AVOIDING SCAMS

Here are fraud-avoidance tips, based on information from the California Department of Corporations:

Be wary of sending money to anyone making an unsolicited sales pitch over the phone.

Ask the promoters if they have filed proper registration papers with the state Department of Corporations or the Securities and Exchange Commission.

Be suspicious if promoters claim their investment opportunity is exempt from state or federal regulations.

Never give money to a company that sends a courier to your home.

Refuse to be pressured to act immediately. Tell the salesperson you want additional information in writing.

Find out exactly where the company is located and the name of the principals. Only a disreputable firm will refuse to provide this information.

If a deal sounds too good to be true, it usually is.