2009 News

April 3, 2009

Beware of Stimulus Scams
Commissioners Join Consumer Protection Office to Warn Residents of Ongoing Fraud Schemes

The Board of Bucks County Commissioners, Chairman Charles H. Martin, James F. Cawley, Esq., and Diane M. Ellis-Marseglia, LCSW, is dedicated to protecting consumers through the premise that knowledge empowers. To that end, the board has joined forces with the Bucks County Department of Consumer Protection to warn residents that scams abound, ones claiming to help consumers cash in on a piece of the Federal government stimulus plan.

In fact, these new government-sponsored and subsidized programs have created a whole new avenue of exploitation for scammers, perpetrators of fraud and con artists to take advantage of others. “In a time when an increasing number of people are looking for help, it’s even more important to remain vigilant on matters of public awareness,” Chairman Martin cautions.

According to county Consumer Protection Director Mike Bannon, the Department of Consumer Protection has seen an increase in complaints concerning deceptive e-mails, some of which claim to be from government agencies. Many of these e-mails ask for bank account numbers and other personal information, so that the alleged “agency” can deposit the consumer’s share of the stimulus money – only to empty the victim’s account instead.

Additionally, the current crisis in the mortgage market has opened the door for the proliferation of businesses charging fees to help “rescue” your home. In some cases, fraudulent advisors even tell borrowers to skip payments while they work on modifications to the mortgage, subsequently causing a consumer’s credit rating to plummet. Rather than falling for these gambits, Chairman Martin advises consumers to visit the Web site, www.HUD.gov, to find Federal Department of Housing and Urban (HUD)-approved and trained credit counselors to assist them. This type of service is generally free or requires a minimal fee. “This option is your safest bet,” Chairman Martin adds.

Concerned consumers also can check with the Bucks County Department of Consumer Protection (800-942-2669 or www.BucksCounty.org) or the Pennsylvania Attorney General’s office (800-441-2555 or www.attorneygeneral.gov) to receive information on businesses that offer suspicious promises and advice. Often, these offices provide literature that can be sent out free of charge.