Scams that target young people

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The Office of Fair Trading (OFT) has highlighted problem sectors for young consumers as schools from across the country take part in testing pupils' consumer skills in areas such as shopping and finance.

Research by Mintel shows that 7 to 19 year-olds spend £13.9billion every year using pocket money and the cash is primarily spent on clothes, computer games, petrol, savings and going out.

But a study carried out by the Financial Services Authority revealed a widespread lack of financial knowledge among young people and lack of awareness when choosing products.

The programme of tests is part of a competition which aims to improve young people's confidence in areas such as money and finance, food and health, safety and the environment.

In particular, the OFT has identified some of the most typical consumer problems and scams affecting young people.

Scams aimed at the young

• Text messaging scams - young people are targets of text messages which might try and get callers to call premium rate numbers, including messages to 'ring this number for an urgent message from your mum and dad' or 'someone you know fancies you', which end up costing £1.50 for the call.

• Ringtone scams - these involve companies not sending ringtones out or signing young people up to receive regular ringtones. To stop them, text the number back with the words STOP ALL. If this doesn't work you can report them to the premium rate regulator ICSTIS.

• Debt and finance - the Consumer Credit Counselling Service has found that the average amount owed by 18-24 year-olds in debt is £12,790 (excluding student loans). Before buying, stop and think if you can afford it. Buying on credit can mean you end up paying a lot more in the end.