All Advanced Fee Fraud proposals share a common thread. The proposals are unsolicited, emphasize the urgency and confidentiality of the deal, and require the victim to pay various government and legal fees and taxes before receiving what turns out to be nonexistent money.

Below are examples of some of the more common forms of Advance Fee Fraud.

Transfer of Money from Over-Invoiced Contracts

About 90 percent of AFF are over-invoiced contract scams. The scam involves an offer to transfer large sums of money into an overseas bank account owned by a foreign company. The money comes from over-invoiced contracts from a Nigerian company or one of the Nigerian Government ministries (that is, Central Bank of Nigeria, Nigerian National Petroleum Corporation). The author of the letter claims to be a government or bank official who is willing to pay the victim a generous commission of up to 30 percent for assisting in the transfer of the funds. Initially, the victim is asked to provide company letterhead and bank information to initiate the transfer of funds. The victim soon finds out that he or she is required to pay various “transaction fees” before the money can be released. The victim can be strung along for months or years paying various fees and taxes before realizing that the money does not exist.