Work-From-Home Scams: What To Look Out For

Michelle Wilson - May 13, 2020

Everywhere we look in the news today its Covid, Covid, Covid. As we all have made drastic adjustments in our lives we have seen some pretty radical changes in how we all conduct business. Unfortunately it has meant a great many of us have lost our jobs as a result. As such we have seen an uptick in people seeking work from home opportunities.

It seems pretty ideal does it not? Working remotely has a lot of benefits that are very appealing. No more having to commute for starters, more time to spend with family, and lower stress levels when you don’t constantly have a boss standing over your shoulder while you do your work (ummmm… yes please!).

All that said getting a gig that allows you to work from home isn’t always sunshine and rainbows. The fact of the matter is there are scammers who prey on work-from-home job seekers. They waste your precious time, they will often attempt to take your money as well as your personal information. At a time where we need to be spending less and focusing on bringing dollars in the door, we certainly don’t need fall victim to a scam.

Okay so what exactly are work-from-home scams?

First we have to identify what the goal of the game for these scammers is: Your Data! Your data is more valuable to a scammer than some one time small transaction you could make. Falling victim to these types of scams could cost you money (either in cash or time you could have spent doing legitimate paid work), but perhaps even more sinister is the risk to your email address, Social Security number and other personal information. Once a scammer has this, they can use it to steal your identity or sell it to the highest bidder.

The Scams

Here is a list of business types that are at high risk for work-from-home job seekers:

• Multilevel Marketing :

  Multilevel Marketing or MLM is a method of promoting products through independent contractors who push them locally. It requires you to recruit more of YOU, under you. This is also commonly referred to as a pyramid scheme as it requires an investment on your part with no guarantees.

• Internet Business Coaching :

  Listen we all have something to learn, and why not get it from the best? The problem is, often times, the best in the business are focused on their businesses or their retirement. They are often not out there looking to take on clients to teach them the ways of their success.

• Internet surveys and searches :

  A HUGE waste of time. These schemes often promise you cash and/or prizes for participating in surveys. That’s right, just sit right there and we’ll ask you all sorts of questions and pay you for it. The devil is often in the details however. 90% of the time you’ll do a ton of surveys and follow the steps but still not qualify for the pay or the prize. Avoid these at all costs!

• Mystery shopping :

  Some of these opportunities are very real. They will pay you to shop or dine at specific locations and report back. However if they require you to make an investment, run. A legitimate job will never ask you to pay for it.

• Medical billing :

  This scam promises big bucks for processing medical bills electronically—but first, you have to pay for the software and a list of doctors. Once you’ve handed over an initial investment, you’ll likely find that the client list is fake or the software is outdated (or both).

• Paid job listings :

  There are plenty of legitimate job sites out there, many of which you can peruse for free. However, there are scammers who will promise you a list of job opportunities (for a fee) and a refund if you don’t find employment—but that list or refund may never materialize.

• Purchasing and personal assistant work :

  There are legitimate virtual assistant opportunities out there, but if your main task is purchasing products or gifts for your prospective employer, it may be a scam. With this scheme, you pay out of pocket for and mail items you’re asked to buy but never get reimbursed.

They key is to be able to spot the red flags when seeking out work-from-home opportunities. If you have to make an investment or pay to play, you should just walk away. It’s not worth the time or the hassle.

Conclusion

We’ve all been around long enough on the internet to have heard of the legitimate job listings sites like LinkedIn, Indeed, FlexJobs, GlassDoor, Remote.io. It’s a good idea to use trusted vendors in any circumstance but especially when trying to find a job. It’s also a good idea to cross check the job posts you find on these sites with the employers website. They will often have posts there as well that match up, so you know you are giving your information to a trusted sourc.

Try to avoid using terms like “work from home” or “work at home” when you do searches for jobs. You can instead use terms like “virtual” or “remote” or “telecommute” that will give you better results overall.

If you do fall vitim to these scams make sure to report it to all your financial institutions (especially if you have given over any payment information) and file a complaint with the FTC as well. It most likely won’t undo the damage caused, however it can help protect you and others from this specific scam in the future.