Law enforcement and consumer protection authorities sometimes classify particular fraud schemes by the communication mechanism used (e.g., "Internet fraud," "mail fraud," and "telemarketing fraud"). At the same time, they also recognize that mass-marketing fraud schemes often use multiple communications techniques to maximize their outreach to prospective victims.

What Are The Major Types of Mass-Marketing Fraud?

Based on data from law enforcement and regulatory authorities such as the Internet Crime Complaint Center and the Federal Trade Commission mass-marketing fraud schemes generally fall into three main categories:

Advance-Fee Fraud Schemes. This scheme is based on the concept that a victim will be promised a substantial benefit –but must pay in advance some purported fee or series of fees before the victim can receive that benefit. While there are almost endless variations on the basic scheme, here are some of the more frequent substantial types: Auction and Retail Schemes, Business Opportunity/"Work-at-Home" Schemes Online, Credit-Card Interest Reduction Schemes, Inheritance Schemes, Lottery/Prize/Sweepstakes Schemes, Online Sales Schemes, and "Romance" Schemes.

Bank and Financial Account Schemes. Some mass-marketing fraud schemes also involve mass contacts with individuals to trick them into providing their bank or financial account data, so that participants in the scheme can gain unauthorized access to those accounts and siphon off funds or charge goods to the victims' cards. These types of schemes involve not only fraud but also identity theft - the wrongful obtaining and using of someone else's personal data in some way that involves fraud or deception, typically for economic gain: "Phishing" and "Vishing

Investment Opportunities.  There are three basic types of investment methods for trying to manipulate securities markets for personal profit: "Pump-and-Dump" Schemes, Short-Selling ("Scalping") Schemes, and Cold Calls.

What Is The Department of Justice Doing About Mass-Marketing Fraud?

As the central agency for enforcement of federal laws, the Department of Justice aggressively pursues mass-marketing fraud schemes, whether based in the United States or foreign countries, through investigation and prosecution. In addition, the DOJ provides active support and assistance to foreign investigators and prosecutors who pursue international mass-marketing fraud. 

How Can I Spot A Mass-Marketing Scam?

Although judging by the sheer number of solicitations and "can't miss" propositions that you can see every day in your e-mail mailbox or posted on message boards or Web sites, Internet scams may seem inescapable. While you can't wholly avoid seeing online solicitations that may be fraudulent, here are some tips on how to deal with them.

Don't Judge by First Appearances.

Watch Out for "Advance-Fee" Demands.

Be Careful About Giving Out Valuable Personal Data Over the Phone or Online.

Be Especially Careful About Online Communications with Someone Who Conceals His True Identity.

Research The Prospective Seller Carefully.

Pay by Credit Card or Escrow Service If Possible.

Take Your Time In Making Investment Decisions.

Research The Potential Investment Opportunity - And Who's Behind It - Carefully.

Watch Out for High Pressure Tactics.

Check Out The Competition.

How Can I Get More Information About Mass-Marketing Fraud?

For more information on internet crimes or if you have a complaint about any type of Internet crime, you can file an online complaint with the Internet Crime Complaint Center (IC3) at www.IC3.gov.  The IC3 is a joint project of the FBI and the National White Collar Crime Center (NW3C). The IC3's key functions for federal, state, and local law enforcement agencies will be (1) receiving online complaints, (2) analyzing them to identify particular schemes and general crime trends in Internet fraud, and (3) compiling and referring potential Internet fraud schemes to law enforcement.

For more information on consumer fraud or if you have a complaint about any type of consumer fraud, including any type of mass-marketing fraud, you can file a complaint through a toll-free Consumer Help Line, 1-877-FTC-HELP (1-877-382-4357) or online with the Federal Trade Commission at www.FTC.gov.