Cheap IPod and phones Scams

You may have noticed in the last 6 months or so and increasing number of adverts/emails/forum msgs notifying of cheap Ipods or Mobile Phones

A particular target of these messages has been ebay with sellers auctioning internet links to websites managing these schemes. I was particularly incensed after seeing one on Amazon marketplace.

Some of the more legitimate MLM sites seem to be engaged in at the least dubious arrangements with 3rd party retailers.  To get a free ipod at   in you and 5 friends have to sign up for trials with 3rd party companies.  Getting 5 people who’ll stick at their free trials is probably difficult. 
Such advertising for members is an insideous form of spam. Let’s face it, to convice 100 random people to sign up, perhaps as many as 10,000 or 100,000 people need to see a message. That’s going to equate to a lot of forum posts /ebay auctions etc. In fact this sort of auction is such a problem on ebay now that it looks completely legitimate. Most of which say things like "DO NOT PAY FOR THIS- DONT CLICK BUY NOW-  I GIVE INFORMATIONS FOR FREE" and give the address of a website.

Paypal now include in their terms and conditions:
"You may not use PayPal to send or receive payments for any form of multi-level marketing programs (including online payment randomizers), as well as matrix, pyramid and Ponzi schemes, "get rich quick" scheme, or other similar ventures."

The Uk Office of Fair Trading (OFT) recently included Matrix Schemes in
a list of top ten scams as part of "Scams Awareness Month".

Clearly knowledge of these scams is filtering down but more should be done
by the retailers whose services are being abused.

For more information see

How matrix schemes work

The ebay matrix scam

Pyramid Schemes, Ponzi Schemes, and Related Frauds


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