Do processing fees for claiming prizes exist?

Question

I've read that lots of people are scammed because they decided to pay the so-called "processing fees" after being told that they've won stuff by conmen. My question is, in real competitions and such, do the winners have to pay the organisers to get what they're entitled to?

From my point of view, no one in their right mind would pay someone a large sum of money to get a "prize" "later." But people fall for this stuff, and I think it's just stupid... BTW, this question isn't exactly related to gambling, so sorry.

Answer 1

My understanding is that legitimate contests have rules that prohibit the collection of "processing fees". So you can always be sure that it's a scam.

Answer 2

Well yes and no. I would never send money to someone who i couldnt verify the trust. However, there are sites that show unclaimed property. if people move and left some money in a bank account, and just forgot about it, most states have a online site so you can claim your money, but they dont contact you, you have to contact them.
Off the top of my head. www.indianaunclaimed.com
They do charge a small amount (I think its $5) to wire the money too you, but they take it out of the money that is unclaimed, so you really dont pay anything directly to them.
Taxes on a car that you won may be a different story, but once again, you pay the taxes the state, and not the people that gave you the car.

Answer 3

No. I am a retired Police Officer that has investigated Internet fraud and scams for years. What you are referring to is a common Nigerian scam that they email you out of the blue and somehow you have won an international lottery you didn't enter and no one has ever heard of. They just happen to have your email also. The most common source for them getting your email is on line survey companies that sell the information to anyone who will pay. How it usually goes is you have to send a certain amount by money wire service to cover taxes or the cost of sending your winnings, or they send a counterfeit check to cover the cost and you are to return that money by wire service. When your bank discovers that the check is a fraud drawn on a legitimate company and is a counterfeit you are liable. If you buy a lottery ticket you play if you didn't you don't. You are correct in your questioning of this scam. The only people I know of that takes their share before it's paid out is the taxman. Here is the website of the 17 nation law enforcement task force that investigates cross border Internet crime www.econsumer.gov.