According to the Federal Trade Commission, Americans lost more than $68 million to counterfeit job offers and business opportunities in 2023(Source: Forbes)
When you are searching for jobs online, you should be very cautious. Swindlers capitalize on individuals’ desperation for employment. They create bogus job adverts that look authentic to steal your cash or personal details.
I am going to give examples of common forms of current job scams. You are going to learn the signs of danger. So it is good always to know what is happening around you which will keep you safe from falling into their plan this year.
Almost 14 million people were affected by job scams in early 2022. In total, the losses amount annually up to $2 billion throughout the United States and Canada. It’s a very scary number! But don’t panic; this article will guide you so that you can easily spot job scams when they appear.
Common Types of Work-From-Home Scams
I personally faced scammers on LinkedIn who took my interview on a zoom chat. I also get many WhatsApp messages every day from scammers. There are some common strategies. Here I will talk about those so that you can save yourself from scammers. Many people like me get trapped by scammers looking for side hustles.
Fake job listings and postings
Scammers create fake job listings that look very real. They post these on popular job sites and company pages. The goal is to get you to apply and share personal information.
For example, a scammer may post a job for a “package inspector”. The listing has the name of a real company. But when you apply, they ask for your Social Security number and bank details.
To spot fake listings, look for red flags. Vague job descriptions, poor grammar, and unrealistic pay are warning signs. Always go to the company’s official website to verify the job is real before applying.
Reshipping or postal scams
Reshipping scams trick you into receiving and mailing packages for criminals. Scammers post fake job ads for “package processing assistants” or similar titles. They promise easy money for reshipping packages from your home.
Here’s how it works: You receive packages with expensive goods purchased using stolen credit cards. The scammer asks you to repackage the items and mail them, often overseas. They may even send you counterfeit postage.
Red flags include vague job descriptions, unrealistic pay, and being asked to use your home address. Legitimate companies will never ask you to receive and reship packages from your residence. If caught, you could face charges for mail fraud or handling stolen goods.
Envelope stuffing and data entry scams
Envelope stuffing and data entry jobs are common work-from-home scams. Scammers advertise these jobs with promises of easy money. They claim you can earn thousands by stuffing envelopes or entering data.
For example, an ad may say “Earn $5 per envelope stuffed! Start today!” When you respond, they ask for a fee to get started. But after paying, you realize it’s a pyramid scheme. You only earn by recruiting others.
Legitimate companies won’t charge upfront fees or promise extremely high earnings for simple tasks.
Pyramid marketing schemes
Pyramid schemes are illegal scams disguised as business opportunities. They promise easy money for recruiting new members. But in reality, only those at the top make profits.
For example, you may be told to pay a fee to join. Then you must recruit others and take a cut of their fees. The scheme relies on an endless chain of recruitment to sustain itself.
To identify pyramid schemes, watch for emphasis on recruitment over product sales. Avoid any “opportunity” that pays primarily for enrolling others rather than selling real products or services.
Fake check scams
In fake check scams, a scammer sends you a realistic-looking check and asks you to deposit it. They tell you to send some of the money to someone else. The check is fake, but it may take the bank weeks to figure that out.
For example, a scammer may “hire” you as a secret shopper. They send a check for $1,000 and tell you to buy $100 in gift cards. Then you must send them the gift card numbers. Weeks later, the bank realizes the check is fake. You lose the $100 and owe the bank money.
To avoid fake check scams, never use checks from strangers to send money or buy gift cards. If a check bounces, you will owe the bank any money you withdrew. Wait a few weeks to make sure a check clears before spending the money.
Latest Work-From-Home Scams
AI-Generated Job Listings
Scammers now use AI to create fake job listings that seem very real. They can scrape details about you from the internet. Then AI helps write personalized listings tailored just for you.
For example, a scammer may create a listing for your dream job. It mentions your skills, experience, and even location. The job description sounds perfect. But it’s all fake, designed to trick you into applying.
To spot AI-generated listings, watch for overly flattering language or unrealistic details. Check the company thoroughly before applying. If any part seems suspicious, it’s likely a scam created by AI to target you specifically.
Cryptocurrency and NFT-Related Scams
Scammers are now using cryptocurrencies and NFTs to trick people with fake job offers. They post ads for crypto or NFT-related jobs that seem very appealing. But their real goal is to steal your money or personal information.
For example, a scammer may offer you a job as an NFT artist or crypto trader. They ask you to invest in their platform or buy specific cryptocurrencies to get started. Once you send the money, it disappears with your funds.
To avoid these scams, be very cautious of unsolicited job offers related to crypto or NFTs. Research the company thoroughly and never send money or share personal details to start a job. If the opportunity seems too good to be true, it’s likely a scam.
Social Media Impersonation Scams
Scammers create fake social media profiles and pages to impersonate real companies. They use these to post fake job ads and try to recruit people. Their goal is identity theft or money theft.
For instance, a scammer may create a Facebook page using a company’s real name and logo. They post job openings asking you to send your resume and personal details. But it’s all a trick to steal your information.
To protect yourself, always verify your social media account before applying for any job. Check if it’s the official company page by looking at the username, post history, and number of followers
Latest Techniques that Scammers Use
Scammers impersonating real employers on legitimate job platforms
Scammers are now impersonating real companies on job sites like LinkedIn, Indeed, and ZipRecruiter. They create fake job listings that look very legitimate. The goal is to get you to share personal information or money.
