12 Companies That Secretly Rip You Off

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The average person is determined to maximize their salary by finding deals and

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discounts but corporations are well aware of this tactic

and create products to intentionally confused and over charge their customers,

from under field chip bags to Overhyped precious stones. 

The world is full of scams, today we’re looking at 15 industries that actually rip you off your money on our list of

12 Companies That Secretly Rip You Off 

12. Diamonds

Diamonds are the stones most closely associated with wealth and prosperity.

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Most people have the perception that diamonds have been an integral part of human culture for millennia but it turns out they are just a result of a century old marketing scam.

The  Debeer’s corporation was founded in 1888 with mining operations in South Africa,

Namibia and Botswana.

Before this moment, the concept of exchanging engagement rings wasn’t even a common custom in

most of the world but after a 1938 ad campaign spearheaded by Debeer’s Americans

And Europeans began to embrace the tradition but not only is this ritual contrive,  

de beers and other diamond distributors intentionally restrict the release of their stock to create the illusion of scarcity.

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The fact is diamonds are extremely common minerals,

with a full supply release to the public,

the price would plummet but Debeer’s and their elk stock pile these precious stones in order to rip off the public. 

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11. Bottled Water

There’s nothing quite like the feeling of pure ice cold hydration.

Some of us get our water for free from the tap but the rest pay for it at the cost of roughly $100 billion

a year and the number of people getting their water exclusively in bottles Is growing at a rate of 10% a year.

The first issue is that bottled water is 300 times more

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expensive than tap water and then there’s the fact that most of the biggest brands including Aquafina

and Nestlé pure life are actually filled from the tap as well, in fact a recent report found out almost half of all bottled water is actually derived

from the tap meaning that they are up charging customers 30,000% for the same product.

Add to this, the horrific environmental impact of millions of tons of plastic

dumped into landfills and bottled water is easily one of the biggest corporate ripoffs in history. 

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10. Lotteries

It comes as no surprise that the average person has Minuscule chance of winning the lottery,

the chances of winning a top prize in the average lottery are almost 68,000,000 to 1 but in some cases there is literally no chance that people can win,

that’s because most lotteries continue to sell tickets to unknown customers Even after the price is already been distributed and then

there’s the quick pick tickets sold through Powerball lottery,

these tickets are intentionally printed without the winning numbers so you only stand a chance of winning if you choose your own numbers.

Expects advice that the average person would have better luck placing their money on any random stock or bond,

the chances of this investment appreciating our millions of times more likely than on a lotto ticket. 

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9. Career Sites

It’s no secret that sites like monster and CareerBuilder are not effective for finding a high-quality long-term job. 

Most of the best jobs never even make their way to job boards but it turns out this game goes even further,

most of these companies will sell your information In order to turn a profit, even if you never find a job in the process,

this can lead to more serious scams for example many users will receive emails with reference personal information obtained from

these job sites they will then offer the user Job only to scam them into transferring money to pay for a background check or training done.

Though they can seem tantalizing to the unemployed, most job sites are actually a recipe for disaster. 

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8. ATM Surcharges 

Consumers hate all kinds of things but the idea of being charged to access your

own money in the form of ATM fees can elevate the frustration to a new level. 

But consumers learned in 2016 that the ATM fees charged by many big banks are not merely annoying but that they violate antitrust laws,

it’s hard to tell just how much ATM operators may have overcharged every day consumers for accessing their money over the years.

The average ATM fee hits a new record high each time it’s measured.

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READ ALSO: Top 10 Youngest Self Made Billionaire Of All Time

The latest bank rate survey found out that the average customer using an out of network ATM will pay a total of $4.57 in

fees with an average of $2.90 going to the ATM owner and another $67 Going to the customers own bank. In many cases,

the consumer is only taking out $50 or less meaning they are paying a roughly

10% fee just for the service of accessing their own money. 

7. College Textbooks 

Most people already know that the American higher education system is needlessly expensive, US universities cost more than 500% more than the average college elsewhere on earth,

even including prestigious names like Cambridge and The Sorbonne, today over 44 million Americans hold a total of

$1.4 trillion in student debt but this debt doesn’t just come from the greatest tuition and fees,

a huge percentage results from grossly overpriced textbooks.

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Often times textbooks cost hundreds of dollars and colleges explicitly prohibit the purchase of used textbooks, if they do allow used textbooks,

classes often require the purchase of a one time use code

which leads to supplementary materials most of which are never actually used.

