the free trial period.

The Better Business Bureau forwarded all complaints to the address Sans Financial provided on their correspondence to consumers. However, in late April the BBB determined the company was operating out of a P.O. Box in a UPS store at that address. Subsequently, the United States Postal Inspection Service has informed the BBB that the company has voluntarily closed their P.O. Box. Consumers who received notices from the company are advised to file complaints with either the Federal Trade Commission (www.ftc.gov) or their state’s Attorney General’s Office.

The BBB: How the Work We Do Makes the Marketplace Work Better

5/19/2010

Posted on 5/19/2010 by Dan Hendrickson

After almost 100 years of service, the Better Business Bureau has many fans and supporters nationwide. Since 1912, we’ve been out there, front and center, celebrating the best in business and investigating -- and exposing -- unethical practices. We’ve saved countless people from being victimized by scams in that time and we’ve worked with various industry groups to develop agreed-upon best practices which allow them to focus their attention on customers and being the best businesses they can be. Our goal, now as then, is to promote the highest ethical relationship between businesses and the public.

Despite that, the Better Business Bureau has its detractors. Not everyone supports our mission, and that’s only natural. It’s tough to be all things to all people. But we like to think that if more people knew more about the BBB and all the things we do, support for us would be near universal. However, there are companies who think we’re consumer-oriented, just as there are customers who are convinced we’re on the side of business. These perceptions, though not accurate, tell us we’re doing a pretty good job. Our role is to stand in the middle and work back and forth between both parties to resolve disputes. Our resolution rate is right around 90%! We’re good at what we do.

Still, there are times when we’re unable to resolve disputes or not able to do things companies or customers would like us to do. We’re not a perfect agency, nor are we aware of one that is perfect. But while we may not be everything to everyone, we’re many things to a lot of people and the things we do help the marketplace operate more ethically and efficiently for both companies and customers.

The presence of the Better Business Bureau not only helps make the communities we live in stronger, it helps keep our national economy on track. Scammers don’t pay taxes, and people who lose money to con artists often wind up having trouble paying their bills. The company reports we make available help guide customers to businesses that stand behind their service and products; the consumer education and tips we provide to the public help people avoid scams, meaning they have more money to invest, save or spend with legitimate businesses.

By helping consumers, we help businesses, and by working with businesses to promote – through self-regulation – the highest standards of business ethics, we help consumers. We’re gratified to have provided our services to you this last century, we’re appreciative of the Accredited Businesses that make our mission possible and we look forward to serving you well into the future!

BBB Warns Businesses of Yellow Pages Invoice Scams

5/18/2010

Posted on 5/18/2010 by

May 18, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) is warning businesses that Yellow Pages billing scams are making the rounds, and urges all companies to keep a close eye on the invoices they receive – they may have been sent by scammers! What these scammers are counting on is people being too busy to notice they’re being tricked into paying a debt they don’t owe.

Scammers have used the Yellow Pages name and logo for years by sidestepping trademark rules. In the past, they would clip out a given company’s existing directory listing and send them an official looking invoice. Now, according to Scambusters.org, this scam is moving online and companies are receiving bills from Online Yellow Pages (or derivatives of Yellow Pages Online), a non-copyrighted tag which is also used by legitimate directory companies in their marketing.

In some cases, the fake billings are for $500 or more. If a business refuses to pay the bill, the scammers sometimes threaten them with collection or legal action. At this point, many business owners pay up just to stop the hounding. However, no one should be bullied into paying a bill they don’t owe. Businesses who receive a bill they feel is suspicious or don’t owe should file a complaint with the BBB (www.bbb.org) or the FTC (www.ftc.gov). If you think you’ve been victimized in a fraud scheme that involves the U.S. Mail, contact the Postal Inspector’s Mail Fraud Complaint Center at 1-800-372-8347. Businesses and consumers can also report fraudulent activity to the Minnesota Department of Public Safety at www.mnscams.org

Businesses can protect themselves by alerting their accounting department or bill-payers to be on the look-out for disguised solicitations and carefully check suspicious bills from entities with which they don't normally do business. To check the reliability of the party that is sending the solicitation, businesses may contact the BBB where the company is located (www.bbb.org).

Bogus Jobs Scam Alert

5/13/2010

Posted on 5/13/2010 by

Scam Alert

On Tuesday, May 11 our BBB received the following ‘job offer’ forwarded to us by a consumer looking for legitimate employment. She informed the BBB she has been receiving many questionable offers like this via e-mail and wanted others to be aware of them so they wouldn’t fall victim to employment scams such as this one:

Over 14 years Final solutions for exchange XR .LTD. Leads the currencies exchange business and the fund transfer by adopting non-standard banking service around the world, for time being we are expanding to the united states with extraordinary and very reliable services therefore our company has some new openings as a check processor manager.
You have To be a US citizen and more than 20 years with a couple of working hours every day plus an act
ive US address in order to receive the checks without delay and Cash them out and send the cash to our clients . After complete the process just you have to write a report and send it back to us. The payment will be not less than 5200$ per month. Plus we are going to pay all the taxes. If you interested in our job opening then please write back.

