The Nigerian Scam:
What it is and how to avoid it
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If your email address has been around for a few years, you're probably getting a ‘Nigerian' scam email almost every day. So what is this scam, where did it come from and how does it work? Believe it or not, the Nigerian scam originally started via postal mail. However, with the advent of email, this scam became much more affordable to pull off, not to mention faster and easier.
The specifics may vary, but the general situation is that the sender is in control of a large sum of money, usually in the millions, and they are looking for a way to move it overseas. They are contacting you to receive the funds, for which you'll get a very generous cut. And of course, they require that you do not discuss the arrangement with anyone - otherwise, the arrangement will be put at risk.
Soon after you agree to help, something will go wrong - there will be an unexpected transfer fee or an official that needs to be bribed - that will require a small amount of money to overcome. Given the huge chunk of money that you will shortly be receiving, it seems ridiculous not to pay. Unfortunately, these ‘problems' will continue indefinitely, until you finally give up and stop paying at all. To add insult to injury, when you do stop paying, the scammer will often berate you for causing the deal to fall through.
There are other variations, as well. A widow who only has months to live and wants you to spend her life savings on good causes or a lottery notification with details of the wonderful riches that you have won. Whatever the story, the scam is the same - you will need to provide money or bank account details in order to get the money that's being promised.
However, there's a disturbing new trend to these emails: requesting "proof of identity", along with bank account details. Of course, giving your ID and bank account information opens you up to much greater risk -you've given the crook everything they need to walk in to a branch and bleed your account dry. In addition, they can use the information to establish new credit in your name and run up huge bills.
As with any scam, the best defense is caution. If you do not know the person or group that is making this request, it should always be a red flag. If you suspect a scam, do some research. Copy some of the text from the email and paste it in your search engine - usually these scams are sent out to millions of people, so chances are someone else is talking about it. If you can learn to recognize red flags in emails and Web sites, you can stay safe and keep your money.
Let me know if you have any comments, questions or suggestions. Write David W. Weatherholt at david@bnewsviews.com
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Library of Congress Cataloging-in-Publication
Business/News & Views® / by David. W. Weatherholt
ISBN: 978-0-9823041-1-2 (electronic format)
Published in the United States of America through www.waconsult.com
Published in an electronic format by Weatherholt & Associates, LLC
First Trade Publishing: October 2008
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