How the scam works:
We all would love to believe that there is an easy way to earn money from home with very little work required, and the resale credit card services scam capitalizes on this quirk of human nature.
The scam begins when a caller claiming to be a representative from a bogus company with a name such as “Cloud Company Services” offers you the opportunity to make good money from home simply by re-selling Visa and MasterCard services to other businesses. But as with anything else that sounds too good to be true, there’s a hitch.
In order to make any money from this “business model”, you must pay a $395 fee in order to obtain a domestic business license; international licenses cost $700.
What is so dangerous about this scam is that the organizers are very professional. They have a website and call back information that makes their illicit undertaking seem legitimate. They also encourage their victims to check them out online and by calling the call back number, making them seem on the up and up, when nothing could be further from the truth.
How to avoid:
This scam raises many red flags, the first of which is the old cliché, if it sounds too good to be true, it most likely is. These scammers will also try to make you believe that if you don’t act now, you are missing out on the earning opportunity of a lifetime. It helps to be aware that most legitimate business ventures are not instigated by a representative cold calling random individuals. Another important point to remember is that Visa never places outbound calls to customers or other individuals. If you have any doubts about the veracity of the caller, contact the customer service number on the back of your Visa or MasterCard and verify the legitimacy of the call you received. You will most likely be told that the caller is a scam artist.
How to report:
Make your family and friends aware of this scam by sharing it on social media using the buttons provided. You can also officially report the scammers to the Federal Trade Commission (FTC) using the link below:
How to protect yourself more:
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