Prize Bay Club Scam

It would be excellent to get a new iPhone for just the cost of shipping.  This is what the Prize Bay Club is offering people on Facebook.  The only problem is their offer is a scam.

Prize Bay Club is a shady penny auction site that uses free iPhone offers to get people to subscribe to them. They are owned and operated by Bubblegum Ltd of Vanuatu.  The charges that show up on your credit card for this scam come from China.

apple-iphone6-silver

Here is how the scam works:

You are enjoying a little time on Facebook and a popup ad appears on your screen.

It explains that you are selected to participate in an AT&T survey as a new customer. They offers you a free iPhone for the cost of $7.95 for shipping and handling.

When you fill out the offer form you are taken to the Prize Bay Club website to receive your free iPhone.

In the terms and conditions of this website you will find the following:

By accepting the Prize offered and/or by completing the forms for delivery and/or by paying postage and handling and/or other charges of any description the Entrant acknowledges, accepts and agrees that they are subscribing to the PrizeBay.club Auction Website subscription service.

Subscription Fees – Trade Promotion Purchase

The entrant further consents and agrees to purchase five hundred (500) bids at a cost of $49.95 (“subscription fee”) for use on the PrizeBay.club Auction Website within five (5) days of subscribing to the website which sum shall be charged automatically using the same nominated payment method as the entrant used at the time of entering the trade promotion. These additional bid credits will also automatically be credited to the subscriber’s PrizeBay.club Auction Website Account.

Ongoing Subscription

The Entrant acknowledges and agrees that his/her subscription to the PrizeBay.club Auction Website will automatically renew on a monthly basis and each month a further five hundred (500) bids at a cost of $49.95 shall be purchased by the Entrant (“the subscription contract”). The Entrant agrees that there will be no further communication from the Website necessary prior to the Entrant being charged as agreed a further sum of $49.95 each month for the period of the subscription using the subscribers same nominated payment method as used at the time of subscription.

Subscription Renewal

The Entrant acknowledges and agrees that effective as and from the date of the first automatic renewal, the subscription contract will be automatically renewed every (thirty) 30 days, at which time a new subscription fee shall become due and payable for each new subscription period. The subscription remains in force until terminated or cancelled by the Entrant or by the Website.

– Source support.prizebay.club/terms.php

Conclusion

The Prize Bay Club Scam is a marketing scam that makes you think you are going to receive a new iPhone for $7.95, but instead you get subscribed to a penny auction site that charges your credit card $49.95 after 5 days of accepting their offer. They then charge you $49.95 every 30 days.  People have reported that they do not receive the iPhone and are not able to cancel the monthly fee unless they contact their credit card company about the fraudulent charges.  Avoid the Prize Bay Club scam.