HIGHLANDER CLUB

March 2003, Volume 8 – Issue 3 “Great fortunes are made through Fellowship, Knowledge and an Abundance of Opportunities”

Underhanded Thieves Could Be Stealing Your Identity:

Learn How to Protect Yourself – Before it’s Too Late!
Identity theft is a white-collar crime that is, unfortunately, on the rise. The F.B.I. has
named identity theft the fastest growing crime in America. What’s more, victims of
identity theft spend, on average, two agonizing years and thousands of dollars trying to
clear their credit history. We don’t want this to happen to you. Michael Newman
New Chairman
Highlander Club
How Criminals Get their Hands on Your Personal Information and Use it to Become You
The Internet: One problem with computer technology is that information can be zapped across continents
with just a split-second click of the mouse. On-line hackers use your personal information and, consequent-
ly, end up victimizing you in ways that are ruinous. Fraud rings in different cities link up with each other,
which makes the criminal that much harder to track down.

Your Garbage Can: Identity theft criminals rummage through your trash at home or places of business.
They steal your cancelled checks, bank statements, and credit card offers.

Your Mail Box: Criminals often steal your mail, including your credit card statements, bank statements,
phone records, and tax information.

Your Credit Card: Fraudulent people will go to various lengths to get what they want, and, as a result, the
use of “skimmers” is on the rise. Skimmers allow a crook at any retail establishment to copy the metal strip
visible on the back of all credit cards. By doing that, he/she can make a duplicate card containing your
specific information. When you receive your statement, as per usual, you’ll notice on it purchases that you
didn’t make.

Once these Criminals Know Your Basic Information, They’ll Stop at Nothing to Get Your Complete Identity
• They’ll get your credit report by pretending to be your employer, or someone else who can easily request
this information.
• They’ll complete a “change of address form” to divert your mail to another location.
• They’ll buy your personal information from store clerks.
• They’ll even pose as caregivers, housecleaners, and handymen to get information right out of your own
home.

Now They Know Your Address, Your Telephone Number, Your Credit Card History, and the Most Dangerous...
Your Social Security Number
When a thief gets his/her hands on your social security number, get ready for mayhem. The scammer will
apply for credit using his/her own address or elsewhere. Soon, he/she will start applying for even more
credit cards and lines of credit. The crook could buy some real estate and take on a mortgage, buy a new
vehicle, sign a cell phone contract, open all kinds of other accounts, get a passport, become employed us-
ing your name but never pay taxes, and obtain medical and dental treatment. He/she can design business
cards with your name on it. He/she becomes you!
continues on page 2
 First, you’ll notice that your checks are bouncing.
Then, you’ll be unable to withdraw money from the
ATM. Eventually, when taxes aren’t paid, you’ll have
a couple of tough IRS agents knocking at your door.
Your good reputation will be ruined, and you’ll be
tangled up in red tape, possibly for life.
Seniors Beware: You’re the Bull’s Eye
The senior segment of the population is targeted for
identity theft most often. Seniors often have higher
credit limits than younger people, and their mort-
gages are lower or, in most cases, paid off. One horror
story that we discovered was about a retired senior
who, together with his wife, bought a condo. He filled
out a loan application that was ripe with all the good-
CHIEF COUNCIL
Michael Newman Chairman
Nina Walters Executive Director
EDITORIAL
Pam Clavir Editor
Moving? Missed an issue? Please let us know within 90 days
of moving or if you have not received an issue. After this
time period, missed issues can be purchased for US$10 each
including shipping and handling. Write to: Highlander Club,
777 S. Flagler Drive, Ste. 800W, West Palm Beach, FL 33401-
6163, USA. Or call between 9am to 5pm EST; (905)264-
2995; Fax (905)264-9619.
Contact Us
If you have a question or comment about the monthly
memorandum, write to the Editor in care of Highlander Club,
777 S. Flagler Drive, Ste. 800W, West Palm Beach, FL 33401-
6163, USA, Fax (905)264-9619.
Subscription rate for the Highlander Club newsletter is $80
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order a Highlander Club Special Report, write to Member
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© 2003 by Highlander Club, 777 S. Flagler Drive, Ste. 800W,
West Palm Beach, FL 33401-6163, USA. All rights reserved.
