BBB Study: Pet Scams Use Phony Ads, Websites to Victimize Thousands of U.S. Consumers

A West African-based scheme to sell non-existent puppies and other pets to unsuspecting U.S. consumers may be significantly more organized and widespread than generally believed, according to a just-released report by Better Business Bureau (BBB). BBB warns that the scams are so widespread that anyone searching for a pet online is likely to encounter this fraud.

The study– “Puppy Scams: How Fake Online Pet Sellers Steal from Unsuspecting Pet Buyers” — estimates that tens of thousands of consumers in the U.S. and around the world may have fallen victim to the scam, with prospective buyers losing anywhere from $100 to thousands of dollars each to the thieves.

The report recommends having a coordinated and aggressive law enforcement approach, and increased consumer education to combat the problem.

“These situations can be heartbreaking for families who believe they’ve found the perfect pet,” said Jarrod Wise, Vice President of Marketing and Communications with BBB serving the San Francisco Bay Area and Northern Coastal California. “These are not just a few isolated cases of naïve consumers being taken, but a highly organized, international scheme focused on one thing – stealing your money.”

The report says that while most victims are hooked into the scam by photos of cuddly terriers, miniature bulldogs or other puppies, other consumers believed they were paying for kittens, parrots or other animals to be delivered to their homes.

The study says that thieves impersonating pet sellers instructed potential buyers to make upfront payments for shipping, insurance and other fees associated with transporting the animals. In most cases, buyers never receive the pets, and in turn lose their money.

A consumer from Oakland said she lost nearly $1,000 – and could have lost much more – after agreeing to pay to have a teacup Yorkie shipped from Baltimore to her home for her daughter. She contacted FBI and BBB once she realized she had been scammed.

Similar stories have come from Chicago, Dallas, Omaha, and across the nation. 

Among the report’s key findings:

  • Most of the scams appear to originate in the West African country of Cameroon and use workers in the U.S. to pick up wire payments sent through Western Union or MoneyGram.
  • At least 80 percent of the sponsored advertising links in an internet search for pets may be fraudulent. In all, there may be hundreds or even thousands of fake websites offering pets for sale, with many of the active sites registered in just the past few months. Virtually all of the photos and much of the language used on the sites are copied from legitimate breeder sites, or simply fabricated.
  • The thieves require that correspondence be done by email, text messages or by phone. Any request to meet the seller or see the animal before payment is rebuffed.
  • The thieves will continue asking for additional payments until the prospective buyer refuses further requests.
  • While victims can be of any age, reports show that those most susceptible to the scheme are in their late teens or early 20s, with a majority of complaints coming from those in their 20s and early 30s.
  • Better coordination by law enforcement and regulatory agencies, as well as increased consumer education are key to reducing losses.
  • Doing an internet search of the advertised picture may help identify fraudulent offers.

BBB offers the following tips for consumers looking to purchase a pet:

  • Research any business and its owners carefully before paying any money. Check the company’s BBB Business Profile at bbb.org.
  • If possible, try to pick up the puppy in person. Puppy scams depend on buyers trusting that the animals will be delivered to them.
  • Be careful about buying a puppy from anyone you don’t know, and be especially skeptical if the price is much lower than normal.
  • Avoid wiring money or using prepaid cards or gift cards to pay for transporting animals. Instead, pay by credit card in case you need to challenge the purchase later.
  • Research pet adoption requirements in your area. Get a good grasp on what fees, permits and licenses are required by your local government, and know whether they should be collected by the seller or government.
  • Consider getting a rescue dog if having a purebred dog is not a priority. Generally, rescues are less expensive than purebred pets and often have fewer health problems.
  • Victims of this fraud can report it to BBB’s Scam Tracker

The report was prepared by C. Steven Baker, BBB International Investigations Specialist. Baker is the retired director of the Federal Trade Commission’s Midwest Region.

In his role with BBB, Baker is working with an alliance of five BBBs, including the Bay Area BBB office, in analyzing and reporting some of the most pervasive fraud issues impacting American consumers.

To read the BBB study in full, please visit bbb.org/puppyscamstudy. Overviews of the study can be found at bbb.org/puppyscam and here.

About BBB

BBB is a nonprofit, business-supported organization that sets and upholds high standards for fair and honest business behavior. Most BBB services to consumers are free of charge. BBB provides objective advice, free BBB Business Profiles on more than 5.3 million companies, 11,000 charity reviews, dispute resolution services, alerts and educational information on topics affecting marketplace trust. Visit bbb.org for more information.

BBB media contact:  

Jarrod Wise, BBB serving the San Francisco Bay Area & Northern Coastal California, jwise@bbbemail.org 510-844-2022

 

Rebecca is the Community Outreach Coordinator for BBB serving the San Francisco Bay Area and Northern Coastal California. She works to advance BBB’s vision of an ethical marketplace where buyers and sellers can trust each other. She does this by developing content such as blog posts, press releases, newspaper columns, and PSAs to educate businesses and consumers. Rebecca also represents BBB at community events.

Tagged with: , , , , , , , , , , , , , , , ,
Posted in Computers - Internet - Privacy, Consumer Tips, Consumer/Business Services, Credit - Mortgage - Payments, Scams

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: