RICHMOND -- Your elderly grandparents lose their hard-earned savings through a fraudulent investment opportunity. Your neighbor learns too late that the bogus insurance plan he purchased is worth less than the paper on which it was written. Your co-worker falls victim to identity theft after providing sensitive personal information in response to a phishing* e-mail masquerading as a legitimate bank site.

     The costs of consumer fraud – both tangible and intangible – are staggering, and the number of victims continues to grow dramatically. According to a survey by the Federal Trade Commission, nearly 25 million Americans experience consumer fraud each year. The fraud takes many forms, and anyone can be a victim.

     To help Virginians learn how to better protect themselves against fraud, the State Corporation Commission (SCC) has teamed up with the Federal Trade Commission and other federal, state and local governments and national advocacy organizations for the eighth annual National Consumer Protection Week, February 5-11. This year’s theme, “Consumer Protection: It’s the Name of the Game,” highlights the importance of consumer education in the fight against fraud.

     Educated consumers are the best defense against fraud. Whether you are comparing home loans, investing money for retirement, shopping for health insurance, or exploring business opportunities, it pays to know how to spot a scam.

     The SCC offers valuable information and assistance to help Virginians become more knowledgeable consumers. The SCC oversees Virginia-chartered or licensed banking, insurance and securities firms doing business in Virginia. It also regulates Virginia’s investor-owned electric, gas, water and sewer, and telephone companies; assesses public service corporations for state and local taxation; and charters domestic and foreign corporations doing business in Virginia.

     “Investigate before you invest. When your money’s at stake, you want to hit a grand slam, not a grand scam,” said Ron Thomas, director of the SCC’s Division of Securities and Retail Franchising. “Educated consumers are better equipped to make wise investment choices.”

     Virginia Insurance Commissioner Alfred W. Gross agrees. “Educate yourself before making any important financial decision. Make sure you are dealing with legitimate individuals or firms. Shop around, compare prices and terms, and don’t be afraid to ask hard questions,” he said.

     “Protecting your money and your personal information are vital to securing your financial future. The more you know, the less likely you will be to fall victim to con artists, fraudulent offers, and improper lending practices,” said E. J. Face, Jr., Virginia Commissioner of Financial Institutions. He stressed the need for Virginians to protect their personal information by keeping track of their credit, safeguarding their wallets, putting strong passwords on their bank and credit card accounts, and using only secure websites for financial transactions.

     Whether you are doing business in person, by phone, by mail, or over the Internet, there are things Virginians can do to protect themselves. The SCC offers the following tips:

• Do your homework. Educate yourself about rates, fees, and other terms before making a financial decision. Ask questions and don’t allow yourself to be rushed.
• Guard your personal information. Never provide personal information in response to unsolicited e-mails, phone calls, letters, or faxes.
Don’t fall for “pie-in-the-sky” offers. If an offer sounds too good to be true, it probably is.
• Deal with companies and individuals that you know and trust. Contact the SCC ahead of time to see if an insurance agent, insurance company, investment advisor, stock broker, bank, mortgage lender, or payday lender is authorized to do business in Virginia.
• Get any offer or agreement in writing and keep a copy for your records.
• Check your credit report regularly. The information in your credit report can make a difference when you apply for credit, insurance, or a loan.

     For more information, consumers may call the SCC in Richmond at (804) 371-9051 (Division of Securities and Retail Franchising), (804) 371-9741 (Bureau of Insurance), or (804) 371-9657 (Bureau of Financial Institutions), or toll-free in Virginia at 1-800-552-7945. Information is also available on the SCC website at http://www.scc.virginia.gov/.

     Consumers may also contact their Attorney General’s office, local consumer protection office, Better Business Bureau or the Federal Trade Commission’s toll-free helpline at 1-877-FTC-HELP (382-4357) or visit the National Consumer Protection Week website at http://www.consumer.gov/ncpw/.