The Club is not promising or guaranteeing that you will be-
come wealthy because of the information in this newsletter
or our special reports and programs. There is no guarantee
of future profits. Copying any of the Club’s published infor-
mation is strictly prohibited. The ideas expressed herein are
the opinions of Highlander Club only. That said, we believe
you’ll discover vital money secrets and wealth angles not
available anywhere else.
The Executive Staff, Research Department and the
Editors of Highlander Club are proud of the reputation
we’ve built since our inception in 1991. Simply, we believe
the advice presented to you in our published resources and
seminars is the best and most useful available to you, the
global entrepreneur.
2
ies a thief needs – a victim’s social security number,
his or her bank account information, credit rating,
and more. Able to get his hands on that information,
the fraudster went wild buying all kinds of electronics,
furniture, and other big-ticket items. He even rented
an apartment under the victim’s name. All in all, he
ripped off almost $100,000 from the couple.
Another retired couple, living in a gated commu-
nity, had been mortgage-free for years. They never
once thought that identity crooks would target them.
Unfortunately, checks were lifted from their mailbox,
which started a string of sheer chaos. Imagine their
horror when they learned that a mortgage lender was
threatening foreclosure on their paid-off home.
Then, there was the story of the elderly gentleman
who answered the phone late one night, only to be told
that he was required to report for jury duty. The caller
requested all the man’s personal information, which he
gave freely. After all, it was the “government” calling. A
few months later, the elderly man was being hounded
by collection agencies. This person became another
victim of pre-text calling, a telephone tactic that extracts
valuable information from unsuspecting people.
What’s the Government Doing to Protect You?
With about 550 privacy bills introduced in state legisla-
tures in 2002 alone, the question of privacy is anything
but uniform. With nearly 100,000 local government
jurisdictions in the United States, more local laws
are being made at this very moment, but it is national
regulations that are necessary to avoid a tangled web
of confusion. Too many privacy policies can turn the
economy on its side, and doing business on the Net
will become too complicated.
The Consumer Privacy Protection Act of 2002 is
a significant piece of federal legislation designed to
ensure that consumers have the necessary information
to make informed choices about how their personal
information is being used. The new bill is receiving
wholehearted approval from The National Business
Coalition on E-Commerce and Privacy, which is a
group of highly reputable companies dedicated to the
creation of an across-the-board federal policy regard-
ing electronic commerce and privacy. Also known as
“HR 4678,” this legislation spells out a clear, balanced
privacy policy for the country.
Hopefully, it will make certain that information,
whether received on-line or otherwise, is treated ex-
actly the same. After all, who’s to say whether informa-
tion collected over the phone and then stored on-line is
considered on-line or off-line information? Right now,
we need to protect ourselves, from everybody, virtually
speaking.
What You Need to Do to Protect Your Good Name Financial Services Modernization
Tell your financial institution(s) that you don’t want www.ftc.gov/privacy/glbact/glbsub1.htm
them sharing your personal records with other firms.
According to law, you can’t stop them from sharing Securities and Exchange Commission
certain bits, but you are allowed to put some ceilings Oversees stock exchanges, broker-dealers and associ-
on what banks and other financial companies do with ates, and investment advisers.
your personal information. 202-942-7040
According to the law, financial firms must notify www.sec.gov/consumer/compform.htm
their entire customer base of their privacy rights on an
annual basis. If you didn’t happen to see your privacy Federal Trade Commission
notice because it came in an envelope amidst a bunch Investigates consumer fraud outside the jurisdiction
of other inserts, you weren’t alone. In fact, several peo- of other federal agencies.
ple who did receive them didn’t bother to read them 877-382-4357
since they either didn’t notice them, or ignored them www.ftc.gov/privacy
since they were written in terms only a lawyer could e-mail: consumerline@ftc.gov
understand.
Privacy notices came into play prior to July 1, 2001, Federal Reserve Board
which was the cutoff date for the first batch of notices Regulates banks other than national banks and
to hit the mailboxes. Meantime, some notices also give branches of foreign banks.
you the option of ending the sharing of your informa- Federal Reserve
tion with affiliated firms. Sometimes this particular opt- 202-452-3693
out option is located on the privacy notice itself. Other www.federalreserve.gov/pubs/complaints
times, it comes as a separate notice altogether.
