Own or work at a small business? Be on the look out for a scam that attempts to fool businesses into paying fees to stay in compliance with government regulations that don't even exist.
How the Scam Works:
You receive an official-looking letter in the mail. It's labeled something like "Notice of Potential Compliance Violation," "Certificate of Good Standing Request Form" or "Annual Letter Solicitation Form," and it looks like a document from the state or provincial government. The mailing informs you that, in order to be in compliance with a regulation, you need to fill out the attached form and send it back with $125.
Don't do it! There is no "corporate records" filing form or "good standing certificate." Scammers are hoping that business owners, eager to adhere to regulations, will automatically pay any "government" fee that comes along.
There are many versions of this scam. Con artists are very creative in their fake regulations. In on iteration, the mailing informs you that your business needs to file "corporate meeting minutes" with the government. How much does this cost? You guessed it: $125.
How to spot a compliance scam:
Here's how to spot fake government mailings.
For More Information
To find out more about other scams, check out BBB Scam Stopper (bbb.org/scam).
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