Consumers warned on “free” holiday telemarketing scam

E-mail Print
The Australian Competition and Consumer Commission has warned holiday-hungry Australians to be wary of telemarketers promising “free” holidays to exotic locations such as the Caribbean, Mexico or the United States.

The Australian Competition and Consumer Commission has warned holiday-hungry Australians to be wary of telemarketers promising “free” holidays to exotic locations such as the Caribbean, Mexico or the United States.

The consumer watchdog says it has received a growing number of calls from concerned consumers.

The scam usually starts when the victim picks up the phone and hears a pre-recorded voice message instructing them to dial either one or nine to claim their prize. The victim is then connected to a “travel consultant” who will then “sell” the holiday package.

Then comes the sting. To claim the prize, the victim is charged approximately $600 for taxes and other fees via credit card. As well as taking credit card details, the fake sales consultant will often ask the victim for personal information (such as date of birth) in a bid to convince the victim that the consultant is simply verifying the credit card details.

In many cases, victims have found that the holidays do not exist at all. Alternatively, the apparently “free” trips actually come with expensive conditions and fees attached. In many cases, victims are forced to attend seminars run by high-pressure sales groups before they can claim any prize.

ACCC deputy chair Peter Kell is blunt with his advice. “If consumers receive telemarketing calls promising a 'free' holiday, they should just hang up,” he says. “Under no circumstances should consumers provide personal information, including credit card details, to people they don't know and trust. They risk having their identity and money stolen.”

As always, if it sounds too good to be true, it probably is.

Related stories:

 

Read more on:


Write comment
You must be logged in to post a comment. Please register if you do not have an account yet.

busy
 
101 tips for your business in 2010

FREE DOWNLOAD - 101 tips for your business in 2010

SmartCompany's crack team of bloggers and experts, as well as entrepreneurs and investment gurus share 101 of their best tips on everything from managing people and SEO through to marketing, cashflow, social media and wealth.

Register for the SmartCompany Newsletter and immediately receive '101 tips for your business in 2010'.

Free Daily Newsletter
SmartCompany Newsletter
Follow us:

Westpac Financial EducationWestpac Financial Education

Westpac provides interactive workshops and a variety of advice guides and articles.

Free Webinar - Register Now The hottest smartphone apps for business

Our Partners

 
Smartco

DIRECT LINKS

TOPICS

OUR PARTNERS

NETWORK PARTNERS

Popular on Partner sites: 2010 Federal Election | Australian Dollar | Film Reviews | TV Show Reviews | ASX Indices | Fair Work Australia | ASX 20

SmartCompany.com.au is Australia's leading website for SMEs featuring business news, business information and business blogs. SmartCompany's archive of news, feature articles, entrepreneur interviews and business webinars cover topics such as advertising and marketing, buying or selling a business, starting a business, growing a business, franchising, SEO, superannuation and tax.
Online Solution by Valegro

Download SmartCompany eBooks: Expert advice from business women | 101 tips for your business in 2010 | 25 tips to boost your sales | Finding, winning and keeping customers | 21 marketing tips | Business Plan | 25 tips from real entrepreneurs | 21 exporting tips | 10 tips for managing Gen Y