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UK
eBay Auction Newsletter

 

The newsletter for buyers and bidders on UK eBay

 

July 23, 2004 - Issue 5107

 

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This latest issue is now also available online at

 

http://www.workwinners.com/newsletter/040723.htm

 

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In This Issue

 

In this edition I include a long article about secure trading on

eBay. This is because I have had several emails recently from

readers seeking advice in this area, and it is an issue about

which I believe something should be done.

 

1. News and Views

 

2. Secure trading - or downright fraud?

 

3. The value of photographs on your auction 

 

4. Software and ebook Selling on eBay - Clarification

 

5. Someone's auctioning what? Unusual items currently available

 

6. Finally

 

7. My Products Catalogue

 

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Inspirational quote of the day

 

"Desire is the starting point of all achievement, not a hope, not

a wish, but a keen pulsating desire which transcends everything."

 

Napoleon Hill

 

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Brian McGregor speaking - you receive the UK eBay Auction

Newsletter because you have bought from me or enquired about my

auction items on eBay or QXL.

 

If you do not want to receive this newsletter, the only one

dedicated to eBay UK bidders and sellers, please send a blank

email to unsubscribe@workwinners.com

 

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1. News and Views

 

a) Will the UK Follow?

 

It has been announced that eBay Australia is removing Reserve

Prices on auctions from 10 August, 2004. This change will take

effect on all categories except cars, motorcycles and boats.

 

As you know, the Reserve Price feature enables the seller to put

a hidden minimum price on an auction.

 

Whilst there is an additional fee for using a Reserve Price, it

allows a seller to ensure their item does not sell for a price

lower than that which they are prepared to accept.

 

According to eBay's announcement, "This change is designed to

help the small number of sellers in Australia who currently use

Reserve Prices to be even more successful. There is strong

evidence that Reserves restrict the bidding activity on an item.

eBay research has shown that sellers who don't use a Reserve on

their listings experience a 34% higher sell-through rate than

those sellers using Reserve."

 

If strong evidence exists that Reserves restrict bidding activity

(in Australia), then maybe it could be applied to the rest of the

eBay world. Watch this space.

 

I reserve my judgement. Do you get it? Reserve? Oh never mind.

 

b) A Question of Knowing How

 

I've been asked by a number of subscribers about how they can

make their auctions more presentable. The only way you can

achieve this is by using HTML coding.

 

Now, not everyone wants to learn HTML (and I don't blame them).

 

So, here are some free auction template resources you might like

to investigate. You don't need to know any HTML to use them:

 

www.desacs.com/at/basic/

Auction templates to make your auctions look professional without

knowing HTML. Includes a useful tutorial of how to get the

template into your auction.

 

www.deadzoom.com/auction-template

Very easy to use auction template system.

 

www.tupics.com/freead/create.pl

A service in which you complete boxes on screen, and the

resulting auction is displayed back to you, together with the

HTML code. A small advert for Tupic appears at the bottom of your

description, but it gets you up and running with a nice layout

very quickly.

 

www.etusa.com/auction/

A lovely piece of software, EZ Ad, which enables you to create

good looking auction pages without knowing HTML. Also includes

free hosting for up to 400 pictures.

 

www.auctionsupplies.com/templates/

A range of pre-designed auction pages, into which you paste your

own text and picture URLs.

 

That lot should keep you out of mischief for a while!

 

c) What a Question?

 

I had an unusual question from a correspondent the other day. I

was asked how to close an eBay account.

 

It seemed to be a fairly innocent question, and I assumed I would

be able to respond pretty quickly. But it took quite a bit of

digging to come up with the answer.

 

So, if you are a disgruntled eBay user, or you wish to remove a

dormant eBay User ID of yours, this is where you go:

 

http://pages.ebay.co.uk/help/account/closing-account.html

 

d) Update from the last edition

 

With reference to my oil painting marketing business mentioned in

the last edition of the newsletter, there is an update.

 

Michael Aspel rang me up and requested a fee for his unsolicited

appearance in my article!

 

I said, "You should be glad at this stage in your career to get

some free publicity mate."

 

Michael said, "What do you mean at this stage in my career?"

