You’re on the hunt for a job and encounter a fantastic posting. Terrific pay, great working conditions, and other benefits are dangled before you, the jobseeker.
The position might prove ideal. On the other hand, it could also be bait.
“Scammers love preying on those who they believe are easy targets. And few people are more vulnerable than someone in need of a job,” said Jeff Taylor, Regions head of Commercial Fraud Forensics. “If it seems to be too good to be true, chances are it is.”
In other words, don’t allow excitement over an opportunity to blind you to red flags. And they are definitely there.
Scammers love preying on those who they believe are easy targets. And few people are more vulnerable than someone in need of a job. Jeff Taylor, Regions head of Commercial Fraud Forensics
What should you look for when it comes to job scams? Here’s our list:
Work-from-Home Job Scams
A morning commute from your bedroom to the den sounds attractive, right?
Scammers advertise jobs that pay thousands of dollars monthly for working from home – often with little time and effort. Reshipping products, selling to friends and family, and starting your own business are just a few.
These postings come with the inevitable catch.
“If you must pay for a starter kit or earn some certification, it’s a cinch you’re being taken for a ride,” Taylor said. “No potential employer will ever charge you to work for them.”
Nanny, Caregiver and Virtual Personal Assistant Scams
If you’re looking for a flexible way to earn cash, being a nanny, caregiver or personal assistant might sound like just the thing. One group targeted with this scam are college students looking to earn extra income between classes and activities.
“We’re not saying those jobs are all fake,” Taylor continued. “We’re saying to be really careful. For example, students might receive an email that appears to be from their college or university. They apply, are accepted, and get a check immediately upon being hired.”
This is the notorious Fake Check Scam. The check will bounce and the bank will ask you to repay the full amount of the fake check. Jeff Taylor
Sounds good right? Except for what happens next.
A scammer posing as the employer tells the employee to deposit the check, keep part of the money, and send the remainder to someone else.
“This is the notorious Fake Check Scam,” Taylor continued. “The check will bounce and the bank will ask you to repay the full amount of the fake check. Meanwhile, the scammer keeps the real money you sent onward.”
There’s also another scheme out there, one with serious legal consequences. “If it’s a ‘job’ of depositing checks and then transferring the funds,” Taylor offered, “Then that could make you an unwitting ‘money mule’ for criminals, and you could be subject to prosecution.”
Taylor’s advice? If any job offer entails depositing a check and then forwarding a portion of the money for any other reason, you are likely a potential victim.
Mystery Shopping
Attending school or just want a side hustle? Spending time shopping seems like an easy gig. Some mystery shopping jobs are legitimate while others are not.
How can you tell? Real mystery shopping companies don’t ask you to pay for certification or other job requirements.
Job Placement Service Scams
There are plenty of honest and dependable headhunters, temp agencies and staffing firms out there. However, there are also those who will take advantage of your need for work, offering job postings that are outdated or even outright bogus.
If a placement company lures you in with an attractive job and then asks you to pay a fee, then you’re likely being scammed.Jeff Taylor
How to tell who is legit and who is not? Taylor advised, “A legitimate firm professional will typically not charge the applicant for interviews. Instead, they earn their money from the company that hires you. If a placement company lures you in with an attractive job and then asks you to pay a fee, then you’re likely being scammed.”
Government and Postal Jobs Scams
If you see a third party posting for a job with the federal government or the U.S. Postal Service, there’s a high likelihood it’s fraudulent, certainly if you’re being asked to pay a fee to apply.
“Both the federal government and the U.S. Postal Service have free websites advertising job openings,” Taylor pointed out. “And the cost to apply is free, too.”
Warning Signs of Job Scams
Fortunately, sniffing out job scammers isn’t difficult. All you need is a little research and common sense. Here are the steps you can take:
- What’s their reputation? Search the company or the person who’s hiring you, adding the words “scam,” “review,” or “complaint.” If there are no complaints, it’s not a guarantee of honesty. But a slew of complaints is a definite no-go for you.
- Ask the opinion of someone you trust. Describe the job and ask for an objective opinion. Because it’s easy to have clouded judgement when a dream job is offered.
- Never pay a fee. Ever. Anyone who asks you to pay a fee, buy a starter kit or shell out money for their certification is likely a scammer.
- Never bank on a “cleared” check. No honest potential employer will ever send you a check to deposit and then tell you to send on part of the money or buy gift cards with it. Their check will bounce, and the bank will expect you to repay the amount of the fake check.
If You’ve Been Scammed …
Whether you’ve paid with a debit card, credit card, mobile payment or any other payment option, contact the company you used to send the money. Report the fraud and ask for the transaction to be reversed.
Further, if you see a job scam, or lose money to one, report it to the FTC at ReportFraud.ftc.gov as well as your state attorney general.
That way, you can help send scammers to the unemployment line for good.
Additional Resources from Regions.com
The information presented is general in nature and should not be considered, legal, accounting or tax advice. Regions reminds its customers that they should be vigilant about fraud and security and that they are responsible for taking action to protect their computer systems. Fraud prevention requires a continuous review of your policies and practices, as the threat evolves daily. There is no guarantee that all fraudulent transactions will be prevented or that related financial losses will not occur. Visit regions.com/STOPFRAUD or speak with your Banker for further information on how you can help prevent fraud.