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Business - Scam Alert

Sunday, Jul. 26, 2009

Scam Alert: You've won, now pay up

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THE SCAM: Prize money for a fee

HOW IT WORKS: Modesto residents report receiving telephone calls from a person claiming to be with "U.S. Customs." The caller says the person answering the phone has won the grand prize of $55,000 in a sweepstakes contest. The scammer claims the contest company must do a background check on the "winner" before awarding the prize money. For that to happen, of course, the winner must pay a fee, anywhere from $500 on up. Pay the fee and he'll send you the cash.

WHAT'S AT STAKE: Your money and any personal financial information you share.

HOW TO BEAT IT: If you didn't enter a sweepstakes contest, then you can't win any money. If the contest were legitimate, you'd never be asked to pay a fee to get your winnings. If you get this call, remember the U.S. Customs Service doesn't do background checks on contest winners. The caller claiming to be with U.S. Customs is trying to sound official, but it's part of the scam.

For a look at past scams, go to www.modbee.com/ business/scam.