'I can't believe I fell for it': Bay Area man out $4,000, scammed by fake appliance repair company. Here's how he got swindled — and how to protect yourself against service provider fraud

The appliance scam

Box Appliance is fully aware someone is impersonating them, stealing thousands of dollars from their customers and not fixing their appliances.

"It's really hard explaining to these customers that they were swindled, basically," Stephanie Chapman, Box Appliance customer service manager, told 7 News.

The scammers buy domains and domain extensions similar to their own, including "box-appliance" or "boxappliances.co," Chapman explained.

Then, according to Box Appliance president Ryan Bergo, they use sponsored ads to rank higher on Google, getting exposure and appointments. While he and his team have tried to have the fake sites removed, Bergo described it as playing whack-a-mole.

"We take one down and another one goes right back up," he told 7 News.

Regardless, the company is warning customers to ensure they're on the correct website and calling the right phone number. Bergo also says real Box Appliance technicians have vans with Sub-Zero logos on them, whereas the impersonating technicians come in unmarked vehicles.

Victims have filed reports, and the Santa Clara County Sheriff's Office is one agency investigating the issue — and trying to find those posting the fake sites. They want to hear from anyone in the county who's been impacted.

"We're seeing this not only in the Bay Area but across the state," Brooks Jarosz, senior communications officer with the Santa Clara County Sheriff's Office, told the news channel.

Subscribe to our free newsletter

Get top stories & exclusive content.
Join our 200k+ community.

By signing up, you accept Moneywise Terms of Use, Subscription Agreement,
and Privacy Policy.

How to protect yourself and avoid financial losses

Although Phillips wasn't so lucky, there are things you can do to protect yourself and avoid falling victim to similar scams.

• Verify service providers through trusted sources, like the Better Business Bureau. You can also use the Bureau of Household Goods and Services or other similar resources to verify the license of a repair company and confirm their legitimacy.

• Check for official certifications. If a company claims they hold a certification, look it up. Spend time researching the certifying body's website or calling the organization to verify what their certification means and that the business in question is being honest.

• Check company reviews. There will always be poor reviews and less-than-happy customers, but the red flag to watch for is if the company is consistently low-rated across the board. Be sure to look at reviews not only on their website but also on third-party sites, like Google or Yelp.

• Understand how to report fraud. If you do end up victimized by a scam, visit the Federal Trade Commission's site, ReportFraud.ftc.gov, to report it and see if you are eligible for available support. You can also check your state's consumer protection office for additional information and resources.