If you didn’t sign your privacy notice within the “al- Office of the Comptroller of the Currency
lowable” 30 days, you can still opt-out. Okay, you can’t Regulates national banks and branches of foreign
undo what’s been done in the past. So, if your personal banks.
financial information has already been shared, then 800-613-6743
it’s too late. But, to avoid the sharing of any current www.occ.treas.gov/customer.htm
information, you can opt-out whenever you feel like it. e-mail: customerassistance@occ.treas.gov
The choice to opt-out is always there, and it’s a good
idea to take advantage of it. The notices sent by your Office of Thrift Supervision
financial companies will tell you exactly how to opt- Regulates federal savings associations and savings
out. You’ll likely be given the choice of writing a letter, banks and state-chartered savings associations.
filling out and mailing back a form, phoning a toll-free 202-906-6237
number, or using the Internet. 800-842-6929
Follow the instructions, but write a letter as well, just www.ots.treas.gov/pagehtml.cfm?catNu5
so you can keep a copy for your records. If you want to e-mail: consumer.complaint@ots.treas.gov
peruse some examples of opt-out letters, check out the
Privacy Rights Clearinghouse at www.privacyrights.org, National Credit Union Administration
or go to Junkbusters.com at www.junkbusters.com/ Regulates federal credit unions.
optout.html. 703-518-6300
Go above and beyond what the law permits. No one www.ncua.gov/
is stopping us from requesting that nothing be shared,
even with affiliate companies. If enough of us do that, Fair Credit Reporting Act (FCRA)
then financial companies will get the message that www.ftc.gov/bcp/conline/edcams/fcra/
much sooner.
A mail slot in your door is safer than a conven- Check your credit report since information contained
tional mailbox on your front porch where thieves can in it can affect your chances of landing a job, getting a
just help themselves to your credit card statements. mortgage, insurance or even a credit card. Contact any
Renting a post office box is another good idea. of the organizations below:
For a detailed look at privacy laws governing finan- • Equifax, 800-685-1111
cial institutions, check out the following sites: • Experian (formerly TRW), (888) EXPERIAN (397-

3
 3742)
• Trans Union, 800-916-8800
Notify the credit bureaus to have your name and ad-
dress removed from major credit bureau lists for unso-
licited credit and insurance offers for two years. If you
fill out and send back an “opt-out” form, (provided
on request from the credit bureau), you will be taken
off these lists permanently. A phone call or mailing to
any one of the three nationwide credit bureaus is all
it takes to eliminate your name from the lists. Just call
1-888-567-8688 or 1-888-5-OPTOUT.
Knowledge is Your Most Powerful Safeguard
www.fraud.org is a watchdog site powered by the
National Consumers League’s National Fraud
Information Center & Internet Fraud. You’ll find
useful information regarding some of the dangers of
downloading files and what to do when telemarketers
won’t leave you alone.
www.truste.org offers you helpful hints that can
protect your children as they surf the net. It also offers
good advice on safeguarding your Internet passwords
and credit card transactions. There is even informa-
tion on fighting against all those annoying pieces of
junk e-mail.
www.zeroknowledge.com offers a great software
package called “Freedom.” It will allow you to keep
all your on-line activities private, while giving you the
independence you expect from the Internet. The
package protects all your on-line tools like e-mail, web
browsers, and prevents on-line tracking, while main-
taining your on-line privacy.
If you are someone whose privacy has been violated,
you may complain to a particular government agency
or financial company, but be sure to put it in writing.
Explain the situation fully, and then state why you feel
you were violated. Also, make sure you say what action
you hope will be taken. Ask for a response within one
month.
Are You On-line? Grab Your
Share of the $700-Billion/Year
Export Industry
Unless you’re selling ice cream door-to-door, then
consider exporting as an integral part of any busi-
ness, including yours. Right now, exports account
for more than 700-billion dollars worth of business
per year, and because the exporting business is so
4
big, Uncle Sam finally got around to making infor-
mation about it more accessible.
A small businessperson with an on-line presence
has an arena that is just as broad as any big busi-
ness. An on-line presence invites business without
borders, which is why the import-export market is
booming.
Economists are predicting that the total output of
goods and services in the United States (the GDP)
will grow by 3.5 percent this year, which is positive
news for our economy. Gross Domestic Product
is the broadest measure of the nation’s economic
health, and globalization comprises a big part of the
picture.
