There’s no cost to your church. It may even make money to use for good works. It’s a win-win situation, right? Maybe not. In fact, it could be a scam.
Con artists with similar pitches are targeting African-American churches with so-called opportunity scams. Emphasizing a shared faith, culture, or concern for the community to win your trust, they offer the opportunity to use equipment or services that supposedly won’t cost the church a thing.
Their goal? To get access to your church’s bank account, either by lifting account information from a check or by persuading you to sign up to have payments automatically deducted from the account. Once they have access, they can make oversize withdrawals or completely clean out the account.
Recently, scammers offered computer equipment to the staff of several churches, claiming the cost would be covered by a “sponsor.” The church staff simply had to sign an agreement to lease the equipment, make a regular payment, and deposit checks from the sponsor to cover the checks the church staff had written. But in the end, the equipment didn’t work, the sponsor checks started bouncing, and the churches had thousands of dollars taken out of their accounts.
How can you avoid a potential church opportunity scam? The Federal Trade Commission, the nation’s consumer protection agency, recommends remembering:
If your church has experienced a scam like this, report it to your state Attorney General. You can find your state AG at naag.org. You also can file a complaint with the FTC at ftc.gov/complaint, or 1-877-FTC-HELP.
The FTC works for the consumer to prevent fraudulent, deceptive, and unfair business practices in the marketplace and to provide information to help consumers spot, stop, and avoid them. To file a complaint or to get free information on consumer issues, visit ftc.gov or call toll-free, 1-877-FTC-HELP (1-877-382-4357); TTY: 1-866-653-4261. The FTC enters consumer complaints into the Consumer Sentinel Network, a secure online database and investigative tool used by hundreds of civil and criminal law enforcement agencies in the U.S. and abroad.