Work from Home
The top work-from-home scams you need to avoid
If you’ve ever seen advertisements for jobs that let you make thousands or even millions of dollars from home, you are probably looking at a work-from-home scam. These scams are widespread, especially on the Internet. Some common examples include:
- Envelope stuffing
- At-home assembly
- Medical billing or claims processing
- Shipping refund recovery
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Avoid Frauds
You should be wary if any of the following clues are present:
- Anything that could probably be outsourced much more cheaply, such as mail preparation or item assembly.
- Statements like “no experience necessary.”
- A company that asks for money up front, for example in the form of an “initial investment” or to pay for training materials.
- Inflated or unrealistic statements about the amount of money you can earn.
- Businesses that are difficult to contact.
- A business structure that sounds like a pyramid scheme - these are illegal (but are not to be confused with multi-level marketing, which is a similar and legal business model).
- The task involves you having access to normally confidential information, such as medical records.
What to do if you suspect a scam
If you stumble on a job advertisement that seems fishy, there are some measures you can take to verify any claims:
- Check with the Better Business Bureau to investigate any company you are considering working for. The BBB keeps records of company behavior and complaints filed by other consumers.
- Determine what all of your costs will be. Do you have to purchase training manuals and equipment, or make long distance calls at your own expense? These charges could impact any potential earnings.
- Find out whether you are paid a commission or receive a salary, and evaluate whether this will adequately cover your expenses (of both time and money).
- If you happened to get involved in a suspicious job situation, be sure to report it to the appropriate government agency in your country (usually a bureau of competition).
While the smart consumer can find some great opportunities to work from home, it’s important to remember that the majority of these ventures deserve the label “too good to be true,” and should be avoided.
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