Don't be pressured into resolving debt on the phone - it could be a scam

MILWAUKEE (WITI) -- If a phone solicitor insists you have outstanding debt - even if you think otherwise - don't be pressured into giving money. It could be a scam.

"Never be pressured to make this decision on the phone right now," advised U.S. Postal Inspector Kim Gordon. "Any reputable company would be happy to send you information and take your time."

Trust your instincts and check your financial records. This move helped one victim with suspicions save her money.

A long time ago, Janet Leimenstoll had purchased products through the charity, Disadvantaged Handicapped Workers of America. But, Leimenstoll said she hadn't bought anything in "years and years."

However, one day, she received a call from someone who said they were with that charity.

Leimenstoll knew she didn't owe any money and argued with the caller - but the man on the phone insisted she did and told her that "collection (was) today." The caller then proceeded to threaten her with fines, late fees and legal action.

"They threaten you with sending you to court," Leimenstoll said. "And they say it will cost you thousands in court fees so you start hearing thousands of dollars."

Gordon said this was a common tactic among perpetrators of fraud.

"People were told 'you owe this money," Gordon explained. "'We are going to send it to a collection agency and your credit will be ruined.'"

Feeling pressured and fearing for her finances, Leimenstoll paid the man $150, which was three times the original purchase because of all of the accumulated "late fees" and "fines."

However, Leimenstoll quickly realized something wasn't quite right.

"I was truly furious when I realized they were scamming me and I didn't quite know what to do," Leimenstoll recalled.

So Leimenstoll decided to take action and investigate the date she was told she "bought" the item. She also ordered her phone records for the day and compared her notes.

"They (the phone company) sent me the whole month from that last year and I had no incoming or outgoing calls on that day," Leimenstoll said.

After confirming her suspicions and having found proof that her debt didn't exist, Leimenstoll called the charity to get a refund. However, the lady representing the company wasn't too happy.

"The lady was very mad," Leimenstoll explained. "I said I have proof that I didn't buy this, because I don`t have a call coming in or out that day. I have my phone records."

Luckily, Leimenstoll received a full refund. However, not everyone is so lucky. Postal inspectors said 150 to 200 victims have lost over $10,000 as a result of this fraud. In fact, postal inspectors were tipped off to this case after almost 400 complaints were filed against the company.

Officials advise caution when it comes to purchasing goods or resolving debt over the phone.

"If someone calls you asking you to donate to a cause, have them send you some information through the mail so you can check it out," Gordon said.