 

I replied, "Well, you have to admit you're in the twilight zone

as far as show biz is concerned."

 

He clearly objected to this and retorted, "If that's how you

feel, you'll be hearing from my solicitor."

 

So I said, "Maybe we shouldn't be too hasty. What fee are you

looking for?"

 

Michael mentioned a sum, which of course I'm not obliged to

disclose.

 

However, being an honourable guy, I can tell you the fiver's on

it's way.

 

And Michael promises he'll send the change by return.

 

For those of you who don't have a clue what I'm talking about,

you need to go to the last edition of the newsletter, and check

out the item headed "I hope Vincent doesn't turn in his grave".

 

You can see it here:

http://www.workwinners.com/newsletter/040630.htm

 

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2. Secure trading - Downright fraud

 

In this section on secure trading, I am going to take a serious

look at the issue of fraudulent trading.

 

First, let me share with you an email I received recently from a

reader:

 

*********

Hi Brian,

 

Just something to remind people of perhaps in your newsletter,

sellers beware.

 

This happened to me twice in the same day.

 

Basically people buy your items (usually in a large qty) then pay

with PayPal. Fine you say, but they ask you to send them to a

different address than PayPal gives you. People must be made

aware that this leaves you with no protection and usually

indicates fraud.

 

So I did a quick crosscheck - eBay location Estonia, PayPal

location USA, deliver to Estonia!

 

Then again - eBay location New Zealand, PayPal location USA,

deliver to Ukraine!

 

I didn't send the items and sure enough two days later the PayPal

payment was reversed for one of the transactions.

 

So please remind sellers to be wary and to never send to

locations that don't match with eBay or PayPal locations or you

will lose your goods and your money.

 

Regards

 

*********

 

Thanks to Jon for this reminder for all of us to be careful.

 

This example is one of the two ways criminals try and get you. If

you are a seller, they will "pay" you, and you ship the goods.

You then find out their payment isn't real.

 

The most used trick here is to pay you via PayPal. You're happy

because you see the payment in your PayPal account. So, you ship

the goods. After you have confirmed the goods have been shipped,

the buyer then contacts PayPal and reports you for defaulting on

delivery. The first you know about this is when PayPal email you

to tell you they have taken a "disputed" payment from your

account. You're left with a problem to sort out, and your goods

are on their way to your buyer who has paid nothing.

 

If you are a buyer, the simple fraud here is that you make the

payment but don't receive the goods. There are two favourite ways

the fraudster can get you here. First, if they have hijacked an

eBay account they will have acquired all the excellent feedback

of the person they've "taken over", and your suspicions are

reduced. You assume this seller is the person with the eBay ID in

front of you, so you pay by cheque or PayPal - or by Western

Union, a favourite of fraudsters because you can't trace where

the payment goes to. (If you use PayPal, the seller will empty

their PayPal account before you have time to become suspicious of

their non-delivery)

 

If the amount is particularly high they could suggest you protect

yourself by paying via escrow. As the escrow process is new to

many eBayers, they helpfully propose an escrow company they've

used a few times before. When you check out the website of the

proposed escrow company, it looks impressive and official, so you

go ahead and pay your money to the escrow company. For the

seller, this is the end of the transaction. They've got your

money, but you won't be getting any goods. Their escrow company

is also fraudulent, along with about 90% of all escow companies!

 

I am always concerned to hear of decent people who have lost

money on eBay due to criminal activities of the few.

 

I am also concerned by eBay's apparent lack of emphasis on this

matter. Their justification seems to be that it only arises is a

tiny fraction of completed auctions. I heard an eBay spokesman

recently on BBC Radio 4 say that less than 1 in 10,000 of

auctions are affected by some kind of fraud. This works out at

0.01%.

 

This may not sound like a high percentage, but it's everything if

you're the one caught up in it! Also, if you extrapolate that

percentage into numbers of auctions affected, the figure becomes

both alarming and unacceptable.

 

In eBay's Quarterly Report for the quarter ended 30 June, 2004,

they state that there were 332 million listings. If this

quarterly figure is converted to an annual number by simply

multiplying by 4, we get around 1,300 million listings per year.