And an even more devious cases, professors will assign their own textbooks or the textbooks of their friends in order to reap the benefits from this corrupt industry.

A handful of students have sued University in the last few years,

demanding the option to study for an affordable price but these cases are still working their way through the court system. 

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In the meantime, many students are turning to

downloading free PDF textbooks online in an effort to get through college without Massive debt. 

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6. Electronics Companies 

Apple is the second most valuable company in the world and those several other competitors of a similar products, none come close to the market capitalization.

That’s because Apple has a series of stringent policies meant

to rip every last cent from their customers. 

The first is the massive over pricing of their products, when accounting for costs Apple charges as much as 800% more for their

products than for the costs of parts, labor, transportation and marketing. And then there’s the issue of accessories,

Apple makes their products incompatible with other charges

and add-ons meaning you need to buy their overpriced gadgets. 

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Lastly is a phenomenon called The obsolescence,

Apple has admitted to hardwiring that products to lose battery life and malfunction after only a few years, this creates the illusion that

your device is failing forcing users to buy a new product. Thus, boosting the astronomical Profits. 

5. Starbucks

It’s easy to sympathize with the Starbucks customer who is suing

the coffee giant for providing two little Java in its grande, Venti, Trenta and tall iced coffee’s.

After doing the math on iced coffee,

studies revealing that a 12 ounce cup of the conversion should be a dollar less than the hot version,

that’s because the ice in Frappuccinos which is virtually free

displaces much of the coffee and other ingredients which are actually expensive,

Of course the courts ruled that this was not illegal but that doesn’t

mean it isn’t unfair, many customers are willing to pay more

for their coffee in order to guarantee that farmers are making a

living wage and beans are collected in a sustainable way.

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READ ALSO: 10 Things You Didn’t Know About BMW

But That is simply not the case for Starbucks and other corporate coffee behemoths. 

4. Fad Diets

The next time you watch an infomercial read an advertisement or spot a new supplement reporting miraculous weight-loss results,

Be wary that the company behind it may not have your best interest in mind,

when evaluating claims for weight loss products,

the federal commission recommends a healthy portion of

skepticism and most don’t come close to fulfilling their claims and in

the rare case Where a product might result in some

temporary weight loss it’s almost never a permanent solution and is usually on safe. 

There is no known diet regimen that makes people skinny without exercise or dietary changes

so any company Cording to have these qualities is lying and it gets worse,

more than 50% of diet study are actually harmful to participants. 

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3. Glasses and Contacts

The glasses and contact industry in the United States is considered a scam by many consumers. 

Here’s how it works, in the US, contact lenses are regulated

no matter how old you are or how long it’s been since your vision has changed,

you need a doctor’s prescription less than one year old to be able to order Contact but in reality,

consumers need to check the prescription much less

frequently and this only leads to a multi hundred dollar fee for the optometrist and

the glasses manufacturer and the frames are massively overpriced as well. 

According to History insider, you can get amazingly good frames

with Warby Parker level of quality for 4 to 8 dollars.

For $15 you can get designer quality frames like what you get from Prada. 

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2. Toilet Papers

The truth is that for years toilet paper manufacturer Have been selling less

product and masking the shrinkage with hyper bowl and hard to quantify claims. 

According to John T Kerrville a marketing professor at Harvard business school,

“they get away with it because consumers have a better grasp

of how much an item cost than they do of the size it should be,

they have in their minds that this toilet paper cost 79 cents and that one cost 89 cents.

They are not taking into account that one has fewer sheets”. 

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In fact the average toilet paper manufacturer reduce the number

of Sheets in their roles were margin of 15% sometimes inflating the price in the process. 

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1. Movie Theatre Popcorn 

It’s been estimated that movie theaters make an 85% profit at the concession stand on over priced soda,

candy, nachos, hotdogs and of course popcorn. 

Movie theater popcorn has been called one of America’s biggest rip

offs with a retail price of nine times what it cost to make.

In 2012 after a Michigan man sued The movie theater for overcharging customers on snacks,

one theater owner spoke up in defense of charging eight dollars for a Coke and a box of goobers. 

The majority of a price charged for a movie tickets,

he explains goes to the studios and distribution company not the theater.

Theaters it’s been said are really in the popcorn and candy business,

the showing your films is just an excuse to gather a crowd and try to

sell them battery snacks and sugary drinks. 

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Newton

Newton is a Nigerian blogger, video creator and also a crypto trader that is always aspiring GROWTH in knowledge and finance as well his blogging career...