There are many red flags in the ‘job offer’ (above) from XR.LTD. First, the grammar and punctuation are both very poor, signs that the ad was likely written by someone overseas. Second, the compensation offered is way out of line. Anyone claiming you that you can work only a couple of hours a day and make $5,200 per month, minimum, is not being honest, nor is it at all realistic. Third, this mysterious company is asking potential employees to take part in a forwarding scheme, where they would be involved in activities which might result in criminal charges being filed against them.

Job seekers should be aware that bogus foreign companies are advertising shady employment offers like this on Internet job sites like Monster.com, CareerBuilders.com and Yahoo HotJobs. These fraudulent ads often claim to be looking for an "import/export specialist," "marketing manager," or "financial manager." Job seekers are asked to forward money from one account to another or to reship stolen merchandise to overseas companies as part of their employment duties. Consumers who respond to the ads are told that the employer is in a foreign country and needs an American contact to handle its business in the U.S.

In one scenario a job applicant was hired to repackage and reship merchandise to a foreign company. What the applicant did not know is that the merchandise was ordered from mail order companies or Internet auction sites, but had never been paid for.

In another scenario, a job seeker was hired to collect payments from clients in the U.S. and in turn wire the money to a company located overseas. The employee was instructed to keep a percentage of the money as his or her pay. The employee later found out that the collected payments were for non-existent merchandise sold through online auction sites. Auction bidders, would bid on an item and send in their payment to the seller, only to find out later that the merchandise never existed.

The Better Business Bureau offers the following tips to help job seekers avoid these types of scams:

Avoid job listings that use these descriptions: “package forwarding,” “reshipping,” “money transfers,” “wiring funds” and “foreign agent agreements.” These and similar phrases should raise a red flag.
Do not be fooled by official-sounding corporate names. Some scam artists operate under names that sound like those of long-standing, reputable firms.
Never forward or transfer money from any of your personal accounts on behalf of your employer. Also, be suspicious if you are asked to “wire” money to an employer. If a legitimate job requires you to make money transfers, the money should be withdrawn from the employer’s business account, not yours.
Do not give out your personal financial information. A potential legitimate employer will not request your bank account, credit card or Paypal account number. Only provide your banking information if you are hired by a legitimate company and you choose to have your paycheck direct deposited.
Do not fax copies of your ID or Social Security number to someone you have never met. Credit checks and fake IDs can be obtained with this information. Only give these documents to your employer when you are physically at the place of employment.

If you have questions about the legitimacy of a job listing, contact your Better Business Bureau (www.bbb.org) or the Federal Trade Commission (www.ftc.gov)

BBB advises public on checks received from the FTC

5/10/2010

Posted on 5/10/2010 by

May 10, 2010 – St. Paul, MN – Late last month, the Federal Trade Commission (FTC) began mailing more than 34,000 checks to consumers who lost money in cross-border fraud schemes involving payments made via wire through MoneyGram International, Inc.

The Better Business Bureau of Minnesota and North Dakota (BBB) has been receiving inquiries from the public as to the validity of these checks. They are legitimate checks and the FTC urges consumers who receive them to cash them within 60 days. As a reminder, the FTC never requires a payment of money up-front or the provision of additional information from consumers before the checks can be cashed as issued.

The checks are part of an $18 million dollar settlement agreement reached between MoneyGram and the FTC. In October 2009, the FTC charged that MoneyGram allowed its money transfer system to be used by fraudulent telemarketers to bilk U.S. consumers out of tens of millions of dollars – after these consumers were falsely told by con artists they had won a lottery, were hired for a secret shopper program or would receive loans for an advance fee.

A press release describing the FTC complaint and the settlement agreement with MoneyGram can be found at: http://www.ftc.gov/opa/2009/10/moneygram.shtm

The redress checks being issued to consumers average $520. The checks are being sent to U.S. consumers who complained directly to MoneyGram about their fraud-induced money transfers within the United States to Canada. However, consumers who were tricked into wiring funds by fraudulent telemarketers and didn’t file complaints might still be eligible for proceeds from the settlement. The redress program covers consumers whose transfers were made between the years 2004 through 2008. Consumers who have questions about the settlement can call the claims administrator at 1-877-740-6993.

BBB Warns that Insurance Scams Are Flourishing in Current Economy

5/5/2010

Posted on 5/5/2010 by

In the midst of a tight economy and in the wake of the new national healthcare reform bill, State and Federal regulators are warning about a surge in healthcare-related scams. The Better Business Bureau advises consumers to do their research before signing up for insurance coverage because their personal and financial health is on the line.

According to an October 2009 survey conducted by the Coalition Against Insurance Fraud, 57 percent of state fraud bureaus reported a higher incidence of health insurance fraud in 2009 compared to the previous year. The increase was largely attributed to “unauthorized entities selling fake coverage” and “the rise of medical discount plans.”

“Navigating the healthcare system can be a tricky maze and coordinating your physicians, prescriptions and insurance coverage isn’t always easy,” said Alison Southwick, BBB spokesperson. “One of the first steps to finding healthcare services that are a good personal fit, is to start with a provider you can trust.”

