Despite the booming economy, the most popular pitches by telemarketing con artists are about ways to earn,win or borrow money, according to the National Consumers League 's National Fraud Information Center. In three of those categories, sweepstakes, advance-fee loans, and lotteries, a significant number of the fraudulent telemarketers targeting consumers in the United States were operating from outside the country.
Federal law prohibits up-front fees for certain types of telemarketing offers, including loans.
It is illegal to request payment in order for consumers to claim sweepstakes and prizes or to transmit lottery information across state or national boundaries. Don't act on impulse or because of pressure. Ask for written information, then check it out with local or state consumer agency and Better Business Bureau. Never pay to get a free prize. Legitimate prize and sweepstakes promoters don't ask for money to claim your award or to improve your chances of winning.