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Lottery Notice: Am I being scammed?

I received a letter from a lotto sweepstakes saying that I was selected as a winner of $250,000 in a lottery drawing. They sent me a check and say that I am supposed to pay the tax before I can receive my winnings. Is this a scam?


Yes, it's a classic scam. You probably don't remember entering the lottery. You were probably also told to deposit the check to your account and pay the tax by sending it by wire transfer or Western Union.

If you were to follow the scam artist's instructions, the "lottery check" would bounce, but sometime after you send the tax payment. That would leave you holding the bag on the bounced check. Put everything back in the envelope you received it in, and take it to the police. They probably won't be able to catch the crook that sent it, but they can make sure the contents of that particular envelope won't make you -- or anyone else -- a scam victim. It bears repeating: things that appear to be too good to be true, usually are.

Published on BankingQuestions.com 6/05/07