 

Given that approximately 50% of listings conclude with a

successful sale, this means that 650 million transactions are

completed annually.

 

Now, we apply the 0.01% to the number of successfully concluded

auctions to find out how many transactions are, according to

eBay, affected by fraud.

 

The number we arrive at is 65,000 auctions per year. That's 1,250

per week, around 180 each day.

 

And each one of these cases represents an individual who has

their life turned upside down as they attempt to find their way

through the eBay and/or PayPal customer service fog, try to

contact other impacted buyers or sellers, try to talk sensibly to

their bank, and deal with a police service who can fob them off.

The last mentioned isn't surprising, as the knowledge of the

average PC of internet fraud can probably be written on the back

of a sergeant's stripe.

 

And this all takes time. While it's going on, the fraudster is

probably moving on to their next victims with apparent impunity.

Or, at the very worst, they have the inconvenience of eBay

suspending their account. Oh horror upon horror! That must be

really worrying for the thieves. They have to go to the bother of

setting up a new eBay ID before they can carry on stealing from

people.

 

Unfortunately, eBay appear to downplay this as not being a

serious issue.

 

No wonder my own email box has more and more anxious eBay members

seeking advice in this area. And it's no surprise to me that

there is a growing backlash against eBay by members who are

unhappy about eBay's apparent disinterest in this area.

 

So, given the size of the problem. What can be done about it?

 

All that we as users can do is to be extremely vigilant and

cautious in all our eBay activities.

 

Here is a list of practical steps, in no particular order, which

buyers and sellers can take to help avoid becoming the next

victim.

 

Hopefully you are already aware of  some of these. It doesn't

necessarily follow that if one of these applies the auction or

person is fraudulent. But if you use your head, and build up a

view of the overall transaction based based upon a number of

these factors, you will reduce your chances of getting conned.

 

a) Stock photos and descriptions.

Because they don't have the item they are "selling", some

fraudsters use a stock photograph of the item. And they will

probably use the manufacturer's product description too. So,

stock photos and no original description might be a sign. Search

for other auctions by the same seller, and see if they are brazen

enough to advertise the same item more than once.

 

b) A price too good to be true often isn't true.

A fraudster wants your money quickly, so you may find they offer

to close their auction early with you as the "winner" having bid

a price which you know to be somewhat of a bargain. Why would

anyone close their auction early if the price hadn't reached

market levels? I'll give you one guess.

 

c) High value or high volume, newly registered sellers.

Although the vast majority of new sellers are genuine and honest,

be cautious of buying from people selling high value items in

bulk, very early on in their eBay career. This pattern isn't

quite normal. Think back to your own first sales. You would have

been tentative, and probably have tried single, low value items

initially. So, a new seller fitting this profile may be someone

who has perhaps been previously suspended and has registered

another ID.

 

d) 1 day listings.

Although 1 day listing are used by genuine sellers who have more

than one item or who want a quick  sale, unfortunately this

duration is attractive to fraudsters too. They sometimes use a 1

day auction duration to gain a quick sale before their actions

can be reported and acted upon. So, be extra wary on auctions

with 1 day listing.

 

e) Invitations to trade off eBay.

This is a classic ploy of fraudsters. Having made some kind of

contact with you, or you with them, they will invite you to

purchase or to sell off eBay i.e. withour using eBay's auction

services. The attraction here to the fraudster is that they can

drive the transaction along the lines they prefer, whether that

be escrow, PayPal etc.  Another reason why trading off eBay is

not a good idea is that you have to keep your own formal records

of the transaction, and you forfeit any cover from eBay buyer

protection and PayPal buyer protection. Plus, and this might be a

minor point, but you will not be able to leave feedback to let

others know your experience with this seller/buyer.

 

f) Payment methods with no recourse.

Fraudsters prefer to chose payment methods in which the buyer has

no protection, like wire transfers where the buyer has no way of

tracing where the money is going. Western Union Money Transfers

are a favourite and should be totally avoided. Postal orders are

similar though they are a popular payment method among the

genuine sellers as they require no clearance time. Bank transfers

and cheques can only provide the possibility of your bank

investigating the details of the account the money was

transferred into. For the best protection use Paypal and fund

with a Credit Card, although there are limits on this which you

should check out with PayPal.

