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Howard Ain, Troubleshooter: Counterfeit Coupons

Updated: Tuesday, December 31 2013, 01:44 PM EST
UNDATED (Howard Ain) -- Millions of us stretch our dollars with coupons that can be found in newspapers and on the internet. But, a new coupon scam is on the rise that's costly us all.

We use coupons to save money. But ironically, coupons are now at the heart of a new scam that is costing U.S. companies millions of dollars. Says U.S. Postal Inspector Roberta Bottoms, "for every coupon successfully counterfeited it costs the manufacturer one million dollars."

These counterfeit coupons are usually sold on the internet. "Customers went online and were the winning bidder on some internet auction."

Once the site had contact information, consumers would be messaged or emailed asking if they would like to buy a large amount of coupons. "So the initial online auction was just basically for them to find people that they could sell a large quantity of coupons to at one time."

Postal inspectors learned the coupons were fakes. "Initially, these counterfeits will scan and be accepted at your local retail company but it is costing the manufacturer money and in turn costing the consumer money."

In fact, the Coupon Information Corporation says coupon fraud is costing manufacturers hundreds of millions of dollars every year.

Manufacturers say they are forced to pass along these losses by raising the prices of their goods. "The manufacturers have put retail establishments on notice that they will no longer reimburse them."

Bottom line: no consumer should every pay for a coupon. "People use coupons to save money and in this case you might be actually wasting your money."

Postal inspectors say its okay to use coupons you find in newspapers, on manufacturer's websites or their authorized coupon distributor. But, they warn, do not download coupons from internet forums


Howard Ain, Troubleshooter: Counterfeit Coupons


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