BBB Alert - Magazine Subscription Fraud

Magazine Subscription Fraud, Is That a Renewal or a Ruse

A local man received what he thought was a renewal bill for one of his favorite magazines. A check was mailed to Reader Payment Service (RPS) in Reno, Nevada. Imagine the consumer’s surprise when he later read a letter from the publisher of Railfan & Railroad Magazine stating that the invoice he received was not a legitimate offer.

After the scam was uncovered RPS offered to send a refund in the next 30 days. RPS has an unsatisfactory record with the Reno, Nevada BBB. There have been 40 complaints filed on the company since August 2006. The mailings that are sent out appear to be renewal notices, however, in the fine print it states that “This is a magazine subscription offer not a bill or invoice.” The bottom of the renewal states, “Please keep this for your receipt if responding to this offer – not a bill.”

The notice is quite convincing and takes careful reading to see the “fine print”. As the real magazine publishers have no relationship with RPS they cannot assist readers in obtaining refunds.

The victim contacted the Colorado Springs Police Department. The responding officer called RPS and was told by company representatives that the firm buys magazines from publishers, and then sends out “Notice of Renewal/New Order” to unsuspecting customers.

Reportedly, many other popular magazines publishers have had their readers contacted by RPS.

In order to prevent this sort of fraud consumers are reminded:

• Pay close attention to any kind of mailing asking for payment. Read the fine print.

• If there is a doubt, contact the publisher directly. Most publishers do their own billing and/or renewals and have Web sites or toll free numbers to verify the notice you’ve received. The invoice and envelope should clearly state the magazine you are renewing.

• Guard your bank account or credit card numbers closely.

• Making note of payments for magazines on a yearly calendar or keeping a copy of renewal notices until the next one is received can help you to avoid double payments and fraudulent invoices.

• Contact the BBB at 719-636-1155 or go to bbb.org to check on any company sending you an invoice, renewal notice or bill.