Renters Beware!!!

NEW INTERNET SCAM COST RENTERS THOUSAN

If you are looking for a new place to rent, and due to our current economic environment many folks are, you should be aware of the latest internet scam to take your money.   Like those ready to buy a home, most people who are getting ready to rent start their search on the internet.  One of the most popular places to start that search is Craig’s List.  And why not?  It is a great free service, but using it does require caution on the part of the consumer.  So as a consumer you should remember the old adage, “If it sounds to good to be true it usually is.”

Recently, creative con-artists have started searching websites where “For Sale by Owners” post their listings.   Many of the sellers on those sites, in order to make their homes sound more attractive to prospective buyers, give very explicit information regarding their property.  From there it is simple for scammers to cut and paste information into free sites, such as Craig’s List.   They include photos and details of the home they gleaned from the original seller’s posting but now the property is offered for rent. In order to make it very attractive to prospective renters they post the rent well below market value.  These ads are usually posted for only a matter of hours but in that short time get hundreds of hits.

The renter is then contacted by the scammer, first through email and then by a disposable phone.   They tell the renter that they had the house for sale but that the market is so slow they had to go ahead with their move and now they are offering the home for rent.  They tell them they are renting it for just enough  to cover the house payment.   Sometimes the amount of rent they quote is only a fraction of what the house payment would actually be.  The con-artist then goes on to tell them that they have friends staying at the home as house sitters until they can sell or rent it and if they will mail them the deposit, they will mail them the keys  to the property and a copy of the lease within twelve hours of receiving the rental deposit.   The keys never come!   Of course they require the deposit  to be in a money order with the “payable to” left blank or “cash”.  Their reasoning for this is because they haven’t set up a bank account in their new location yet.  In some cases when the keys don’t arrive the renters load up their belongings and showed up at the property on moving day.  The person they meet at the front door is not a house sitter but the homeowner.  In some instances, fights have broken out between the renter and the homeowner and the police have been called to put a stop to the debacle.  In the end it is the renter who has lost out.

If you are a victim of or suspect this type of fraudulent activity, you can contact the FTC (Federal Trade Commission) in order to file a report.  The FTC reporting toll free hotline is 877-FTC-HELP (877-382-4357).  If the ad was on Craig’s List, you should report the ad as soon as possible to abuse@craigslist.org.  Never give out personal information that is vital to your privacy such as social security numbers or birth dates.