Fraud - Answers To Common Questions

Identity theft has become a very real problem throughout the world. It can ruin your credibility, your credit and your life. It can stop you from getting a job and that home or car you have been wanting for quite some time. Knowledge is power and if you learn about fraud you can help save yourself a world of hurt and frustration when you have a brush with a fraudster. This article will cover some of the basic questions you may have where fraud is concerned and perhaps you can protect yourself.

What are some types of fraud?

The most common types of fraud now are Ponzi schemes, romance scams, lottery scams, money order scams and of course identity theft. It does not take even an experienced con person to find out your personal information. Many people do not use paper shredders for their mail. If you think thieves will not go through your trash you are sadly mistaken and in for a rude wake up call when you get a call from collectors looking to receive payment for items you did not purchase.

What is the penalty for fraud?

The penalty for fraud is of course repaying the amount of money stolen if it is applicable to the situation. Other penalties include jail time, probation, a criminal record and sometimes community service. New laws regarding internet fraud and conviction can mean that the person is not allowed to have a computer or be on the internet. In today's digital world that is a severe punishment.

Are there types of fraud that do not involve money?

Sure there are types of frauds that do not involve money. Granted this does not occur much but there are some examples. Sometimes it is services that are stolen. Other instances could be marriage fraud where a person enters into a marriage without the typical marriage ideals in mind. They may be marrying for social position, for benefits or for whatever reason. Knowingly committing bigamy on an unknowing person is an example of fraud.

What are some notable fraudsters?

One of the most notable fraudsters had a movie written based on his life. He eluded the cops all over the world. Frank Abagnale Jr. was a master con man. He would perpetrate doctors, airline pilots and even lawyers. Some fraudsters have managed to bilk millions out of people. Take for example Martin Frankel who cheated investors, money laundered and assorted other criminal activities in the tune of $208 million dollars.

What are the penalties for people guilty of fraud?

They get to go to jail. That is pretty much the bad part. They have to repay the money. They may face criminal and social courts of law and penalties and they will probably regret it for the rest of their lives.