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February 26, 2010

Gotcha: 13 Job Hoaxes to Avoid

Job Scams

After months of unemployment, work-at-home jobs can sound mighty tempting. Advertised on Internet job sites and in Penny Saver type newspapers, these jobs promise big money for little or no experience and allow you to work in your pajamas. 

Sad to say, most of these ads are frightfully blatant hoaxes; as are ads promising to help you get a job in the federal government or as a movie extra, mystery shopper or envelope stuffer. The Federal Trade Commission recently filed seven cases against the operators of such deceptive and illegal job and moneymaking hoaxes (see list at the end of this blog).

As a result of this investigation, the FTC has partnered with Monster.com, Bing and Craigslist to help job seekers recognize cons before they cause trouble. Until this campaign gets into full swing, here are six job-hoaxes to avoid, along with a list of specific companies facing FTC charges.

 1. Rebate Processing
A 2009 Better Business Bureau warning detailed problems with work-from-home jobs processing rebates. The ads usually claim you can earn up to $1,000 a day without leaving the comfort of their home. The BBB received hundreds of complaints from victims nationwide who never earned a dime and were, in fact, ripped off for hundreds of dollars in upfront fees.

2. Cash and Product Forwarding
This hoax turns your home into a staging post for stolen cash or good. You agree to receive money or items and forward them to your "employer" overseas. In reality, the products or cash are the proceeds of a  fraud. The first time you realize it's a hoax is when the cops come knocking in response to victim complaints. 

3. Government Jobs
The ads claim to be actual listings for jobs with the post office or other government agencies. Apply and you'll learn the company is either selling info on taking application tests or charging you for access to job listings. In actual fact, you never have to pay for information about job vacancies for federal, state or local governments or the Postal Service. All jobs are publicly listed on their respective websites, at offices or advertised in local newspapers. For example, all federal jobs are listed on USAJobs.gov.

4. Pay to Work
These ads offer to find you work for a fee. While it's not illegal, a qualified agency will never charge money as they earn their fees from employers. Many times, you'll pay a fee and receive a useless list of places to apply, offers to polish your resume and/or for-fee coaching classes to pass entrance exams. 

5. Work-at-home Schemes
Earn hundreds in the comfort of your home by stuffing envelopes, searching online, assembling parts, medical billing or craft work. The list goes on and on and the offers are almost without-fail bogus. For detailed information on these hoaxes, read the Federal Trade Commissions publication on work-at-home schemes.

6. CraigsList Jobs
While CraigsList is an excellent clearinghouse for many things, it's become a swamp for job hoaxes. Avoid listings that hide the employer's identity, include unrealistically high salaries, contain many misspellings and grammatical mistakes, require you pass a security clearance before applying, or ask you submit financial info (including bank account data, social-security number, etc.). Watch out for identical ads placed in numerous cities, as well. In how many cities can one employer use a personal assistant or nanny?

FTC Law Enforcement Actions

1. Government Careers 
Government Careers claimed it could help people get postal, border patrol and wildlife jobs, as well as administrative support and clerical positions with the federal government.

2. Real Wealth
More than 100,000 people were conned into buying booklets that "explained" how they could earn money by applying for government grants and working from home.

3. Darling Angel Pin Creations
Darling advertised starter kits that would allow applicants to earn up to $500 per week assembling angel pins. Ad respondents paid between $22 and $45 to get started, and sometimes paid hundreds more for the supplies to make the pins.

4. Abili-Staff, Ltd.
Billing itself as a "hoax free" and "legitimate" job-search service, Abili-Staff sold "pre-screened" lists of jobs consumers could access after paying a fee ranging from $29.98 to $89.99.

5. Entertainment Work
This bogus company markets memberships in a Web site allegedly listing movie-extra, television and print-media jobs.

6. Independent Marketing Exchange
These jerks claimed huge earnings for those accepting such work-at-home opportunities as envelope and postcard mailing and mystery-shopper opportunities.

7. Preferred Platinum Services Network
The husband-and-wife team who owned and operated this network allegedly marketed a work-from-home scheme in which consumers were told "they could earn significant sums by labeling postcards describing a non-existent product called a 'mortgage accelerator."

Photo by jukebox909

 

Kate Forgach attended the first Earth Day at an early age. She learned to re-use tin foil and recycle buttons from parents raised during the Great Depression. Today, she has upgraded to recycling electronics, organizing Earth Day events and hoping her parents would be proud.

