Tips from Geeks On Site: How to Recognize a Scam Company Online

May 24, 2010 - PRLog -- The Internet is a hard-to-control marketplace. The medium enables trading between parties that do not have to see each other, let alone be in the same country. A fair share of people jump on the opportunity to do business without providing the proper paperwork that goes into running a company. However, any organization with a website is not a business. If the legal framework is not there, you are dealing with a scam company.

All legitimate US companies have a federal tax ID number. However, tax ID numbers are confidential and not likely to be shared with consumers without reasonable purposes. There are however ways in which you can determine the legitimacy of the company you are dealing with for yourself. Geeks On Site has gathered the following advice for anyone about to do business with a suspicious online enterprise:

*Look for a physical address on the company’s website as well as a land line number or a toll free number. The phone number’s area code should match the company’s address.

*Pay attention to the quality of the website. Low quality of graphics and poor grammar indicate that the website has been put together in a rush and/or the company does not have the means to hire a professional to do the web design for them.

*Be suspicious of extremely cheap prices and promises such as easiest, safest and most affordable.

*Beware of offers that come to your email account from sources you are not familiar with. If a company that you have never heard of before approaches you with an offer, they have most likely obtained your contact details illegitimately.

The reasons to not purchase products or services from illegitimate sources go beyond that of the obvious security breach you are subjecting yourself to. The products you purchase will not have a guarantee nor will the services be insured. The illegitimate company is not paying taxes and therefore not contributing to the economy. Also, the company is most likely encouraging illegal employment in the US or offshore.

For more information on online scams, read our previous articles on Internet fraud and networking scams in our blog:  www.geeksonsiteusa.com/blog.

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