Scams are an unpleasant aspect in life. A company may look genuine, but it may actually turn out to be a scam. Fortunately, there are some clues that can warn us, avoiding us falling into some scam.
Steps
Step 1. Check the website for valid phone numbers and addresses
This is just one of the signs that tell us whether the company is genuine or not. If there is no way to contact the company without using the internet, it could be a warning. Since it is not difficult to activate e-mail addresses and domains, e-mail does not in itself constitute a factor of reliability as much as a telephone contact or a registered office address.
Step 2. Look for the terms and conditions
Companies that comply with the law will almost always have general conditions of use or terms and conditions. If they are not reported, carefully read what seems suspicious to you.
Step 3. Consider the payment methods
If payments are accepted using only unsafe and transparent methods, this could be another warning. PayPal is usually considered a safe method. Check if the payment methods include the possibility of being reimbursed in case the circumstances go wrong.
Step 4. Enter the company name in Google
Reviews or information may come up as to whether it is a scam. If you don't find anything like this, try typing "[company name] scam" and see if anything is reported that way. While it is possible to positively influence your online presence, negative criticism is harder to hide.
Step 5. Check the registration details of the company website
Sometimes you can find the name and any information about who registered the website, which it is recommended to use for further research. It should also be noted when the site was created and when it expires. If it was recently created and will expire shortly, it is possible that it is a temporary cover to implement some scam.
Step 6. Check out the Better Business Bureau
The absence from a list of company items does not automatically mean that it is a scam, but the company may find itself on a list of reviews that can claim that it is. In Italy you can refer to the Chamber of Commerce of Industry and Crafts, starting your searches from the national portal.
Step 7. Check customer reviews on review platforms
Unlike personal blogs, these types of platforms reflect the opinion of various customers and usually offer a filter-free view of a company's overall reliability. Serious and trusted review platforms do not censor reviews in any way, rather they fight false and illusory ones.
Step 8. If you live in the U. S. A
look for a list from the Secretary of State, and / or a Federal Employer Identification number. You will probably find that the company constitutes a company that enjoys a good reputation. In Italy it is possible to find this kind of information at the Chamber of Commerce.
Likewise, if the company is located in Australia, it should have an A. B. N. number, which can be checked at Business.gov.au. In some cases, companies that are not required to issue a tax invoice compliant with the Australian Tax Office may allow the consumer to legally withhold sales tax at 46.5%
Step 9. Visit the company's website to check for any discrepancies and any indications of professional skills
If a site says something in one point and contradicts itself in another, this inconsistency indicates a lack of coordination within the company and, therefore, it could be a hastily organized scam. If it lacks professionalism (for example, you find stolen images and numerous spelling errors) it shows that you have invested little care and interest in the creation of the website.
Step 10. Some companies have regulatory bodies that must be registered or possess certain certifications and permits
It is worth researching the companies belonging to the company to see if they comply with these standards.
Step 11. Use a business credit report to check if a company is legally valid
By using a company control service, you can confirm
- the score that determines the creditworthiness of the company,
- your contacts,
- its economic and financial performance,
- its administrative structure,
- how long has it been on the market and much more.
Advice
- When looking for reviews, don't be superficial in judging which ones are trustworthy. Some people don't go all the way they should or they misunderstand the product or terms, even complaining when it was their mistake.
- Some hosts keep domain owner information confidential. It doesn't necessarily mean it's a scam.
- If you are studying a home-run business or if the company is very small, it is possible that it is not registered in a list of companies or that it does not have a long-term domain. Some people cannot afford to invest in these things, in addition to the business expenses they already face.
Warnings
- Be careful with your information. Do not provide more than necessary and use common sense when communicating them. If you are not 100% sure about the authenticity of the company, then go elsewhere! If you give out personal information at the risk of ruining your life, it's better to be safe than sorry.
- Some indications may not be available outside the United States.
- If it sounds too good to be true, assume it is.
