Anyone who has looked for a job has almost certainly seen numerous advertisements that sound too good to be true. In the current difficult economic times with many job seekers desperate to find employment, these ads seem even more prevalent. Like most things in life, if an ad seems to good to be true it most likely IS exactly that. Unfortunately for the job seeker, most of the 'too good to be true' ads will turn out to be scams set up by con artists to rob them of their money, identity or good name.
From envelope stuffing schemes to mystery shopper promotions, the world of scam job ads is wide and increasing in both complexity and sophistication. The biggest problem with many work at home schemes is they require the job seeker to to invest their own money to get started; and once the worker does this there is usually little or no return on their investment. In many cases the worker will have to foot the bill for supplies, starter kits, training, leads, newspaper advertisements, fees for background checks and anything else they can be charged for. Other ads may promise easy money with no sales involved, but in fact the work may involve a great deal of sales in a difficult environment. Still other ads masquerade as legitimate, well known companies to dupe job seekers into thinking the opportunity is legitimate.
Sheila Adkins, the Director of Community Relations for the Council of Better Business Bureaus, says that while there are some credible work at home opportunities to be found, many of the ads we see are not the real thing. She states further there are clues that can help the job seeker determine if an ad is a great opportunity or a devious scam.
1. Watch for red flags
"One sure red flag is when you review the ad and it does not say specifically what the work will be," Adkins said. Another is the phrase 'no experience necessary', especially when coupled with the promise of big money in a short period of time. Promises such as these should tell the job seeker the opportunity is not legitimate. Be especially cautious with any company that operates outside the country.
2. Do your own research
Adkins suggests doing some investigative work in trying to separate the good from the bad. She suggests checking with the Better Business Bureau and other state business offices to see if the company is licensed and registered to do business in your state. Most fraudulent companies will not have gone through the process of filling out the proper paperwork and obtaining the proper licensing and organization affiliations.
3. Insist on a face-to-face meeting
If the company representative wants to conduct all business via e-mail, telephone and fax, be cautious. While it's possible the opportunity could still be legitimate, Adkins suggests the worker should always ask for a face-to-face meeting before taking on any business opportunity.
4, Don't give out personal information
Many con artists use business opportunity schemes to gather personal information for identity theft. Information such as social security numbers, bank account or credit card numbers should never be given out, especially over the phone or on the Internet.
5. Look out for 'pay to play' opportunities.
"Beware of any company that requires money to be sent or involves large start up costs," Adkins said. There are some work at home opportunities that are legitimate and do require an initial investment; for example, selling Mark Kay cosmetics or Avon products. However, those are established companies that have been doing business for years and have positive reputations.
6. Ask lots of questions.
If a job seeker has found a possible opportunity and has scheduled a face to face meeting they need to be prepared to ask several questions. Among the questions that should be asked are:
* Who will be paying me?
*How often will I be paid?
*What exactly will I be doing?
*Is this contract based or permanent work?
*Where is your company's physical location?
*Does your company operate under any other names?
*What is the total cost for me to participate in this program?
*What is your company's privacy policy?
Any time a job seeker is not satisfied with the answer to any of their questions, they should simply walk away. Even if they are satisfied with the answers they receive the information should still be verified.
For more information:
Struggling Economy Makes Environment Ripe for Job Scammers
Front Sites Con Job Seekers Into Giving Personal Information
Job Scams: Avoiding Employment Scams
Arizona Better Business Bureau
Watch a video on YouTube on Job Scams from FTCVideos (the Federal Trade Commission).
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