Incentive Site Backlash

[sunshinegirl]

Hey everyone,

I just wanted to post about something that I have been hearing a lot lately. I know that many of you do LOTS of different rewards programs and probably a lot that never get mentioned on this board. While I am fairly sure that most of the ones that get talked about frequently on this board are not going to be affected by this, I think everyone needs to start being careful.

In the last week, I have heard from 3 major advertising companies about fraud in incentive sites. As a result, some incentive sites have actually been kicked out of their programs. The advertisers are now looking at all of the incentive sites very carefully and making some threats (like we may not get paid for signups, we may get kicked out, etc). In some cases, it is not even the fault of the rewards program because we did not know that people were acting fraudulently in their signups. But in some cases, I think that the rewards program owners have actually encouraged it.

Because of this big crackdown, a lot of offers are getting pulled off of rewards sites. That in itself is not such a big deal. We'll adapt. What I am more afraid of is that some of you might have done a significant amount of signups with sites that are now not going to get paid by their advertisers anymore. In that case, it is possible that you will not get paid either.

Just keep your ears open and be careful about the signups that you do, where you do them, etc. The good news is that (in my opinion) one of the things that led to all of this was the credit card theft we were seeing a lot of. These new measures should help stop some of that. The down side is that it is hard to know which sites to trust. Do your research on sites such as this one and talk to other people before you invest too much time or money anywhere. Also be careful what you say with regard to the sites that you like. If the advertisers can link fraud to a site, they can justify not paying that site for their work. Advertisers include using prepaid credit cards and false phone numbers in their definition of fraud.

I don't want to see anyone lose out. Talk openly to your rewards site owners about what they are doing in their programs to protect the longevity of their sites and YOUR money.

 

[Gizmo1951]

Thanks so much for the info!

 

[DebDisney]

Thanks for the heads-up, Tricia.

I have some questions though. Why would using pre-paid credit cards be considered fraud? That's just a way for people to protect themselves from fraud.

Also, are the free phone numbers that you can sign up for considered fraud or just putting in a random phone number?

Thanks!

 

[mickeyfan1]

I think that it is bound to happen as there are a TON of incentive sites all vying for the same dollars. I hope that Snshine does not get hurt by this, it is such a greeat site, even for people like me that do the little clicks, and nbot a whole lot more. I do try to remeber to put my zip code and email in those pesky paid clicks, because I don't want to see them go away.

Thanks for the heads up Tricia.

 

[sunshinegirl]

Thanks for the heads-up, Tricia.

I have some questions though. Why would using pre-paid credit cards be considered fraud? That's just a way for people to protect themselves from fraud.

Also, are the free phone numbers that you can sign up for considered fraud or just putting in a random phone number?

Thanks!

Today was actually the first time that I have heard the pre-paid credit cards being mentioned, so I will have to get more information. Here is my gut feeling, but I can't substantiate it.

Part of the reason that a lot of these sites are willing to pay people to sign up for their offers is that they know that X% will forget to cancel for at least a month if not more. So they make their money off of 1) the small number of people who actually like the service and 2) the larger percent who just forget to cancel. When people use the prepaid cards, they are doing it intentionally so that even if the forget to cancel, the advertiser doesn't get anything out of them. In that case, I think it is less fraud and more just that the advertisers are no longer getting out of it what they wanted to because the consumers wised up.

The othing thing is that prepaid cards are not traceable. So they are easier for people to use to sign up for the same thing multiple times on different sites and not get caught until it is too late.

I'm really not sure about the phone numbers. I'm not sure that they even know what kind of numbers people are using. Obviously on one end of the spectrum is putting in your real number and on the other end is a totally fake number. Everything else falls somewhere in between. I always give my backup phone number, NEVER my home number because I don't give my home number even to my business associates. Would they consider that fraud? Hopefully not. But until they start giving us more clarification, I'm not 100% certain.

 

[vernfonzndrian]

So are we not allowed to use our simon cards on sunshine?

 

[sunshinegirl]

The advertisers haven't said so far exactly what they consider to be fraud with regard to the prepaid cards. I guess it depends how people are using them as to whether the use is fraudulent. If someone uses them to hide their identity, I would definitely consider that fraud. Beyond that, I think we are just going to start seeing a lot of offers that will not accept them anymore.

 

[Schachteles]

WOW that is a pretty scary thought for many of us who have lots invested in the different sites. I just hope that we get out what we have put in so far!!

 

[sunshinegirl]

WOW that is a pretty scary thought for many of us who have lots invested in the different sites. I just hope that we get out what we have put in so far!!

I think the key is just being careful. Find out as much as you can about the sites that you use. Who owns it? A person or a company? How can you contact them? Do they have postal addresses, phone numbers, etc? How long have they been around? I think there are definitely quite a few sites (including some of the big ones on the DIS) that will come out of this okay. But I also think there are some others that are not going to be okay and people could lose a lot.

 

[Schachteles]

I think the key is just being careful. Find out as much as you can about the sites that you use. Who owns it? A person or a company? How can you contact them? Do they have postal addresses, phone numbers, etc? How long have they been around? I think there are definitely quite a few sites (including some of the big ones on the DIS) that will come out of this okay. But I also think there are some others that are not going to be okay and people could lose a lot.

Do you know when these sites will be taken down? And do you know which ones are in at risk??

 

[sunshinegirl]

Do you know when these sites will be taken down? And do you know which ones are in at risk??

No clue. Because we all use so many advertisers and the crackdown is just starting, it is possible that some sites will be able to hang on for a few more months. I would just keep an eye on things like whether a site that normally pays on time starts having excuses about why it is not paying (and not like a week or two late but like over a month late).

I don't think you are going to see problems with QR, CR, or CD. Or obviously Mypoints. Those sites have very hands-on owners who are going to try to stay ahead of the curve on fraud issues. It's going to be the smaller sites that specialize in the "sign up and cancel" offers and that have owners that are less than scrupulous that are in trouble.

 

[Schachteles]

Well thanks for the heads up...you certainly gave us something to think about. I am happy to hear that it shouldn't effect SR or CD.

If you hear more, keep us posted!