Spotting the fakes

Although most prize draws and competitions are perfectly legitimate, there is undoubtedly a few that seek to do nothing more than take you to the cleaners.

Often a ‘scam’ will appear out of the blue, from a company running a competition that you have not entered. These offers should either be investigated very carefully or go straight into the bin.

One of the newest and most widespread scams has come from the 0908 number companies. After being told in a letter that you have won anything from a Ferrari to a gold chain, the chances are that you will have to fork out at least £25 on a phone call that informs you that you are the lucky recipient of a gold chain worth £4. The following are some good general tips to help you avoid being scammed by the more dubious competition and sweepstake operators.

1. If you are required to pay money in order to collect a prize, then the competition is a fraud.
2. If you have no recollection of entering a competition that somebody claims you have won, then it is not a legitimate win.
3. Legitimate competitions do not require credit card numbers, cash, or personal information to award a prize.
4. Never make purchases from these companies over a telephone.
5. If you are contacted by mail or over the phone by a company that sounds like they are trying to pressure you into making a decision, never take immediate action.
6. If you are considering phoning a premium rate number to claim your prize, read the small print first and satisfy yourself that you are happy to spend the money on the call at the risk of ending up with nothing.

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