Companies such as HealthcareOne/Elite Healthcare, Consolidated Workers Association, and Smart Data Solutions/American Trade Association, have all recently come under fire from state regulators for peddling worthless coverage or discount medical plans—instead of actual insurance—to thousands of consumers.

Additionally, the new healthcare reform bill quickly sparked new scams; shortly after it was signed into law, the US Department of Health and Human Services issued a warning to consumers to beware of health insurance offers claiming to be part of new federal regulations. For example in Missouri, the state Insurance Director warned that a door-to-door salesman was claiming to be a federal agent selling insurance under the new law.

The BBB recommends taking the following steps when shopping for health insurance coverage to avoid getting ripped off:

Research the company with the BBB. Always check out the insurer’s BBB Reliability Report online at bbb.org. Reliability reports are available for free and will tell you how many complaints the business has received, whether there has been any government actions brought against the business, as well as the BBB’s overall rating.

Confirm the company is licensed with the state insurance commissioner. Each state has a department devoted to regulating insurance companies. Make sure the insurer is licensed to operate in your state.

Read the fine print carefully. Make sure all verbal commitments are in the fine print. Don’t just take the company’s word for it. Also confirm with your pharmacist and doctor that they accept the plan you’re considering.

Recognize the difference between insurance and discount medical cards. Some consumers purchased what they thought was health insurance but was actually a discount medical card which could only be used to get reduced rates at limited doctor’s offices and pharmacies. Make sure you’re purchasing insurance coverage and not just a discount medical card.

Beware of copy cats. Some phony insurers will go by a name that is similar to a trusted company. Confirm that you’re really dealing with the right company that has a good reputation.

For more advice on finding healthcare companies and services you can trust, visit http://www.bbb.org/us/consumer-tips-health/

Tips For Consumers - Moving

4/30/2010

Posted on 4/30/2010 by

These tips were created from a joint partnership between the Better Business Bureau and the Minnesota Transport Services Association as a public service.

Choose your mover wisely. Not only should you be shopping around for estimates, you should be shopping for reliability as well. Check with friends, neighbors and co-workers when choosing a mover. It is also a good idea to check a company’s BBB Reliability Report on our website at www.thefirstbbb.org or by calling (612) 699-1111 or (800) 646-6222.
Schedule your move a month out if possible. Also remember to confirm the proper equipment and crew will be available on your moving day. Movers tend to be the busiest during the summer as well as the beginning and ending of each month. Keep this in mind when you select your moving date.
Ask about moving estimates. Find out if the estimate is firm or if the final cost of the move could be higher than the estimate. Make sure that you fully understand all of the terms of the contract prior to signing so that there are not any surprises on the actual moving day.
Confirm that the mover is covered by workers compensation, loss and damage and liability insurance. You want to be protected in the event that a mover is injured on the job or damages your property.
Keep the name and phone number of your contact at the moving company handy. You might be surprised how many times you will need to contact your moving company prior to your moving day.
Make sure you are only taking the things you want with you. Clean and organize before you move! You do not want to pay a mover for items that you plan to throw away upon arrival.
If you are moving a large amount of items, it is important to let a few movers take a visual survey prior to the move. As a rule, getting an estimate is a good idea if you are moving three or more rooms. Be as detailed as possible when describing which items are to be moved, how far they are to be carried, the parking arrangements for moving trucks outside the building and any further obstacles such as elevators and stairs. By disclosing as many details as possible, you will get a more accurate estimate.
If you are moving a far distance you will most likely be charged differently than if you are moving locally. Often movers will charge by weight and distance for long moves versus by hour and amount of items for local moves.
You may choose to use professional packers. If so, ask your moving company about your options and related costs.
It is important to pack your goods safely and label them well if you are packing yourself. Make sure that everything is packed tightly, especially breakable items, with no extra space to move around. You can use tissue or other packing materials to fill empty spaces. Use smaller cartons for heavier items and larger cartons for bulkier and lighter items.
Pack a designated box to be the first to be unloaded from the moving truck. This box should contain items that are needed immediately so you do not have to search through all the other boxes. Good items to pack in this box include: flashlights, light bulbs, a coffee pot, blankets, towels, a favorite toy for a child and all other necessary items for the first night.
Pack all valuables on your person and not in the moving truck. Keep items such as money, fine jewelry, medication and important paperwork in your car and not in the moving truck. These items are smaller and easier to get lost, and they would be a very big hassle to replace.
Remember to notify the post office of your change of address. Have your mail sent on to your new home so it will not pile up at your previous address. Most movers will be able to provide you with official notifications upon request. UPS also offers a free packet. These can be sent to banks, utility companies, publications, government agencies and other organizations. You may also want to send out your own change of address cards to family and friends.
Dispose of all items that are combustible or flammable. Make sure to dispose of matches, paint thinner, aerosol paint cans, propane tanks and the like. Also do not forget to drain all fuel from mowers and other equipment that will be packed.
Do not use your television sets for 24 hours prior to your moving day. Make sure to unplug your TV so that it has time to be properly cooled before it is packed to prevent internal damage to the set.
Obtain an appraisal in writing for all antiques and items of great value. Have a firm value on these items so you can ask your mover for additional insurance options. Also, avoid oiling or waxing furniture prior to your move to avoid having the wood softened and having imprints left by the furniture pads.
Be prepared before the movers arrive. Make sure that you know where you want your large items to be placed at the destination and have it mapped out for the movers. Also, clearly label and separate items you intend to move yourself. By being prepared, you have the opportunity to save yourself some money when movers are charging an hourly rate.
Make sure you label things that are fragile. It is good to emphasize when something needs to be handled with very special care.
Make sure you have done one last final sweep of your house or apartment. You do not want to forget something tucked away in a high cupboard, above the garage or in a shed.
Be there for the moving day. It is ideal for you to be there so you will be able to tell the movers which items you would like to move yourself and which items you want put in which places. You will also be available to supervise loading and unloading.
Accidents can happen. In the event an item is damaged, make sure to leave it in the packaging, list the damages and have the supervisor sign off on it. Instruct that a report be filed with the moving company and call to follow up the next day. If you discover any damages or missing items after the movers have left, make sure to report to the moving company immediately.
Make sure you know the differences between moving within one state verses moving across state lines. Some moving companies are licensed to do one or the other and different laws and regulations may apply.

