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Avoiding Work at Home Scams

Tip #1: Never Pay to Get a Job

While you may have to pay a start up fee to join a business opportunity, you should never have to pay to gain employment.

If you are asked for money to get a job, walk away.

Tip #2: Beware of Income Claims

Outrageous income claims are a red flag. No one can promise you specific earnings and high earning results are rarely typical.

Stay safe and avoid companies that promise you’ll make a ton of money.

Tip #3: Delete Unsolicited Emails

If you receive an email that you didn’t request and it includes information about an earning opportunity, delete it.

Scammers frequently use spam to find their victims.

Tip #4: Strange Emails from Friends

On the other hand, if you receive an email from a friend about an earning opportunity, make sure they actually sent it.

Scammers often use email addresses to make you think a friend is sending them.

Tip #5: Don’t Dial 1-900 Numbers

Beware of opportunities that ask you to call a 1-900 number. You could be in for some astronomic phone bill charges.

And never give your credit card number on a 1-800 call.

Tip #6: Fully Research the Company

If you are going to take a telecommuting job or join a business opportunity, thoroughly research the company first.

Ask questions, check the BBB, talk to others who work for the company and more.

Tip #7: Legit Job Sites aren’t Immune

Even if you’re using a legitimate job site like Monster or Career Builder, realize they are not immune to scammers.

Always do your homework.

Tip #8: Don’t Give Out Personal Info

Avoid giving our your SSN, driver’s license or other sensitive information when applying for jobs.

If someone is asking for your personal info, ask why and do your due diligence first.

Tip #9: Understand Pyramid Schemes

People often mistake Multi-Level Marketing for Pyramid Schemes, but they are not necessarily the same thing.

A pyramid scheme is where people earn money by recruiting others and there is no real product for sale. They are illegal. Reference: http://en.wikipedia.org/wiki/Pyramid_scheme

Tip #10: Understand Ponzi Schemes

Ponzis are marketed as investment opportunities with high payouts.

However, the payouts are made to earlier members by the contributions of later members and funds will eventually run out.

They are also illegal.Reference:http://en.wikipedia.org/wiki/Ponzi_scheme

Tip #11: If It’s Too Good to Be True…

When it comes to any money-making opportunity, the old adage rings true.

If it’s too good to be true, it probably isn’t. Don’t waste your time or hard-earned money.

Tip #12: Desperation Attracts Scammers

Times are tough. If you are out of work and are in great need of money, don’t advertise this online or to people trying to share an opportunity.

Scammers feed off desperation and by showing yours, you ask them to target you.

Tip #13: Ignorance is Not a Legal Excuse

Many people think that if they don’t know it’s a scam, they won’t get in trouble.

However, by ignoring red flags about an opportunity you’re involved with means you’re just as guilty in the eyes of the law as anyone else.

Common Scam: Mystery Shopping

Mystery Shopping is a legitimate business, but there are scammers taking advantage every day.

Scammers send fraudulent cheques by mail and ask you to mystery shop money wire transfer businesses (which sends a certain amount of the cheque back to the scammer).

Your bank will hold you liable for the entire amount of the fraudulent cheque.

Reference: http://en.wikipedia.org/wiki/Mystery_shopping

Common Scam: Reshipping Packages

In this one, the company asks you to repackage and ship packages for them.

The problem is, they are usually goods purchased using a stolen credit card, so essentially you are shopping stolen goods.

Reference: http://en.wikipedia.org/wiki/Money_mule

Common Scam: Auto-Surf Programs

Auto-surf programs that are promoted as investment opportunities that pay you for viewing websites (i.e. “surfing” the web) are ones you should stay away from. These programs promise you an unusually high return on your investment, putting them in the “too good to be true” category.

These types of opportunities are Ponzi schemes because they use the investments made by new members to pay the promised returns to older members. Reference: http://en.wikipedia.org/wiki/Autosurf

Common Scam: Craft Assembly

You may see an opportunity to put together products or crafts for a Craft and other assembly. These companies will ask you to assemble items like crafts or jewellery and ship them back, only to reject them.

The company not only refuses to pay you for your work, but you are also out the money you paid for supplies and shipping.

Reference: http://en.wikipedia.org/wiki/Work-at-home_scheme

Common Scam: Modern “Chain Letter”

You don’t see the chain letter scam where you send money to a few people and get a certain amount of money back as much anymore.

That’s because scammers have evolved to the online world. Now you post online ads telling people can make money by sending you money. Then they are shown how to post ads to make money and the modern-day pyramid scheme continues.

References: http://en.wikipedia.org/wiki/Chain_letter and http://en.wikipedia.org/wiki/Work-at-home_scheme

Common Scam: 419 Scam

By now, most of us have heard of the Nigerian or 419 Scam, but still so many people fall for it every single day.

The story is usually a persecuted wealthy foreigner who needs to get their money out of the country and they need your help. People get roped into the promise of riches by parting with money they often don’t have themselves.

Reference: http://en.wikipedia.org/wiki/Nigerian_scam

Common Scam: Foreign Craigslist Buyer

If you are selling an item online and someone tells you they want to buy, but they’re out of town, approach with caution.

The scammers will tell you will send you extra money to pay a shipping agent. You pay the agent, send the product and then you find out the funds were fraudulent and you’re on the hook.

They may also tell you that they have sent the funds by PayPal. You receive an email that looks like it’s from Paypal, stating the funds are being held until the item is shipped. The email is fake and PayPal never holds funds until they are shipped. It’s a scam.

Again, and Say it with Me…

If it’s too good to be true, it is.

Just walk away. Something better and legitimate will come along.

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