Gas Crisis Fuels Dubious Online Offers

Beware of Internet sites promising cheap gas, free gas, or savings of 60 percent at the pump.

By Tom Spring

CONNECTIONS
Better Business Bureau
Popular Mechanics
McAfee
PAGE 3

Auto-Lock Gas Prices?

Another type of gas savings deal that has generated consumer complaints involves a promise to lock in gas prices at an attractive fixed rate. The Southern Arizona Better Business Bureau, for example, says it has received a number of complaints about this type of offer on sites operated by Free Zone Media, based in Richmond, Virginia.

Free Zone Media operates at least three identical-looking sites (RadioGasDeal.com, GasLockedIn.com, and GasPumpRebates.com) that promote an offer called America's Gasoline Relief Program, which promises to, in effect, lock in gas prices at $2.49 a gallon.

Just as on ExxonMobilGiftCard.com, you must sign up for commercial offers in order to get a gas card that will cover the difference between the actual cost of gas and $2.49 a gallon. The big catch is that one gas card covers only up to 15 gallons of gas purchased. You can find this out on the site--if you carefully read the terms of the program (click on the image above).

In the Southern Arizona BBB complaints, people say that after filling out surveys and joining various buyers' clubs, they never got the gas card. Free Zone Media did not return e-mail inquiries requesting an interview, and no one answered the phone number in the company's WHOIS listing.

MyGallons: Prepaid Cards for Gas

In early July the Florida BBB expressed concern over a similar offer from Miami-based MyGallons LLC for a prepaid gas credit card promising tomorrow's gas at today's prices. People paid membership fees of $30 or $40 to be eligible to buy the card, which MyGallons.com said they could use at participating stations to buy gas at the rate they paid online--even if the prices at the pump had gone up.

The company received national media attention, but after receiving several complaints, the Florida BBB determined that, contrary to its advertised claim, MyGallons had no deal in place with a vendor who would be able to process gas purchase transactions.

A spokesperson for the BBB told The Los Angeles Times that it didn't believe MyGallons.com was a scam, but that the BBB did have "serious concerns" about the company.

BBB and MyGallons officials subsequently met, and the bureau's site says MyGallons agreed to change its advertised claims, to stop collecting fees from new members, and to refund membership fees paid by 6000 people. MyGallons.com still accepts new signups, but informs them that the company is "in the process of transitioning to another payment network that can provide the proper level of service."

Scam

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