For more information beyond these guidelines, please contact the Minnesota Transport Services Association at (651) 646-4075 or online at www.mtsa.org/guide_to_a_smooth_move.htm.

To read company Reliability Reports and to obtain assistance on a wide variety of marketplace matters, please contact your Better Business Bureau at (612) 699-1111 or (800) 646-6222 or visit us online at www.thefirstbbb.org.

Minnesota Transport Services Association
840 Hampden Avenue, Suite 207, St. Paul, MN 55114
Telephone (651) 646-4075 • Fax (651) 641-0764
www.mtsa.org

Better Business Bureau of Minnesota and North Dakota
2706 Gannon Road, St. Paul, MN 55116
Telephone: (651) 699-1111 • Fax: (651) 699-7665
www.thefirstbbb.org

BBB advises customers affected by ECMC data breach to work with company

4/29/2010

Posted on 4/29/2010 by

April 29, 2010 – St. Paul, MN – On March 26, 2010, Educational Credit Management Corporation (ECMC), a guarantor of student loans, informed the public a theft had occurred from its headquarters in Oakdale, Minnesota, involving portable media containing personally identifiable information. The stolen data contained information on approximately 3.3 million individuals and included names, addresses, dates of birth and Social Security numbers. No bank account or other financial account information was included in the stolen data.

Subsequently, the company announced on April 16 that the data stolen had been recovered and it did not appear that the personally identifiable information of ECMC’s 3.3 million federal student loan borrowers had been compromised.

In response, ECMC arranged with Experian to provide affected individuals with a full suite of credit monitoring and protection services at no charge. Affected individuals were contacted with a written notification regarding this option. A sample of that notification can be viewed at the company’s Web site (www.ecmc.org).

The Better Business Bureau of Minnesota and North Dakota (BBB) has received many inquiries from the public in regard to the theft of data and advises consumers to contact the company directly with questions or concerns. Individuals affected by the data theft can find information regarding resources available to them at the company’s Web site or call ECMC at 1-877-449-3568.

Crossroads Scam Alert

4/22/2010

Posted on 4/22/2010 by

We’ve received a report of an individual claiming to be affiliated with a company called Crossroads Subscriptions going door-to-door selling magazine subscriptions in Duluth. This person is further claiming that Crossroads Subscriptions is an Accredited Business with the BBB. We can’t confirm that this individual is operating on behalf of Crossroads Subscriptions, but we can tell you that company is not accredited by the Better Business Bureau. As a matter of fact, that company has an F rating with the BBB in Dallas.

http://www.bbb.org/dallas/business-reviews/magazines-subscription-agents/crossroads-subscriptions-in-aubrey-tx-90225133

The BBB advises the public to be wary of solicitations of this nature and offers the following tips to avoid getting scammed by a door-to-door magazine sales rep:

Always research the company with your Better Business Bureau for free at www.bbb.org before filling out a check for a magazine subscription.
The Federal Trade Commission’s Three-Day Cooling-Off Rule gives the customer three days to cancel purchases over $25 that are made in their home or at a location that is not the seller’s permanent place of business. Along with a receipt, salespeople should also include a completed cancellation form that customers can send to the company to cancel the agreement. By law, the company must give customers a refund within 10 days of receiving the cancellation notice.
Victims of fraudulent magazine sales can file a complaint with their Better Business Bureau at www.bbb.org, local law enforcement, and state Attorney General offices.

Scams keep truckin' along

4/22/2010

Posted on 4/22/2010 by

April 6, 2010

A company which sells truck engine parts in southern Minnesota has informed the BBB of a fraudulent solicitation they received recently via fax. The fax requested a quote on an engine part. The letterhead on the fax was for Great Engine Supply Co, and the address provided was a Minneapolis address. However, there is no company by that name at that address and no company with that name listed in the Twin Cities Yellow Pages.