 

g) Unusual sales pattern.

If your seller's feedback indicates that they normally deal in

collectables, DVDs or other specific items, be suspicious that

they are suddenly listing laptops, plasma TVs or other high value

items. This change may indicate that this seller's account has

been hijacked.

 

h) Bad english gives you a pointer.

Some fraudsters operate from abroad but pretend to be in UK. As

they aren't particularly adept at the english language they might

use a translation tool like Babelfish to creat their emails to

you. So, watch out for emails that are not good english. In

itself, it doesn't prove anything, there are plenty of genuine UK

eBay sellers for whom english is not their first language. But it

might add to further evidence you have.

 

i) Location Location Location.

In the case of lazy fraudsters you might find their locations

don't match up. By that I mean the auction says the goods are in

the UK, but the seller's ID details show their location to be,

say, Ukraine. This is not a good sign.  Often in these cases if

you contact these seller you will receive an excuse as to why the

item is not in the UK, and therefore can't be collected in

person. In short, if an auction says the item is in the UK and

the seller says that it is not, I would avoid the auction. And

don't forget to cross check with their PayPal account, and see in

which country this resides.

 

j) Avoiding the question.

Beware auctions that carry a message asking you to contact the

seller via a given email address as opposed to via 'Ask seller a

question'. This could be an account hijacker trying to prevent

buyers from 'Asking the seller a question'. They want to stop

this from happening because such questions will be routed to the

real account owner.

 

k) eBay can vouch for me.

A warning about a relatively new tactic used by fraudsters. If

you are proving hard to land as a buyer/seller, they may claim

they can get eBay to email you proof of their validity so that

you can trust them. eBay, of course, will never do this. The

email sent out, however authentic looking, is fake and is

designed to get you to part with your money.

 

l)A PayPal warning.

There are fraudsters who use stolen PayPal accounts to accept

payments.  To lower the possibility of this, you can check if

your sellers location is one of PayPals permitted countries by

clicking here:

http://www.workwinners.com/nlr701.htm

 

m) Passwords.

Never have the same password on your eBay and PayPal accounts. Or

indeed on any other financial or personal site. Change your

passwords every 30-60 days on both eBay and PayPal.

 

n) Escrow.

If your seller asks to use escrow, and proposes an escrow company

they've used before, this is an indication they are fraudulent.

There are many fake escrow sites which will take your money

fraudulently. The only escrow site recommended by eBay is

http://www.escrow.com. An alternative in the UK is www.auctionpix.co.uk

 

o) Pointers in feedback.

Try to read the positive feedback as well as the negative.  Read

the way your seller responds to negative feedback as this will

often give you an idea of how the seller will react if something

goes badly wrong. If the seller is offering high value goods, be

wary if their feedback has been built up quickly from low value

purchases. Also, if the overall rating is good, but there are a

disproportionate number of negatives in recent days/weeks, this

might indicate the account has been taken over.

 

p) Credit Card payment.

For high value items, or for amounts of money you can't afford to

lose, make sure you pay by credit card which has online fraud

protection. This will give you some recourse if the seller is

fraudulent. In this context, paying via PayPal is not the same.

PayPal do have a buyer protection scheme, but there are criteria

which the eBay auction has to satisfy in order to qualify. Even

if the transaction qualifies, PayPal's standard protection has a

maximum value of £250.   Note that payment by debit card provides

zero protection.

 

q) Telephone check.

If this is a high value item, use the Ask the seller a question

link, and request they email you with their telephone number as

you have a few questions about the auction. Any reputable seller

will give you a telephone number to call. Call it, and see if you

get through to the genuine seller.

 

That's all in my list. If you have any further ideas on how to

prevent fraudulent transactions on eBay, please let me know and I

will promote these through future newsletters.

 

If you believe you've spotted one of these fraudulent listings,

or you're involved in a fraud auction here are some steps you

need to take:

 

1) File a complaint with eBay Rules & Safety immediately:

http://pages.ebay.co.uk/help/contact_inline/

 

2) In order to be considered for eBay's Buyer Protection Program,

you should immediately submit a complaint via email to

ukbuyerprotection@ebay.com. 

