Woman sitting with two glasses of wine (Getty)
Better Business Bureau Serving Greater Cleveland® (BBB®) is warning consumers about the growing number of scams associated with online alcohol-related purchases. Last year, an elderly Richmond Heights man lost over $300,000 in a rare wine and whiskey investment scheme. In the past year, there were reports of illegal pyramid schemes targeting wine aficionados and consumers being sold diluted or counterfeit whiskey. A Chagrin Falls man recently contacted BBB after realizing he was scammed after attempting to purchase bourbon online.
The consumer told BBB that he attempted to purchase a bottle of Weller 12-year bourbon that normally retails for $250 for $100 from a website called “Whiskeys and Bourbons” (http://www.whiskeysandbourbons.com). “I purchased a bottle of liquor for delivery and the company said they shipped the product.” However, the consumer soon realized that the scammer had also created a "fake shipping company" to perpetrate the scam. The consumer said the shipping company provided him with a shipping quote and then "claimed I needed to make a $200 payment via Zelle for insurance." The consumer complied and then was hit with a request for "another $100 to get a new truck since they couldn't deliver it with their current truck." After the consumer provided the additional funds, the shipping company "finally sent me a 3rd request for $200 for insurance to pay for the bottle that they supposedly broke." At that point, the consumer realized he had been scammed and contacted BBB.
BBB researched Whiskeys and Bourbons and found their website needs a physical address. Additionally, Whiskeys and Bourbons appears to only accept purchases paid with Zelle, CashApp, Bitcoin, Apple Pay, or bank transfer. Phone calls to the 609 area code number listed on their website receive a message stating that the “Google Subscriber is not available.” BBB staff attempted to contact the company by virtual chat and email to receive more information about their location and payment information and the company replied "we are located in Atlanta, GA. We can not accept payments through credit cards at the moment because our strip (sic) account has an issue and we are trying to sort (it) out. We can only accept payments now through Apple Pay, Zelle, or CashApp." Whiskeys and Bourbons’s website is registered through a Utah-based domain registrar, FastDomains, but no additional company contact information was provided. No corporate filings for the company could be located. BBB recommends that consumers be cautious when buying alcohol online, especially from unfamiliar or unverified sellers. BBB also recommends avoiding doing business with companies whose physical location cannot be determined.
BBB is providing the following tips for consumers to help verify the legitimacy of any online store before making an alcohol-related purchase:
- Start with Trust - Research the company with BBB.org before purchasing. Use a search engine service such as Google to see if there are any complaints alleging that it's a scam.
- Research the Products - Consumers should always research the beverages they intend to buy, including their price, packaging, and labeling. A price that seems “too good to be true” is a red flag.
- Consider the Source - Be wary of unsolicited offers or advertisements for alcohol products. Scammers often use email or social media to promote fraudulent products or sales.
- Look for Red Flags - Legitimate online retailers may ask consumers for a copy of a government-issued ID to prove the recipient is of legal age to purchase alcohol when they place an order or require an ID to be shown when the common carrier delivers the order. Be wary of any website that does not mention or ask for this.
- Use a Credit Card When Possible - Use a credit card when paying for an online purchase. Other methods, such as Zelle, CashApp, and Apple Pay, don’t provide the same consumer protections as credit cards. It is also a red flag if an online retailer only accepts peer-to-peer payment methods.
Consumers can also report suspected scams to BBB.org/ScamTracker. These reports help others avoid falling victim to scams. Consumers can visit the Scam Tracker website to view the latest reported scams in their neighborhood or across North America.