Common Domain Name Scams

In the ever evolving world of the Internet, some scams can be difficult to spot and understand. The most common scams plaguing business owners at the moment are domain name scams. Since the domain registry process can be difficult to complete and understand fully, scammers use this to their advantage.

How does it work?

Domain scams are a niche type of scam commonly referred to as "confidence scams". They work by generating income through attempting to trick domain owners into renewing, selling, listing, or converting your domain name. 

"Domain Slamming" is a specific trick most commonly used to trick domain owners into paying an exorbitant "renewal fee" that actually transfers your domain name to the scammer and does not simply renew your domain.

Here are some of the most common domain scams:

Domain Registry

Domain Registry receives contact information from domain owners through the WHOis database and sends letters in the mail claiming that your registry is about to expire and that you will need to renew through their service. 

How is this a scam?

1. You do not need to renew your domain through any specific service. When it is time to renew your domain, you can renew it through the company you originally registered it with or choose any other domain registrar on the market.
2. The prices they ask to renew the domain are unconventionally high (typically anywhere between $50 and $200). While domain renewal prices vary because of a number of factors, it is almost never that steep of a price to renew for a single year.

Other scams that work in the same way:

• iDNS
• United States Domain Authority

Domain Registry of America

Domain Registry of America works similarly to the Domain Registry scam, aside from the important detail of specifically poaching domain clients away from their current domain registrars through scare tactics. Commonly, they will attempt to bill you 500% or more of the current market rate of domain renewal and transfer your domain completely to their servers. If they are able to hold your domain on their servers, they can refuse to transfer it to another registrar later, refuse to renew, sell your domain without your permission, and often utilize these and a variety of other illegal tactics.

Read about the Domain Registry of America lawsuit here.

How is this a scam?

1. You have not entered into a contract with Domain Registry of America by registering a domain through a different service, and are not legally required to pay them any money or switch your domain to their servers.
2. Prices are regularly 500% above market rate.
3. They can sell your domain without permission and effectively hold it hostage if you do transfer to their servers.

If you believe you have received a letter or bill from a company that you are not currently using to register your domain through, confirm it is not a scam. Have a question? Reach out to TracTru Support! We are here for you, and would be happy to answer any questions you might have.

Have a question or still need help? Submit a Help Ticket to the Kubota Help Desk!