The company faxed back a quote on the part as requested, which the fraudulent company accepted. At that point the order was increased to three sets of parts and a credit card number was provided. The parts were shipped via Federal Express to an address in Minneapolis, but the customer at that address was unavailable or the business was non-existent or closed. However, unknown parties picked up the parts later at a Federal Express terminal in St. Paul. In all likelihood, the credit card number provided was either fraudulent or stolen, leaving the company out the cost of the parts and the shipping costs.

The Better Business Bureau of Minnesota and North Dakota called the 1-800 number listed on the confirmation order provided by Great Engine Supply Company (a copy of that solicitation is attached for your review). A gentleman with a heavy foreign accent answered, identifying himself as James Alexander. When the BBB asked Mr. Alexander where he was located, the individual on the other end of the line disconnected the call.

The BBB advises companies to be wary of unsolicited quote requests or orders from unknown parties for multiple quantities of high-end products. Businesses should also exercise due diligence in situations where shipping instructions are for destinations out of the country. Other red flags would include if the initial credit card is declined and the customer offers an alternative number, and/or the customer does not question the purchase price and makes no effort to negotiate a deal.

The BBB offers this additional advice to companies who receive questionable faxes requesting quotes for parts or merchandise:

Scrutinize the fax closely; verify the company’s identity and address information.
Look for misspellings or grammatical errors. Fraudulent solicitations are often filled with errors of this nature.
If the customer provides a credit card number, ask them to provide the name of the issuing bank and its toll-free customer service number as printed on the back of all credit cards.
Ask the customer for the three or four digit Card Verification Code that is found near the account number on the back or front of a credit card.
Tell the buyer that you will check with the bank and call them back. When you do that, keep good notes. Verify all information the buyer gives. If a buyer objects, explain that these procedures are for their protection, as well.
If the caller still objects to providing any of the above information, abandon the conversation and advise that you are not prepared to do business this way.
If the customer is using a TTY Relay Operator, ask the customer for his/her full name, address and telephone number. Scammers have used this service to defraud companies on many occasions.
Train your customer service workers to look out for and identify suspicious solicitations. If they have concerns, make sure they speak to a manager before filling the order.

If you ever receive a suspicious order or request from unknown parties, call the BBB at 651-699-1111 or 1-800-646-6222.

BBB gives Healthy Online Services a Failing Grade

4/22/2010

Posted on 4/22/2010 by

April 21, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) is warning consumers about Healthy Online Services, a company which sells weight loss supplements and other health products over the Internet. The company has an F rating with the BBB due to a pattern of complaints involving billing and customer service issues. The BBB has received over 300 customer complaints against the company since the beginning of this year.

Complaints filed through the BBB state customers are suddenly being billed months after signing up online for a free 14-day trial. Customers who have signed up to receive products at various Web sites operated by the company state that after paying shipping and handling, they were supposed to get their products and have the option of continuing on with their agreement after the trial period ended – incurring monthly charges – or canceling the agreement during the free trial period.

Many complainants allege Healthy Online Services is billing them even though they contacted the company during the trial period to cancel their agreement, and adding a $50 late charge despite the fact they had received no prior billings or contact from the company in the months since they opted out of the agreement. These customers also say the company is threatening to turn their accounts over to a collection agency. Some customers state they’re being billed for products they ordered and paid shipping and handling on, but never received.

Other customers who state they cancelled their agreement during their trial period say in their complaints they were unaware they had to return unused products and are now being billed by the company for failing to do so.

The company has provided responses to some customer complaints, others are still pending. They have generally responded by cancelling customer accounts and zeroing out their balances.

For consumers considering buying health products online, the BBB advises the following:

Before taking any weight-loss supplement or trying a new health product, be sure to consult a health care professional. Some Web sites offering products of this nature make unrealistic claims or give advice which could be damaging to your health. Make sure you know what you’re buying and that the claims marketers are making have basis in fact and won’t jeopardize your health
Check out the seller first. You can do so at www.bbb.org. When you’re researching companies, don’t just enter their name. You can also do advanced searches using phone numbers and Web addresses. Remember, the more fantastic the health claim, the greater the odds customers somewhere have been disappointed by the product
Make sure you understand all the terms of any offer you receive. Many times important information (such as future billings which will commence if you fail to cancel within a given timeframe) is buried deep in the fine print, or else you have to click through multiple links to gather all the information you need to evaluate the offer. If you have concerns about an offer you receive, trust your instincts. If something doesn’t feel right, take a step back and do some more investigating
Finally, consumers shopping online should look for the BBB seal on Web sites and click on the seal to confirm its legitimacy

The Better Business Bureau of Minnesota and North Dakota is a private, non-profit organization providing services to consumers and businesses. The focus of the Bureau’s activity is to promote an ethical marketplace by encouraging honest advertising and selling practices, and offering dispute resolution. For more information on the Better Business Bureau, visit the Bureau’s Web site at www.thefirstbbb.org or call 651-699-1111, toll-free 800-646-6222.