Exporters Get Trade Help from Uncle Sam
Make sure you log on to www.Export.Gov, a web site
created by the Commerce Department. Basically,
it synchronizes all the trade-related programs
provided by certain federal agencies, including,
most notably, the Small Business Administration,
the Export-Import Bank, and the Commerce
Department. All kinds of training courses – both
on-line and off- – are available, and, with counsel-
ing and seminars covering everything from how to
make export sales happen to financing your exports
and solving trade problems, this great site should be
any entrepreneur’s first stop.
The government has also made sure that the
number of loan guarantees is on the rise. You can
phone 1-800-USA-TRADE for more information.
Several U.S. Export Assistance Centers operate in
strategic locations, and you can look for the one
closest to you on the SBA’s web site, www.sba.gov.
The Highlander Club’s Guide to
an $80-Billion Multi-Level
Marketing Opportunity
Everything You Need to Know to Get Started
Welcome to what millionaires across the country
will tell you is the ultimate way to do business. It’s
multi-level marketing, and it’s come a long way from
shampoo and detergent sales. Also called “MLM,”
the multi-level marketing industry does a whopping
$80-billion worth of business each year, worldwide.
The success of the industry is based on the fact that
it taps a lucrative niche market that is demanding a
more convenient way to buy goods.
Personalized Service Without the Hassles: A Formula
for Success
People are just plain tired of spending what precious
free time they have waiting in long line-ups at the
store checkout counters. They would much rather
have their products delivered to them at their home
or office, and this is particularly true for those who
live in rural areas. The MLM grassroots approach to
selling is pitting good-old fashioned personal service
against steel-cold technological sophistication, and
since 51% of Americans have purchased something
through MLM at one time or another, it appears that
the handshake is still preferable to the fax machine or
buying something on-line.
MLM Attracts Corporate America and Opens Up More
Opportunities for You
New companies selling everything from home tech-
nology products and air filters to telecommunications
services, pay phones, and artwork are choosing MLM
as the ultimate selling process. Even established corpo-
rate giants are getting into the game. A few companies
starting their own MLM departments or buying estab-
lished MLM firms include Texas Instruments, Avon
Products, Inc., Amway Corporation, Act II Jewelry,
ACN, Electrolux Corporation, Regal Ware, Primerica
Financial Services, Pharmanex (a division of Nu Skin
Enterprise), U.S. Safety & Engineering Corporation,
Discovery Toys, Gillette, Tupperware Corporation,
Colgate-Palmolive, AMC Corporation, Body Wise
International, Inc., and a host of others. Items such
as children’s toys, games fashions, jewelry, religious
items, home photography workshops, rubber stamps,
fertilizer and other plant nutrients, and gift items are
just a few more of the many products that are bought
and sold through MLM.
MLM opportunities are so abundant, in fact, that
we felt we had to provide you with all the informa-
tion you need to know to consider being a part of
this moneymaking strategy. Multi-level marketing is
not a get-rich-quick scheme. Consider it as a path
leading to future and sizeable wealth. It is not for loaf-
ers or anyone else who expects a juicy payoff right
off the bat in exchange for a minimum amount of
work. Unquestionably, there is about three years of
hard work to be done before you start seeing money
aplenty. On the bright side, if you do decide to get
into MLM, you won’t be working hard for the rest of
your life. The people you sponsor will begin doing the
work for you. Incredibly, as the clock ticks, the work
dwindles and the paychecks get bigger! Eventually, you
won’t have to work in this business at all. You’ll just be
asked to enjoy the wealth. That’s all.
5
We’re going to tell you how MLMs operate. We’re
going to give you tips to make MLMs work for you.
And, we’re going to tell you how to pick the right
MLM, because not all MLMs were created equal.
The key to MLM success lies in its method of sales.
Through MLM, you sell a product directly to the cus-
tomer. You then give that person the opportunity to
become a distributor of that product, thus creating
your network. In this network, you would be on the
first level as a distributor. Anyone you bring in as a new
distributor would be on the level below you, referred
to as a “downline.” And anyone your recruits bring in
to sell your product would create the next level down.
The person who brought you in as a distributor would
be on a level above you, also called an “upline,” mak-
ing you a part of their network.
Sales and contacts are made through word of
mouth. The profits saved by eliminating expensive
advertising and middlemen are passed along directly
to the distributors who sell the product. Some people
are introduced to the idea of MLM by going to a semi-
nar where a product is being pitched. However, most
people find out about MLM through a friend.