 

Read about the Buyer Protection Programme here:

http://pages.ebay.co.uk/help/confidence/items-fraud.html

 

3) Find the other party's contact information. You can get all

their eBay registered contact details here:

http://pages.ebay.co.uk/help/confidence/know-seller-contact.html

 

4) Locate and Contact the perpetrator's trading standards office

via the local authority area in which they live.

 

5) Contact your local police

 

6) Contact the police in the area of the perpetrator

 

7) If you still get nowhere use the small claims court (it can

sometimes work to fill in the paper work and send a copy to the

seller, giving a deadline to pay up or you will file the claim

with the court. Don't forget to claim expenses and time taken

chasing this.

 

You can process the claim online here:

https://www.moneyclaim.gov.uk/csmco2/index.jsp

 

Some Auction Fraud Resources

 

Fenton Smith's Site listing Fraudulent Escrow Services

http://www.sos4auctions.com

 

Dreadful American website name, but some interesting real stories

of fraud on eBay. Note, you have to register to read the stories.

http://www.eBayersThatSuck.com

 

AuctionBytes Fraud Forum - one of AuctionBytes excellent forums.

Here you can read about many real live examples of fraud on eBay.

http://www.auctionbytes.com/forum/phpBB/viewforum.php?f=28

 

In the next edition of the newsletter, I will be taking a long

hard look at the subject of spoof or scam emails associated with

eBay and PayPal.

 

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3. The value of photographs on your auction 

 

Photographs can be a vital ingredient to a successful auction.

 

According to eBay, 83% of buyers skip auctions without images.

 

Also, gallery image pictures with multiple thumbnails increase

listing conversions to sales by 10% to 15%.

 

Plus, eBay say supersizing photos increases final sales value by

24%.

 

Here are some pointers for you to consider:

 

> Photos convey to the buyer informational and emotional values

that impact the purchase decision. And buyers want image clarity,

colour accuracy, detail and multiple views.

 

> Use a solid non-conflicting background to emphasise the item.

 

> Use natural light if possible and take pictures early or late

in the day when lighting is best.

 

> Isolate the object by removing clutter around or behind the

item.

 

> The background colour should be chosen to make the object stand

out and command attention. Try different background colours until

the desired effect is achieved.

 

> Focus carefully and use the macro mode for close-up pictures.

 

> Use a tripod to prevent camera shake and blurred images.

 

> Use of the camera timer to release the shutter can also reduce

camera shake.

 

> Resize images and adjust pixel count to reduce time taken for

uploads and downloads.

 

> Keep the file size small (use 1 mega pixel level for pictures).

 

Use of eBay Picture Service is an ideal option for new eBayers.

 

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4. Software and ebook Selling on eBay - Clarification

 

In the last edition, I featured a package of 60 ebooks and 20

software titles which were available complete with Master Resale

rights.

 

I have been asked by several readers to clarify the term Master

Resale rights, as it has apparently caused some confusion. It

seemed some people didn't believe that the offer could be

genuine.

 

To clarify - if you acquire our ebook and software package, this

is what Master Resale rights give you:

 

a) The right to sell the whole package to others, and keep all

the profits.

 

b) The right to sell products from the package individually or

grouped in any way, and keep all the profits.

 

c) Your own website from which you can offer for sale the whole

package.

 

d) Selected single web pages from which you can offer for sale

individual products.

 

e) The right to sell the whole package and/or individual products

on eBay.

 

f) The automatic transfer of Master Resale rights to your buyers.

In other words, you are also offering the package with Master

Resale rights.

 

So your customers get the right to sell the package on the

website provided, and on eBay, and to transfer Master Resale

rights to their buyers.

 

I hope this has clarified the position satisfactorily. No, it

isn't too good to be true. It's for real!

 

If you wish to review the contents of the ebook and software

package, you'll find it all here:

 

http://www.workwinners.com/rd11.htm

 

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5. Someone's auctioning what? Unusual items currently available

 

Nothing surprises me when it comes to internet auctions. Amuse

yourself with some of these beauties ...