AARP and Better Business Bureau Join Forces to Fight Fraud Against Older Minnesotans

4/21/2010

Posted on 4/21/2010 by

Efforts Educate Consumers to Spot, Stop and Report Fraud

(Golden Valley, MN) Nearly 400 older consumers joined AARP Minnesota and the Better Business Bureau (BBB) of Minnesota and North Dakota on April 20th at the Fraud Fighters Forum in Golden Valley, where they learned how to prevent, stop and report fraud. The forum featured top fraud fighters, including Attorney General Lori Swanson and officials from the Federal Trade Commission, the Minnesota Department of Public Safety, the U.S. Postal Inspector and the Federal Bureau of Investigation.

Experts covered the topics of financial schemes, investment fraud, health care fraud, identity theft and other crimes. Consumers learned about recent crimes which affected Minnesotans and what members of the law enforcement are doing to combat criminal activity.

“Information is a powerful weapon against fraud,” said AARP National Board Member Huber t H. “Skip” Humphrey. “Once consumers know how to spot fraud, they can help their friends and neighbors avoid becoming victims of fraud.”

“We’ve taken the first step to empower older Minnesotans with education,” said Dana Badgerow, president and CEO of the BBB. “Now we look forward to helping them spread this message throughout the state, community by community.”

The forum will be broadcast on the Minnesota Channel by Twin Cities Public Television this summer. DVDs of the forum will be made available to groups who wish to educate consumers.

At the forum, volunteer “fraud fighters” were recruited to spread information about how to prevent fraud throughout Minnesota. These volunteers will now receive additional training from fraud experts and will be asked to deliver presentations on combating fraud to local civic groups and clubs in their own communities. Minnesotans who are interested in joining the “Fraud Fighters” team can contact AARP at aarpmn@aarp.org or 1-866-554-5381.

Lawn Mower Class Action Settlement?

4/19/2010

Posted on 4/19/2010 by

Our BBB is getting inquiries from consumers who have received postcards in the mail regarding a Lawn Mower Class Action Settlement. The postcard says anyone who purchased a lawn mower containing a gas combustible engine up to 30 horsepower for their own use (and not for resale) between January 1, 1994 and April 12, 2010 may be eligible for proceeds from a class action settlement. It goes on to say the type of benefits consumers are eligible to receive depends on the specific lawn mower(s) they purchased.

We've reviewed this mailing and determined the settlement IS legitimate. Consumers who are looking for more information on this suit or want to know if they qualify for settlement benefits can go to www.LawnMowerClass.com Claims can be submitted online or by mail. However – if you do qualify and follow the claim process – be aware that, as with all complex court cases, it might take some time to receive your payment.

The BBB reminds all consumers to be vigilant when it comes to unsolicited offers or notices they receive via the U.S. mail and electronically. Scammers are always on the lookout for ways they can deceive consumers into providing them with sensitive information, such as Social Security, credit card and bank account numbers.

If you receive something from unknown parties requesting financial information or have concerns about any offer you’re presented with, contact the BBB at 651-699-1111, toll-free at 1-800-646-6222.

The Better Business Bureau’s guide to understanding top-level Internet domain names

4/15/2010

Posted on 4/15/2010 by

April 15, 2010 – St. Paul, MN – The Better Business Bureau of Minnesota and North Dakota (BBB) urges consumers to always be conscious of small differences in top-level Internet domain names. It is a common misconception that in order to have a domain name, such as .org, an individual would have to qualify themselves as a non-profit organization. While that was the original intent with the .org domain name, this is not the case anymore. Now sites such as .com and .org can be registered by anyone.

The top-level domain comes at the end of a Web address, and denotes the type of organization linked to that Web page. For example, in the BBB’s Web site, www.thefirstbbb.org, the top-level domain is .org. Some top-level domains, like .com and .net, are open, meaning that anyone can use them, while some are restricted to special types of organizations.

Some of the most common open top-level domains are: .com, .org, .biz, and .info. Any person or entity can register Web sites that use these domain names. There are also top-level domains that are limited to certain types of entities. A few of the most common are: .edu, .gov, and .mil, which belong to colleges and universities, government entities, and the U.S. military, respectively. A full list of domains is available from the Internet Assigned Number Authority (www.iana.org), the organization that oversees global IP address allocation.

It is common for consumers to feel as though a Web site that has the .org top-level domain name is somehow more trustworthy than others. However, this is not always the case; because the .org domain is open for everyone, it is important for people to use as much caution as they do with any .com or .biz site. You can always look up a company’s Reliability Report on the BBB’s Web site, www.thefirstbbb.org, if you have any doubts or concerns.

BBB Warns Businesses About New Phishing Attack

4/13/2010

Posted on 4/13/2010 by

Beware of fake complaint reports coming from seatac@bbb.org

Better Business Bureau is warning businesses to beware of a new malicious e-mail that pretends to be from BBB about a complaint filed against the company. The e-mail first came to BBB’s attention on April 12, 2010.