The Perfect Business Opportunity
In many ways, MLM is the perfect business opportu-
nity because it is completely up to you to pick what
you want to sell. The start-up costs are extremely low
compared to other business opportunities. There are
no franchise fees, and initial layouts for start-up kits
can run at less than $500, depending on the company
and product. In addition, there aren’t any long-term
obligations to the parent company. If one day you
should decide that you want out of the business, you
can just sell with no questions asked.
Are you an outgoing, active person with numerous
friends and contacts at work, as well as in the commu-
nity? Do you belong to social organizations? Do you
take turns carpooling your child’s soccer team? Are
you comfortable speaking to groups of people and
talking one-to-one with potential clients? You should
be. If this sounds like you, it’s likely you already have
the basic people skills that are necessary for MLM suc-
cess.
Selecting a Product Line with a Financial Future
If you are selling personal and home alarm systems,
you are going to run into trouble. People need one
personal alarm and one home alarm. That’s it. The
end. Finito! Now what? They don’t exactly have to
replenish their supply, do they? Now you need to
find new consumers, and, unless you advertise on
the Internet or in publications out of country, your
numbers are limited. That is why you need to find a
company that offers merchandise that is consumed in
some way. Soap and vitamins are two examples. They
need to be replaced periodically. That is the key right
there. It’s the movement of product combined with the flow of
active producers that will make you money in the end.
Is the product you are considering more or less
revolutionary? If it changes your life and the life of
your customers for the better, your team members
and their downlines will continue using it, lowering
the possibility of people quitting the business. Is the
potential product affordable? The core selling point
of MLM is that it can provide retail products at bar-
gain prices.
Finding an MLM Mentor
You need an expert to help you become an expert.
Your success lies in the hands of someone who will
sponsor you, so continue your search for that person.
Don’t stop until you find someone you trust and in
whom you have faith. Your sponsor is really your men-
tor. Your personal mentor, more than your company
trainer, can offer you the best available tips regarding
recruitment techniques and the training of your fu-
ture downline.
What to Look for When Choosing an MLM Company
The company you choose should have excellent
leadership, professional presentation tools, the best
prospecting system around, and a high-quality con-
sumable product. That said, the main thing you are
scouting for in a company is the best financial pack-
age around.
Unfortunately, pay plans aren’t easy to compre-
hend. They must be explained to you in plain, un-
derstandable language. It is important to scrutinize
the pay plan, and, if you are unsure about something,
just ask. You have a right to have all your questions
answered, particularly when it comes to your pay
schedule. Bear in mind that a sensational compensa-
tion plan is worthless without good training, a decent
company-marketing plan, a terrific product, and
other variables. All kinds of dynamics must be taken
into account, including your own personal work ef-
fort and the number of highly productive people that
you sponsor.
If MLM sounds like a good part-time endeavor,
then make sure that the company you select doesn’t
favor the money raking full-timers. It should be a pay
plan that is mainly attractive to part-timers. If the com-
pany can operate on more people making less money
instead of a few people making all the money, you are
best off. That is, of course, if you are just beginning.
6
If you were a top gun, then a company devoted to
rewarding the highest achievers would obviously suit
you more. Just make sure that you know exactly what
kind of pay plan you are getting into, and whether it is
subject to change without you being told.
As a guideline, many companies pay 60% of sales
back to the distributor. If you are earning less than
60% commission, you may want to investigate other
MLM companies. When speaking of this 60% com-
mission, we are speaking about something called “true
payout.” Suppose, for example, you are with a com-
pany that has earned a solid reputation, but is a little
cheap in terms of “true pay outcome.” Even if you are
satisfied with that company in every other way, it’s still
going to bring you to financial ruin in the end.
Recruit Other Network Marketers
If your firm doesn’t surpass your competition in terms
of pay plan, product quality and price, and good lead-
ership, then what exactly are you offering, anyway? It’s
a question of dangling the carrot in front of the bun-
ny’s nose. You simply have to have qualities in your
organization that leave the competition in the dust.
After all, your leads will eventually dissipate. There are
only so many people to go around.
Don’t refute any prospects until you know for sure
that they are not interested. Yet, when you do meet up
with someone in the MLM business, use the moment
as your golden opportunity. As a matter of fact, did
you know that some of your most workable leads are
already members of MLM companies? Well, that is ab-
solutely true. That fact alone is the real secret behind
network marketing. When you meet someone from
another company, it is highly likely that they will try
to recruit you, just as you are trying to recruit them!