 

If you live near Stevenage, this is for you.

http://www.workwinners.com/nlr702.htm

 

Hmmm. If anyone at eBay reads my piece on safe trading, I might

need this pronto!

http://www.workwinners.com/nlr703.htm

 

In fact, I might end up in this....

http://www.workwinners.com/nlr704.htm

 

I wonder how long it will take eBay to pull this listing? Not

sure if they have a sense of humour.

http://www.workwinners.com/nlr705.htm

 

Don't look at this one while your eating. You have been warned.

http://www.workwinners.com/nlr706.htm

 

Disclaimer - I have no association with any of the sellers of the

above items.

 

=============================

 

6. Finally

 

If you are changing email addresses soon please put a note on

your calendar to send a blank email to:

 

newsletter@workwinners.com

 

after you get your new email address.

 

I don't want to lose touch with you!

 

If a friend sent you this newsletter, you need to send a blank

email to:

 

newsletter@workwinners.com

 

That way you can get your own copy next time!

 

Increasingly, email filters are preventing genuine email

communications such as this newsletter from reaching subscribers.

 

If you use any method of checking on your email, and you wish to

continue receiving the newsletter you may need to include my

email address in your safe list, whitelist or address book.

 

Thank you for continuing to take my newsletter - I hope it gives

you as much enjoyment to read, as it does me to write.

 

Regards

Brian McGregor

Editor - "UK eBay Auction Newsletter"

 

====================================

 

7. My Products Catalogue

 

All the following are original products, services and

opportunities written and created by myself.

 

 

"The eBay Formula"

How to sell successfully on UK eBay - time, after time, after

time.

http://www.workwinners.com/rd01.htm

 

 

"UK Dropshipping Sources"

Twenty Six genuine UK dropship companies.

http://www.workwinners.com/rd02.htm

 

 

"Sourcing DVDs, CDs and Videos at Trade Prices"

Where and how to buy DVDs, CDs and Videos at trade prices, and

how to sell for profit.

http://www.workwinners.com/rd03.htm

 

 

"Sourcing and Selling Electrical Products for Big Profits"

Where and how to buy Widescreen TVs, DVD players and VCR players

at trade prices, and how to sell for profit.

http://www.workwinners.com/rd04.htm

 

 

"Sourcing Maternity Clothing and Baby Needs at Trade Prices"

Where and how to buy at trade prices.

http://www.workwinners.com/rd05.htm

 

 

"Sourcing and Selling Jewellery for Big Profits"

Where and how to buy jewellery at trade prices, and how to sell

for profit.

http://www.workwinners.com/rd06.htm

 

 

"Sourcing Mobile Phone Accessories at Trade Prices"

Where and how to buy mobile phone accessories at trade prices,

and how to sell for profit.

http://www.workwinners.com/rd07.htm

 

 

"The Streetwise Buyer's Guide to Radar Detectors"

Don't buy a Radar Detector system until you read this.

http://www.workwinners.com/rd08.htm

 

 

Oil Painting Marketing Business

Become my partner in this pleasant money-making venture.

http://www.workwinners.com/rd09.htm

 

 

Your Own Software and ebook Sales Business

Valuable software and-in demand ebooks you can sell on eBay, plus

through your own website which you receive with the package.

http://www.workwinners.com/rd11.htm

 

 

See the whole catalogue here:

http://www.workwinners.com

 

=============================

 

"UK eBay Auction Newsletter" is published approximately two

weekly.

 

In each issue you'll get ideas on how to make the most of buying

and selling on eBay sites from a UK perspective.

 

If you would like to unsubscribe please use the link at the

bottom of this email.

 

Finally, be assured that your email address will never be shared

or sold - ever!

 

=============================

 

Copyright Information

 

Copyright © 2006 Brian McGregor. All rights reserved.

 

No part of this newsletter may be copied or published without

prior permission, but do please forward it to your friends and

colleagues as long as you keep it in its entirety. Brian

McGregor, as publisher, disclaims any liability for the use of

any information contained herein. We further claim no

responsibility for the legality or accuracy of any advertisements

or articles. It is the reader's responsibility to practice due

diligence in any product or service acquired based on information

contained in this newsletter.

 

To unsubscribe, send a blank email to unsubscribe@workwinners.com

 

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