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Scam Alert

Brought to you by Channel 8/KLAS TV

Door-to-Door Magazine Sales Scams

Door-to–Door Magazine Sales Scams

Beware of emotional appeals by someone selling door-to-door. For example, the student selling magazine subscriptions using the appeal that your sale will help him/her get a college scholarship or other such rewards.

If you buy from a door-to-door salesperson in your home, and the purchase is more than $25, you're protected under the FTC's Cooling-Off Rule. The Rule gives you three days to cancel your order and receive a full refund. The seller must tell you that you have a right to cancel, and give you a summary of your cancellation rights and two copies of the cancellation form. Ask to see the required cancellation notice before you agree to buy. If the salesperson doesn't have it, don't place an order. The company is breaking the law.

Sales techniques vary. The FTC says consumers should question approaches that feature:
 
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Salespeople who encourage you to buy without giving you your total costs. For example, a salesperson may offer magazines for just a few dollars a week. That could sound like a bargain - until you do the math. You could end up paying hundreds of dollars over several years for subscriptions that sell elsewhere for less.

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Salespeople who tell you magazines are "free" or "pre-paid" for you and that you'll be charged only a "processing fee." The fee may be more than the retail price of the magazine subscription.

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Salespeople who don't identify themselves as such or who may not give you the name of their company. They may lead you to believe they represent magazine publishers, or that they're soliciting for reasons other than selling subscriptions.

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Be wary. This may be a scam. Use the following tips to protect yourself.

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Get the name and phone number of the company for which the salesperson is working. If they are reluctant to provide the information or can’t provide it, that’s a red flag that they may be a scam artist.

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Once you get the name and phone number, check with the local business licensing agency to ensure that the salesperson is legally selling door to door in that locality.

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Postpone the actual purchase until the following business to allow for the above check and for checks with the Nevada Consumer Affairs Division and/or the Southern Nevada Better Business Bureau regarding prior complaints.

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Never allow the solicitor into your residence.

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Never conduct door-to-door transactions at night.

Sources: http://www.ftc.gov/bcp/conline/pubs/tmarkg/magzn.shtm and the Nevada Consumer Affairs Division
 

May 13, 2008

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