Several businesses across the US have reported receiving a suspicious e-mail from the address seatac@bbb.org with the subject line “BBB Complaint Case #” followed by a nine-digit number. Both BBB Accredited and non-Accredited businesses have been targeted.

The body of the e-mail claims that the company did not respond to a complaint filed by a Jason Harlow (however other names may be used) and includes a link to a page at www.ca-bbb.org where the business can supposedly review the complaint.

Because the message is fraudulent, BBB advises any business that receives this e-mail to take the following steps:

Do not click on any links or reply to the message,
Forward the message to phishing@council.bbb.org,
Completely delete the message from your inbox, and
Run a full virus scan on your computer if you did click on any links.

If you receive an e-mail from Better Business Bureau about a complaint filed against your business and need assistance in determining whether or not it is legitimate, contact us at 651-699-1111, toll-free at 1-800-646-6222.

For more advice on how to protect your business from malicious online attacks visit www.bbb.org/data-security/.

A copy of the actual e-mail follows:

Fax Scam Targets Businesses

4/7/2010

Posted on 4/7/2010 by

April 7, 2010 – St. Paul, MN– The Better Business Bureau (BBB) of Minnesota and North Dakota is warning companies to be on alert for a scam involving shipping orders placed via fax, and stolen credit card numbers.

A company which sells engine parts in southern Minnesota has informed the BBB of a fraudulent solicitation they received recently via fax. The fax requested a quote on a part. The letterhead on the fax was for Great Engine Supply Co, and the address provided was a Minneapolis address. However, there is no company by that name at that address and no company with that name listed in the Twin Cities Yellow Pages.

The company faxed back a quote on the part as requested, which the fraudulent company accepted. At that point the order was increased to three sets of parts and a credit card number was provided. The parts were shipped to an address in Minneapolis, but because there was no business by the name of Great Engine Supply Company at the address provided, the parts were returned to a mail terminal in St. Paul, where they were picked up later by people likely connected with the scheme. In cases like this, the credit card number provided is usually fraudulent or stolen, leaving the company out the cost of the merchandise and the shipping costs.

The Better Business Bureau of Minnesota and North Dakota called the 800 number listed on the confirmation order provided by Great Engine Supply Company. A gentleman with a heavy foreign accent answered, identifying himself as James Alexander. When the BBB asked Mr. Alexander where he was located, the individual on the other end of the line disconnected the call.

The BBB advises all companies to be wary of unsolicited quote requests received via fax or orders from unknown parties for multiple quantities of high-end products.

Businesses should also exercise due diligence in situations where shipping instructions are for destinations out of the country. Other red flags would include if the initial credit card is declined and the customer offers an alternative number, and/or the customer does not question the purchase price and makes no effort to negotiate a deal.

The BBB offers this additional advice to companies who receive questionable faxes requesting quotes for parts or merchandise:

• Scrutinize the fax closely; verify the company’s identity and address information.

• Look for misspellings or grammatical errors. Fraudulent solicitations are often filled with errors of this nature.

• If the customer provides a credit card number, ask them to provide the name of the issuing bank and its toll-free customer service number as printed on the back of all credit cards.

• Ask the customer for the three or four digit Card Verification Code that is found near the account number on the back or front of a credit card.

• Tell the buyer that you will check with the bank and call them back. When you do that, keep good notes. Verify all information the buyer gives. If a buyer objects, explain that these procedures are for their protection, as well.

• If the caller still objects to providing any of the above information, abandon the conversation and advise that you are not prepared to do business this way.

• If the customer is using a TTY Relay Operator, ask the customer for his/her full name, address and telephone number. Scammers have used this service to defraud companies on many occasions.

• Train your customer service workers to look out for and identify suspicious solicitations. If they have concerns, make sure they speak to a manager before filling the order.

• Contact the BBB at 1-800-646-6222 if you receive a mysterious or questionable order.

iPad Test Scams Rip Off Consumers, BBB Warns

4/7/2010

Posted on 4/7/2010 by
St. Paul, MN., April 6, 2010 – Scammers began devising ways to take advantage of Apple Inc. fans months ago, long before tomorrow’s release date for Apple’s iPad tablet computer, the Better Business Bureau of Minnesota and North Dakota warns. Eager buyers should be wary if they’re told they can get a free iPad by becoming a “tester.”

Apple announced the iPad in January and U.S. customers were able to pre-order in March for the April release. Because Apple bumped the delivery date for later orders, rumors started circulating that the company did not have enough iPads to meet pre-order demand.

“It was inevitable that scammers would take advantage of the excitement over the iPad to rip people off, just like they did with the iPod and the iPhone,” said Dana Badgerow, president and CEO of the BBB in St. Paul.

“Bogus offers most commonly claim you can become a tester or researcher and get an iPad for free. This deal sounds - and definitely is - too good to be true.”

Tech website GeekSugar.com recently warned about spam e-mails requesting iPad product testers. The e-mail directs recipients to the website Testitandkeepit.com, which claims to be seeking people to test the iPad for a couple of months. As compensation, testers get to keep the iPad. The biggest red flag with this offer is that you have to provide your e-mail address and password to “tell your friends,” who could also then become victims.

