Domain names scams are commonplace in the UK, and are generally aimed at businesses, but how can you spot them? Here is our guide on how to avoid getting caught out by the domain name scammers.
How the scam works Teams of sales people on a high
commission telephone businesses to offer domain names similar to ones they
already own.
The story varies between 'a competitor is trying to buy a domain name which
is like yours' or 'an ex-employee is trying to damage your business by buying
a similar domain name', but either way its all rubbish.
The charge for each domain name (because they will try and sell you several)
will be in excess of £100.00. The cost to them is around £7.00 and normal
price for a .co.uk is around £20.00. You are being offered these domain
names at five times their normal retail price.
The scammers will use time pressure as a lever to get you to buy there and
then using your credit card. Often they will say that you need to let them
know by 4:45pm so you can get the domain registered before this mysterious
competitor or disgruntled ex-employee.
In reality, there is no-one after your domain name. If anyone called
the company to register a domain, they would take their money and register it
right away. Why should they bother trying to find out who owns similar
domain names and take the trouble to call them and offer them the domain
name? The economics just don't stack up.
Always remember, if that domain name was so important to you, why haven't you
registered it anyway?