For example, a scammer may pose as a recruiter from a well-known company. They reach out about a job opening and schedule an interview. After the interview, they send an official-looking job offer. But then they ask for sensitive data or upfront payments for equipment.
Fake interviews conducted through apps like Signal and Telegram
Scammers often conduct fake job interviews through messaging apps like Signal and Telegram. They claim it’s for a remote job opportunity. The goal is to get your personal information.
For example, you may receive a message about a “data entry” job. They ask you to download an app for the interview. After some basic questions, they “hire” you. But then they request sensitive details like your bank account information.
To identify this scam, be wary of interviews only through text apps. Legitimate companies use video calls or meet in person.
Scammers posing as recruiters and sending unsolicited job offers
Scammers often pose as recruiters and send unsolicited job offers through email or social media. They claim to have found your profile and think you’re a perfect fit. But it’s a trick to get your personal information.
For example, you may receive a LinkedIn message about a high-paying remote job. The “recruiter” says they’re impressed with your experience. They ask you to send your resume and fill out an application. But the application asks for sensitive details like your Social Security number.
To avoid this scam, be cautious of unsolicited job offers from unknown recruiters. Legitimate recruiters will provide their company’s name and contact information.
Red Flags to Look Out For
Requests for sensitive personal or financial information upfront
- Scammers may ask for your Social Security number, bank account details, or credit card information before you start the job
- Legitimate employers will not require this information until after you’ve been hired and have filled out official paperwork
Requests for payment or money transfers before starting the job
- Scammers may ask you to pay for training materials, software, or equipment before you begin working
- They may also request that you transfer money or purchase gift cards as part of your “job duties”
- Real employers will never ask you to pay to start a job or send them money
Unrealistic salaries or claims of high earnings with little effort
- Scammers often promise extremely high salaries for simple tasks or little work
- They may claim you can earn thousands of dollars per month with minimal effort
- If a job sounds too good to be true, it probably is a scam
Unprofessional communication, poor grammar, and typos
- Scam job postings and emails often contain poor grammar, spelling errors, and typos
- Legitimate companies usually have professional communication and well-written job descriptions
Vague job descriptions that lack specific details about the role
- Scammers may post vague job descriptions or lack details about the actual work involved
- They may use buzzwords like “work from home,” “flexible hours,” or “no experience needed” to attract applicants
- Genuine job postings will provide clear details about the role, responsibilities, and qualifications
Interviews are conducted solely through messaging apps or chat
- Scammers may insist on conducting interviews only through text messaging apps like Telegram or WhatsApp
- They may claim this is for convenience or because the company is fully remote
- Real employers will typically use video calls or in-person interviews, especially for the final stages of the hiring process
Pressure tactics and a sense of urgency to accept the job
- Scammers often use pressure tactics to get you to accept the job quickly without thinking it through
- They may claim the offer is only available for a short time or that many other candidates are interested
- Legitimate employers will give you time to review the job offer and ask questions before making a decision
How to Protect Yourself from Work-From-Home Scams
- Research the company and job opportunity thoroughly
- Be cautious of job postings with unrealistic pay or vague descriptions
- Never pay upfront fees for training, equipment, or software
- Don’t provide personal or financial information until after being hired
- Conduct interviews through secure video calls, not just messaging apps
- Avoid jobs that require you to cash checks and wire money
- Be wary of unsolicited job offers from unknown recruiters
- Don’t fall for pressure tactics or a false sense of urgency
- Trust your instincts if a job opportunity seems too good to be true
- Check for proper contact information, including a physical address and phone number
- Ensure the email address and domain of the employer match the company website
- Be cautious of job offers that come from free email providers like Gmail or Yahoo
- Don’t click on links or download attachments from unknown sources
- Never share your Social Security number or bank account details until after being officially hired
Resources for Reporting Scams
Federal Trade Commission (FTC)
You can file a complaint with the FTC at ftc.gov/complaint or by calling 1-877-FTC-HELP (1-877-382-4357). The FTC takes action against fraudulent operations, so providing them with details about the scam can help prevent others from falling victim.
Local Law Enforcement
Contact your local police department’s non-emergency line to report the scam. Provide as many details as possible about the fraudulent scheme and any financial losses you may have incurred. They can investigate the matter and take appropriate action.
Job Boards and Platforms
If you encounter a scam on a job board or website, report it directly to the platform. Most have built-in systems for flagging fraudulent listings. Provide screenshots and specifics to help them identify and remove the scam promptly.
Internet Crime Complaint Center (IC3)
The IC3 is a partnership between the FBI and the National White Collar Crime Center. You can file a report at ic3.gov if the scam occurred online. They track internet-facilitated criminal activity and work to combat these threats.
Better Business Bureau (BBB)
The BBB allows you to report employment scams on their website, BBB.org. They help resolve disputes in the marketplace and alert the public to schemes that aim to defraud job seekers and businesses.
State Consumer Protection Offices
Each state has a consumer protection office that enforces laws against deceptive business practices. Contact your state’s office to report job scams operating locally. They can investigate and take legal action as needed.
Wrapping Up
With remote work becoming more popular, work-from-home scams are on the rise. But there are ways to avoid falling victim to them.
Before applying for a job, research the company thoroughly, verify any given information, and don’t share personal or sensitive details or pay any upfront fees. Be cautious of vague job descriptions and offers that seem too good to be true.
If you notice anything suspicious, report it immediately.
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