On Facebook, offers to become a tester had a different intent. As software company Sophos explains in an online video, the Facebook page “iPad Researchers Wanted—Get an iPad Early and Keep It” was designed to trick people into signing up for a cell phone subscription service that cost $10 a month. Sophos alerted Facebook to the page—which had already racked up more than 3,500 fans—and it was taken down. Users should be on the lookout for similar offers.

Not all bogus offers come under the guise of becoming a tester. McAfee reported on its security blog that spam e-mails have landed in inboxes offering free iPads. The catch is that you have to buy items first and provide your credit card number.

If you’re planning to buy an iPad, the BBB recommends shopping through an authorized retailer or directly with Apple. Eventually, a secondary market for the iPad will spring up online on sites like Craigslist. If you plan on buying an iPad secondhand, purchase it from someone local and never wire money as payment.

For more advice on how to be a smart online shopper, visit www.bbb.org or call 1-800-646-6222.

A Thank You to our Accredited Businesses

4/5/2010

Posted on 4/5/2010 by Dan Hendrickson

The mission of the Better Business Bureau is to promote and foster the highest ethical relationship between business and its customers through voluntary self-regulation, consumer and business education and service excellence.

Many people think the BBB is a government entity, but we’re actually a non-profit organization. It’s only through the support of our Accredited Businesses that the Better Business Bureau is able to offer the many programs we provide to both consumers and the business community – most of them free of charge.

Here are just some of the ways that support allows us to serve citizens not only in Minnesota and North Dakota, but throughout North America:

Consumer Help Line: The BBB receives hundreds of calls each week from consumers who are looking for help understanding work-at-home offers, ads that promise free products or services, and calls from telemarketers. They look to the BBB to help them make wise decisions on how to spend their money, how to avoid scams, and where to go for help on consumer issues. We listen to them, help them to understand what questions they should be asking, and if we’re unable to provide the assistance they need, we refer them to the proper agency.
Dispute Resolution. Each year the BBB works to help resolve over 24,000 disputes between businesses and consumers. And by working with both parties we are able to help settle the vast majority of them!
Mediation and Arbitration. If a complaint cannot be resolved through our normal dispute resolution and meets certain criteria, we provide quality mediation and arbitration services.
Senior Program: As our senior population grows, so do BBB services for the elderly. We feel our seniors come from a very trusting generation and we want to make sure they are not taken advantage of. Our staff travels to senior fairs, expos, and housing centers. They take the time to listen to what seniors are concerned about, give advice regarding scams that target older Americans, and distribute literature on a variety of issues that affect the elderly.
Media Alerts: The BBB monitors the marketplace closely, and if we become aware of a fraudulent company or a new scam making the rounds, we send out press releases to raise awareness and help prevent people from being victimized.
Advertising Review. This is a core BBB service, and also the reason the Better Business Bureau was founded – here in Minnesota – way back in 1912! Advertising review helps provide companies a level playing field on which to do business by monitoring the ads of their competitors and challenging questionable ads. We work with companies to voluntarily substantiate, amend, or discontinue ads that have been challenged. If a company refuses to discontinue a misleading ad, their BBB Reliability Report will reflect it. We also offer Prior to Publication Ad Review to any business that would like us to review their ad to make sure it adheres to BBB and FTC standards before it’s published.
Industry Review. When an entire industry is experiencing widespread problems or if we’re hearing similar complaints about a given industry from a large number of consumers, we take action by inviting the businesses within that industry to meet with us. By working closely with these businesses we’re able to help them create an agreed-upon set of standards for everyone in that field to abide by in order to rebuild marketplace trust in their industry.
Integrity Awards and Student of Integrity Scholarships: We try to reward companies that do the right thing – voluntarily. Our BBB Integrity Awards put a spotlight on businesses that demonstrate high standards in how they deal with their employees, customers, vendors, and how they positively impact their community. We also award one $10,000 and one $5,000 scholarship to high school seniors who demonstrate how integrity has shaped their young lives.
LifeSmarts. The BBB strives to reach consumers just as they are beginning to enter the marketplace. LifeSmarts is an educational program that teaches high school students skills that they would not learn through their normal curriculum. Teens study technology, finance, health and safety, ecology, and personal rights and responsibilities and compete online for a chance to participate in the Minnesota State LifeSmarts Tournament. The winning team is invited to the National LifeSmarts Tournament, which takes place in a different U.S. city each year.

Our presence directly improves the overall health of the marketplace by assisting hundreds of thousands of people each and every year, and helping to eliminate the need for further restrictive government regulations. We could not do any of the things that we do without the support of our Accredited Businesses who believe in our Mission and wish to create a fair and equitable marketplace for all built on a foundation of Trust.

We would like to thank our member businesses for their kind support, and we ask that when you do business with an Accredited Business or see the BBB logo on a company’s Web site, take a minute to thank them as well for allowing us the opportunity to serve you and the communities in which you live.