Over the years I have had several clients fall victim to this scam, so I thought it would be nice to write a blog to explain what this is.
What is the scam?
A Canadian company called Domain Registry of America is well known in the web world for the deceptive fake invoices they mail to domain owners in an attempt to get the domain registrant to transfer the domain to their registrar for an extremely high price. Often the cost of the domain registration is many times higher than what the registrant is currently paying for a domain registration, however a lot of people have been tricked into thinking this is simply a renewal notice that they must pay in order to keep their domain.
Once the registrant pays Domain Registry of America, the company attempts to transfer the domain to their service, and if you fall for it you are locked into an exorbitant rate with this company. If you pay the fee and realize its a scam, they will often charge a “service” fee and will refuse to refund your money in full. I have seen scam invoices from this company for $25 and some for over $100 to renew one domain when the going rate is only around $9 – $15.
More recently, DRoA has started sending out email scams as well to the same end thus adding to the problem, and despite several lawsuits and fines from the FTC, they keep going.
So what do you need to know?
1. Make sure you know who your domain is registered through and how you will receive renewal notices from this company. In my company’s case, all renewal notices come through email from WBK Hosting, a name my clients are familiar with.
2. If you do receive any renewal notices or invoices that you don’t recognize via email or mail, make sure you read it carefully and contact your current registrar directly if you have any doubts.
3. If you get a renewal notice months in advance of the actual expiration date of your domain, look at it with an eye of suspicion. Most domain registrars and hosting companies send renewal notices around 30-45 days before the domain is set to expire, not 6 months before.
How did they get my information?
Your domain’s WHOIS information is publicly available to anyone who knows where to look unless your registrar offers a private registration service (which can often cost extra). DRoA most likely maintains their own database of domain owner information based on public WHOIS records. You can see what your own domain WHOIS information is by searching your domain name at http://whois.net.
What does it look like?
This is a sample of what the letter looks like. Note the fine print that “this is not a bill” and you are “switching to their service”.
A word to the wise, always read carefully and make sure you ask your web designer or hosting company to verify your domain registrar before you shell out your money if something looks suspicious.