They want you and your downline too! Listen to what
they say. It may turn out to be some of the most fasci-
nating words you will ever hear. That’s because when
you change companies and take your downline with
you, you have only one place to go, and that is up!
Now, if on the other hand, you think your principal
MLM company is better than most, then why don’t
you solicit people who are already in the business?
Perhaps you will find a crowd of people who are look-
ing for a change but don’t know where to go.
Consider This
When you attend an MLM seminar, ask yourself these
questions: What kind of presentation was it? Was it a
high-pressure sell? Would you feel comfortable work-
ing with their product? Was it a small, intimate group
presentation, or was it a gathering of 100? Will you
be able to choose the size of your presentations if you
decide to join the network? Were promotional materi-
als available? If so, were they professional or sloppy
looking? Would you have to pay for them? What kind
of claims do they make? Are there training materials
available if needed? Companies with training materi-
als for their distributors generally have a better com-
mitment to their sales force.
Another important consideration is the company’s
buyback policy. Respectable companies allow a cer-
tain amount of time for the distributor to return un-
used stock in resalable condition for full or near-full
reimbursement. This is critical, since you don’t want
to be left with a product that won’t sell, with scores of
inventory, should you decide to leave the business. Get
the policy in writing. In addition, the company should
also be able to provide you with a history of product
pricing, so you can see how quickly prices have in-
creased over time.
Pyramid Schemes: What You Should Know
Since you want to work with a reputable company,
you should investigate this country’s trade associa-
tion devoted entirely to the industry of direct selling.
Log on to the Direct Selling Association’s web site
at www.directselling.org. You can scroll down its list of
member companies and see what products appeal to
you. Make sure you would use the product yourself. Before
calling them up, do some investigative work on your
own. Call up the Office of the Attorney General in
your state and the Federal Trade Commission to see if
they have any information pertaining to the company
on their database. Go to the library to check back is-
sues of newspapers. You may find an article condemn-
ing the company. On the other hand, you may be
pleasantly surprised and discover an article praising
the company.
At least you know that when you go to the Direct
Selling Association’s members list, you won’t be involv-
ing yourself with a pyramid scheme, which is against
the law. Network marketing companies and pyramids
are the same in terms of structure, so mixing up the
two is not impossible.
How to Spot an Illegal Pyramid Scheme
Pyramid schemes produce earnings by simply recruit-
ing new people and charging them a membership fee.
Network marketers sell either a product or service to
consumers, and money is generated that way. The
former is illegal; the latter, legal. Once in a while,
you may encounter a pyramid scheme that does have
a product to sell, but that product will have about as
much benefit as plastic fruit. You’re hungry, but you
can’t eat it. A distributor sells the product from an up-
7
per tier to a distributor below at a profit. That person
then jacks up the price again and sells it to a distribu-
tor below him. By the time the “thingamajig” arrives at
the bottom level, it is too pricey to sell to anyone else,
and look who’s left holding the bag. The poor sucker
at the bottom, that’s who.
One great organization to get information on MLM
is the Multi-Level Marketing International Association
(MLMIA). Founded in 1985, the MLMIA is a non-
profit trade association for professionals in MLM, and
it has more than 50 member MLM companies that are
carefully screened to ensure the integrity and reputa-
tion of the organization. MLMIA offers a variety of
services including MLMIA-sponsored trade shows and
training conferences (all over the world), insurance
benefits, and informational books and tapes. MLMIA
also tracks regulatory and legislative issues that affect
the industry.
Find out what laws or regulations you might be re-
quired to comply with regarding your MLM business.
Federal, state, provincial, or local regulations may re-
quire you to have a re-seller’s permit, license, or some
other official document that recognizes your MLM
network business.
How to Buy at Government
Auctions
An Aladdin’s Cave of Riches Beyond Your Wildest
Dreams is Available - Cheap!!
Imagine stepping into an Aladdin’s cave of treasure
– rooms stuffed full of gold, silver and diamonds,
luxury cars, speedboats, and light aircraft… Now,
imagine that the owner was practically giving them
away, to you! Well, this situation is not pure fantasy. It
happens regularly all over the world.
