Scam Alert: Digital Don’ts

—Illustration by Alex Nabaum

Even before Americans switch from analog to digital TV broadcasting on Feb. 17, scammers are cashing in on some of the confusion surrounding the transition.

For most people, the switch will be seamless. No action is needed by those with TVs that already have digital-ready tuners—which include most sets sold since 2004 or those that have an “ATSC” marking on the back—as well as subscribers to cable or satellite services, no matter the age of their TVs.

But an estimated 20 million Americans—including some 8 million people over the age of 50—currently have older analog TV sets that receive signals via an outside antenna or rabbit ears. By Feb. 17, those people will need to have purchased a digital-to-analog converter box and connected it to their sets in order to watch television.

To offset the price of converters—typically selling for $50 to $70—the government is offering coupons, worth $40 each, for up to two converter boxes per household at www.dtv2009.gov. They can be redeemed at certified retailers selling the converters, such as Best Buy, Walmart and Sears.

“The transition to digital television is ripe for scams”

“When you look at the number of steps required getting the converters, and the confusion surrounding them, the transition to digital television is ripe for scams,” says Bob Blancato, national coordinator for the Elder Justice Coalition. Here’s what’s been happening:

• Phony tax rebates and grant money. Ignore e-mails or letters claiming to be from the U.S. government offering you “DTV grant money” to start a business selling digital TVs. There is no grant money. And watch for phony tax rebate checks: Detective Doug Robinson of the Yakima, Wash., police department reports that a resident there received a $9,508 check with instructions to forward some of his own money to the scammers to buy TVs he could then sell.

• Work-at-home jobs. This scheme is similar to grant money scams. It tries to persuade job seekers who post their resumés online to sell new digital TVs. “Agents” may be paid with phony upfront checks and asked to forward a portion to receive their inventory.

• Bait and switch. The Better Business Bureau (BBB) recently issued a warning on bait-and-switch ads from Ohio-based Universal TechTronics. The company offered “free” TV channels, services and a converter box to people who ordered a $59 warranty for its “Miracle ClearView TV” converter through its call center. In reality, you won’t get extra channels for free with any converter box, and the “Miracle ClearView” would sell for about $20 with the $40 government coupon in retail stores, the BBB says. David Baker, an official with Universal TechTronics, says that the company is not authorized to redeem coupons. He denies that his ads—which recently were pulled—were “intentionally misleading.” His company generated nearly 200 complaints to the BBB in the past year, many for misleading advertising claims.

• Expensive help you don’t need. Don’t bother to hire anyone offering to install the converter boxes for a price. The boxes are not hard to install, with color-coded cables that correspond to those on newer TV sets. If you need help, get guidance from the store where you bought the box.

For answers to more of your questions about the DTV switch, visit the TV Converter Box Coupon Program or call 1-888-388-2009 toll free.

Sid Kirchheimer is the author of Scam-Proof Your Life, published by AARP Books/Sterling.