Saturday, October 13, 2012

Scam News: Ransomware gets fined big time

Recently there was big news that FTC shut down an international scareware ring that puts fake warnings on computers to scare people into buying their software to make the warnings go away.

However, scareware is relatively harmless, as the warnings look scary but in general does NOT damage your computer. The scammers rely on your lack of knowledge and fast talking into thinking your computer is doomed and only they can save you.

Here's a couple in Australia, whose twin daughters were murdered, and one such scareware vendors called her up and convinced her to pay HUNDREDS to "save" her priceless photos and videos of her daughters.

Scammers, in this case, tapped into fear as the prime motivator. You can't afford to take the risk of losing the items in question, so you may just pay up instead of doing more research and/or start over.

There is something even worse worse though: ransomware.

The name pretty much explains it all. The software, once loaded onto your PC, encrypts some of your files and erased the original, then demands you to give them money to restore the files.

By tapping into fear of government and lawsuits, they claim they can help you pay the fines and avoid civil penalties if you pay up.

What does all this have to do with MLM, you say?

Well, MLM, like all persuasions, use emotion as the prime motivator for you to commit. Most MLMs are income opportunities, so they will try to tap into a bit of greed, as well as a bit of fear (will have have enough money to retire? Will my existing job be around in X years?) to encourage you to spend money on THEIR product.

When you analyze a decision, you need to SET ASIDE YOUR EMOTIONS and examine the actual evidence and analyze them. If you don't have the tools or expertise to analyze the evidence then get help, but often scammers will some isolate you and/or use time pressure to FORCE you to make a decision to their advantage, not yours.

They WANT emotions to cloud your thinking. Don't let them succeed.

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