July 24, 2008
Hosting Rip Off Guide - Learn How Smart Host Scam is Working Today
There is no big secret that scammers are working on the hosting market as well as on all other markets and niches in the world.
The "old school" hosting scam was quite primitive. Scammers have been quickly opening a company, accumulated the money and they disappeared with the money. But this type of hosting rip off is very rare today. Professional hosting scammers invented new, more advanced methods to cheat people.
But before we get into the details of how they do that (and how you can avoid it), let's put ourselves for a while into the shoes of the webhosting scammer.
What is the golden dream of the webhost scammer?
- To stay on the market as long as possible (because when people see that a service is up and running for a year or more - they trust it)
- To cheat people so that people - at least the bigger portion - don't notice that.
Seems impossible to combine these two things, isn't it? Well, some of the hosting providers started to do that. In this post I will not name any companies that are seriously suspected in doing this, because it will make the post biased and non-ojective. That is why don't expect to find any list of the bad companies here. But at the end you will read a tip how to avoid the problem of getting into the hosting rip off.
The technical part of the hosting scam is simple. Imagine that hosters invest money into a certain amount of hosting capacities - servers. They gathered some clients and reached the limit with these capacities - ok, this is great because with the clients they also gathered some reputation on the market.
The next step - THEY DO NOT invest money into buying/hiring more servers, into paying money to a bigger support team, etc. But they keep gathering more and more clients, on the same server capacities.
What they have is a special solution that for a while swicthes off your site and blogs - they are down (this saves them bandwidth and server processor load). If you noticed them, you hammer at the support with tickets - ok, they raise the sites, for a while. And then - in a week or two the same scenario.
The most important is not to switch off the sites that are hosted from a client who paid less then 90 days ago, because this client can make a chargeback from the bank and the hosters get ripped off themselves. But after the 90 days' term is over, they don't care.
You can say "But come on, if the sites are down all the time - you will leave the host?" Exactly, but they know this market better and they know that:
- a portion of the people are not experienced and will simply think that something was not ok or they did not get traffic on that days
- some people have plenty of sites and blogs and physically cannot track them
- some people will simply think that there is no ideal hosting and these problems are typical for the market
- some people will simply understand that 90 days of chargeback are over and they will lose money if they leave the hosting now.
The list can be much bigger, but you see that this type of scammers can stay with this hosting rip off for years, and many clients will not even understand that. They will think that their sites from time to time being down is part of the sacrifice to imperfect technologies.
How to Prevent from Getting into
Hosting Rip Off
The only real case scenario is to do due diligence on the forums where the users of DIFFERENT hosting companies share their experience. Only there you can see the feedback from the market.
If you see that the number of negative feedback about sites being down too often and hosting support team doing nothing about it - this is an alarm to move from the hosting.
By the way, do not start screaming on the forums that a hosting company is cheating you (even if you have proofs) until you have not moved your sites or blogs from its servers. Otherwise they can "by mistake" get all information that was stored on your sites and blogs deleted and bye-bye!
This is how the web hosting scammers work today. Only knowledge can help you out. Grab Free Webhosting Expert blog feed for more useful tips and advice about hosting industry.
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