Governments regularly confiscate riches from
criminals, and then dispose of it all by auction, and at
unbelievably low prices. We’re going to let you know
how to join the privileged few who get their share of
this bounty.
Governments the world over are generally the
biggest property owners. Their treasures consist of
proceeds from regular raids on criminals, as well as
contraband and the property of bad debtors. Some of
the stockpiles are lost in the corridors of bureaucracy
and left to gather dust in government warehouses for
eternity. Goods are routinely auctioned off, selling for
only a fraction of their current market value.
One of the biggest auctioneers is the government of
the United States. For years, only a handful of people
have attended these auctions, since the governments
did little to advertise them. Now, you can be a part of
this, and join the group who shares in the extravagant
government giveaways.
Right now, about 10 government entities auction
off their goods on e-Bay, but, if you want to go straight
to the auction location in your State or any other, you
can check out the exact locations by logging on to
www.firstgov/shopping/auctions/auctions.shtml. Then,
scroll down to where it shows (in red) state and local
surplus property, and click on that link. Meantime,
here are some of the best auction links around:
www.treas.gov/auctions for real and personal prop-
erty that has been confiscated for nonpayment of in-
ternal revenue taxes. Buy bills, notes, bonds & savings
bonds, coins, un-cut currency, holiday ornaments, and
shirts. Auctions contain items that are confiscated by
the U.S. Customs Service; IRS, Criminal Investigations
Division; U.S. Secret Service; or the Bureau of Alcohol,
Tobacco, and Firearms.
www.bargain.com for cars starting at $500, office
equipment, electronics, and even homes from
$1,000.
www.drms.dla.mil The Defense Reutilization and
Marketing Service disposes of surplus military prop-
erty.
www.fdic.gov/buying The FDIC is a court-appointed
receiver that liquidates an assortment of assets includ-
ing loans and real property.
www.gsa.gov Find surplus U.S. General Services
Administration assets, including real estate.
www.autoauctions.gsa.gov You can view sales sched-
ules, find an upcoming auction in your area, look for
specific vehicles and more.
www.sba.gov is where SBA owned property is for sale.
www.usdoj.gov The U.S. Marshals Service – Seized
Asset Information (USMS) offers property for sale
which has been forfeited under laws enforced or ad-
ministered by various federal law enforcement agen-
cies.
www.fedtrust.com FEDTRUST liquidates property
including automobiles, aircraft, boats, trucks, and real
estate for a variety of entities such as Federal, State,
Local, municipal government agencies, and more.
www.renebates.com René Bates Auctioneers, Inc. spe-
cializes in auctions of municipal and utility company
fleet vehicles and equipment.
www.rosenauctions.com deals in the sale of seized ve-
hicles, office equipment, furniture, jewelry, personal
effects, and more.
www.fedsales.gov FinanceNet’s FedSales site hap-
pens to be the government’s official home for all U.S.
Federal government sales, auctions, and surplus.
www.officialauctions.com for seized property includ-
ing cars, boats, farm equipment, homes, computers,
furniture, sports memorabilia, antiques, collectibles,
and homes.
Buying a HUD Home
The federal department of Housing and Urban
Development often acquires properties through fore-
closure. Through a sealed bid auction, it will sell off
these properties. When a homeowner with an HUD
insured mortgage defaults on the payments, the
lender will foreclose. HUD pays the lender what it is
owed, and ownership of the property shifts to HUD.
Then, HUD sells it for market value as fast as possible.
(Market value means what a particular home is worth,
in a particular area at a certain point in time. Basically,
market value is the price someone is willing to pay for
an item.) HUD homes are always sold in “as is” condi-
tion, but, in order to buy one of these properties, it
won’t do you any good to phone HUD. You’ll have to
locate a licensed real estate broker in your area who
is registered with HUD. Your realtor will facilitate the
deal for you. Be aware that most HUD homes are sold
to individuals who are going to live in the home and
use it as their primary residence.
Approved non-profit and government agencies
can often purchase HUD property at a discount,
i.e. if they are using it in local housing or homeless
programs. Log on to HUD’s web site at www.hud.gov.
Scroll down and click on “homes for sale,” and you
will be linked to other agencies offering properties.
You’ll find names, addresses, and phone numbers of
agencies such as Veteran’s Affairs, the IRS, and many
more, but your local HUD-approved realtor can give
you personalized service and attention that you can-
not get from the Internet. v