Study: Six Million Victimized By E-Commerce Fraud

Six million Internet users claim they have fallen victim to credit-card-related fraud, including unauthorized use, according to a national survey by The National Consumer League. The National Consumer League released the study_s finding in its report, "Consumers in the 21st Century". Pollsters Lou Harris and Associates, Inc. surveyed more than 1,000 adults during late April to early May. "While the Web can empower consumers with information, it also leaves the unwary exposed to new variations on old fraud and abuse schemes. We now have a much better sense of how consumer groups can use new technologies to meet the evolving needs of Americans in the Information Age," said Linda Golodner, president of the NCL. lthough only 7 percent of online users reporting fraud is a relatively low number, Lou Harris said since that translates into 6 million users, is significant. The National Fraud Information Center a group run by the NCL, is trying to combat cyberspace scams, arming consumers with tips, articles, and bulletins to avoid fraud, protect privacy, and navigate the Net safely. According to the group_s last published results, online auctions represented the top complaint for 1998, which soared a whopping 600 percent since 1997. Online auction complaints were also the number one complaint in 1997, but only equaled 26 percent of total frauds reported. In 1998 that number jumped to 68 percent. The best-known online auctioneer, eBay is a supporter of the watchdog group, listed as a donor contributing under $25,000. While wildly popular, eBay has been the target of numerous complaints involving scams. The group said it has been working with eBay in resolving auction-related deceptions. According to tips provided by the Internet Fraud Watch, Internet users are advised not to give out credit card numbers unless the site has the latest encryption protocols in place and the user know and trust the company.