Consumer Alert

Banking Department Urges New Yorkers to be on the Lookout for "Phishing" Scams

New York, NY: The New York State Banking Department warns consumers to be wary of e-mails asking for personal or identifying information that appear to come from financial institutions or other well-known companies. This Internet identity theft scam is called "phishing". Thieves use the scheme to trick people into providing their personal information; including passwords, credit card numbers, social security numbers, PIN numbers, and other private financial information. With enough information, it is possible for a con artist to steal another person's identity and run up huge bills in that person's name.
Superintendent Diana L. Taylor said: "Since the dawn of the World Wide Web, people with bad intentions have sought ways to separate the unwary from their money. Our goal is to make consumers aware of phishing scams. While a message may look as if it is legitimately from a bank, people should know that a legitimate financial institution would never send e-mail to customers requesting that they "update" their personal records online. If you have a question or concern, call your bank. Do not open or respond to any message that you find suspicious. Doing so is equivalent to handing your personal information to a stranger who may use it to steal your identity, loot your bank accounts and destroy your credit rating - damage that is difficult to repair. Computer viruses may harm your hard drive, but phishers rob you of your good name."
In a common type of phishing (pronounced "fishing") scam, individuals receive e-mails that appear to come from a financial institution, a credit card company or Web-based payment service, for example. The e-mail may look authentic, right down to the use of the institution's logo and marketing slogans. The e-mails often describe a situation that requires immediate attention and then warn that the account will be terminated unless the e-mail recipients verify their account information immediately by clicking on a provided link. Banking Department employees have seen bogus e-mails purporting to be from Citibank, SunTrust , PayPal and others.
The link will take the e-mail recipient to a screen that asks for account information. While it may appear to be a page sponsored by a legitimate financial institution, the information will actually go to the con artist who sent the e-mail.
Consumers should never respond to such requests. No legitimate financial institution will ever ask its customers to verify their account information online.
If someone feels that they may have been the victim of a phishing scam, they should immediately contact their financial institution, monitor their account statement carefully, and call the Federal Trade Commission at 1-877-IDTHEFT.
To help prevent people from falling victim to this scheme, the New York State Banking Department has prepared an informational fact sheet detailing what people should know about phishing scams and how they can protect themselves.
A copy of the fact sheet is attached. It can also be viewed on the Banking Department's Website at http://www.banking.state.ny.us/csbr.htm. For further information, consumers can visit the new www.phishinginfo.org Website.
The New York State Banking Department is the regulator for all state-chartered banking institutions, virtually all of the United States offices of international banking institutions, all of the State's mortgage brokers, mortgage bankers, check cashers and budget planners. The aggregate assets of the companies and institutions supervised by the Banking Department are nearly $2 trillion.

Scams, Frauds and Warnings
Consumer Alert:
Banking Department Warns Against Advance Fee Loan Scams, Urges New York Media and Consumers to Use Caution
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October 18, 2004
New York, NY: The New York State Banking Department today issued a consumer alert to the New York State press corps and consumers warning them about a company calling itself “Personal Loan Consulting Services” or “PLC Services”, and a company calling itself “Guardian Financial Benefits Services”.
The Banking Department has received information that a person/entity representing itself as PLC Services is placing deceitful advertisements for guaranteed loans on the internet and in newspapers across the United States. The advertisements lure customers into giving personal financial information and sending a $395 security deposit to 676A 9th Avenue, Suite 296, New York, New York 10036. The Department has learned that money that has been sent to the New York address has been rerouted to an address in Canada.
In addition, the Banking Department has received information that a person/entity representing itself as Guardian Financial Benefits Services is placing deceitful advertisements for a credit card that requires an advance fee of $249 be sent to an address in Tampa, FL. The credit card is never delivered to the consumer. The company also has used a mail box address in Champlain, NY. Again, the Department suspects this to be an advance fee loan scam operating out of Canada.
The fraudulent operation is not affiliated with a legitimate UK firm called Guardian Financial Services Ltd.
The Banking Department urges the media in New York State to not accept any ads from Personal Loan Consulting Services or Guardian Financial Benefits Services and to contact the Department’s Criminal Investigations Bureau at 212-709-3540 if they are solicited to place an ad in any form: print, broadcast, radio or Internet.
Anyone who has responded to a solicitation from PLC Services or Guardian Financial Benefits or spotted one of their advertisements should call the New York State Banking Department at 1-877-BANK-NYS to file a complaint.