Better Business Bureau: Beware of hidden subscriptions masked as free prizes

‘– The Better Business Bureau Serving Western Michigan is reminding consumers to watch out for free trial offer scams. The BBB has seen an increase in reports of these types of scams in 2022.

Traditionally, these schemes have surrounded health and beauty products and weight loss supplements, advertised by mail or on social media. However, BBB is seeing more of these offers being made by unsolicited text messages. The texts often offer valuable prizes for taking a short survey. Winners are offered the items for free, and only have to pay shipping. Consumers then find a larger, recurring amount charged to their bank account or credit card. These hidden subscriptions are often hard to get out of. On top of that, the prizes are rarely as valuable as advertised.

Free trial offers are not illegal. Many legitimate companies offer an opportunity to try a product or service for free, but they are transparent about the time to cancel and the charges that will follow. Scammers are using the same sales tactics to trick consumers into fake subscriptions to steal their money and personal information.

“If the deal seems too good to be true, it usually is,” says Lisa Frohnapfel, President and CEO of the Better Business Bureau Serving Western Michigan. “It is important to read the terms of the agreement and the fine print. Really understand what you are signing up for before making a payment or sharing any of your personal information.”

Tips to avoid free trial offer scams:

Beware of texts or emails from someone you don’t know, especially if they offer money or free prizes. If you are doing very little work for a big reward, it is too good to be true.

Beware the ticking clock. If the offer is only available for a short period of time, or has a countdown on the screen, that is a sign it may be a scam. Scammers want you to act quickly and not think about what you are doing.

Read the fine print. Read the terms and conditions carefully to see what you are actually signing up for. Some subscriptions have a short amount of time to call a certain number to cancel, otherwise you will be charged full price for the item monthly.

Know your credit card’s rules. Following a 2018 BBB Study on Free Trial Offer Scams, Mastercard and VISA changed their policies to help consumers avoid being scammed.

Know your rights and how to dispute a charge if a company breaks those rules.”

Remember:  If it seems ‘too good to be true’… it’s probably NOT true!

Facebook
Twitter
LinkedIn

Recommended Posts

Loading...