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23 Comments

John
This blog reminds me my experience. Even I started my business as virtual assistant. now its being my 5th year and i feel the same thrill doing this job as before. Trust me we have to consider certain facts to maintain the trill and joy for ever. As a virtual assistant its very important to keep the client satisfaction on top no matter big or small client. the quality, dedication and commitment play a crucial roll in keeping the client happy.
Erin Smith
A virtual assistant can help you grow your business by handling your administrative support tasks. You can outsource various tasks like accounting, advertising, clerical, administrative, answering phone calls, internet research, data entry and technical support tasks to a virtual assistant. And the best part is that you can relax and enjoy your vacation or holidays while all your works are done by your virtual assistant. Isnt’it sounds great?
Karen
Great information! With the economy as bad as it is, a lot of folks are looking for work they can do from home. And unfortunately there will always be cons out there trying to scam some pretty desperate people.
John
The world of virtual assistance is definitely growing. Virtual assistants can provide a lot services like adminstrative support , travel arrangements, book keeping and transcription. This can be a real blessing for small businesses which cant affored too much expenses for a full time. administrative assistant.
Lakshmi Virtual Assistant
Many of the companies are hiring virtual assistants who work from home. The reason is that they can be accessed any time and they work for you round the clock. Thanks for the post. Keep blogging. Lakshmi Virtual Assistant www.247virtualassistant.com
Backlinker
I would strongly suggest doing a really careful research before going into anything. Normally, if they require you to shell out money, always think that it is a scam rather than to regret it later. Good luck of the job search everyone!
tom
Thanks for this list. I have a friend and neighbor who has been out of work for 12 weeks and you can see the strain it is causing. The people who prey on desperate people like this should be seriously punished Thanks again
pete
For people looking for "work at home" websites .Please remember if it sounds too good to be true it probably is !
Mary
This is a meaningful article.
Lori Young
There are two steps I take before I give money to ANYONE on the internet. I use these web sites to check companies out. http://www.ripoffreport.com/default.aspx http://www.bbb.org/. I don't put ANY money on the net before using these sites.
J
It was PT Barnum
Tom
I find no reference to Joseph Bessimer
Lisa
Medical billing is not a scam. It's not necessarily a work at home opportunity though. The schools who promise to get you trained in medical billing or medical transcription for dirt cheep prices and promise you can make lots of money doing it are scams though. For medical billing, you're better off going to an accredited school for billing and coding, more information can be found on AHIMA's website. For medical transcription, a school recognized by AHDI is going to be your best bet, but not all of them are created equal either. Some of them still don't teach you what you need to know, and some people just aren't cut out to be transcriptionists no matter how much they may want it.
Jerry in Detroit
Always check out the company or website before sending money. Use a search engine like Yahoo or Google or whatever. Search words like Scam, Review, Complaint or Fraud combined with the company name or website. Many fraudulent companies know how to flood the search engines with positive reviews so read more than the first page of results on your search engine. My complaint is all the companies offering franchises through Internet websites like Monster, CareerBuilder, etc.
Gene
Why isn't the FTC investigating the biggest job scam being perpetrated on the American taxpayer. Namely the Obama job's bill. This fraud has yet to produce a fraction of the jobs it was supposed to. Even the CBO has said so. Yet Obama wants to spend yet more money to create more nonexistent jobs and no one seems ready to stop it. Maybe all the sheeple will wake up when the Chinese start cashing in on all the US IOU's they are holding.
Savannah
This agency charges $35.00 to sign on and they say they have a job for you. But after almost 11 months no calls for employment. Action employment is a scam.
Charles
As Joseph Bessimer once said "There is a sucker born every minute "
Charles
As Joseph Bessimer once said " There is a sucker born every minute "
james Kasprzak
Very good info. Thankyou.
Gilmore
I actually found my current job on Craigslist, which is in my field of study, Communications. For years after I graduated college, I was only able to get admin job cause no one would hire anyone without PR, MKT, ADV experience. However, how do you get the experience without the job? And how do you get the job without the experience. All of this said, I did have to deal with MANY scams while applying on CL, and it scared me. I still get emails asking me for sensitive info that I would NEVER give to close friends for family members, less along a total stranger. I am grateful to CL, but please be ware, and be wise when applying for jobs that are posted on this site. People are mean these days.
Michael
Has anyone heard of ITS Marketing. Its a service that charges $3k-5K to find you leads to jobs that are not public through their JMAC database,create resumes and cover letters and coach you on interviewing and negotiating. I have put the website and would appreciate any first hand knowledge of this company.
Gilmore
I actually found my current job on Craigslist, which is in my field of study, Communications. For years after I graduated college, I was only able to get admin job cause no one would hire anyone without PR, MKT, ADV experience. However, how do you get the experience without the job? And how do you get the job without the experience. All of this said, I did have to deal with MANY scams while applying on CL, and it scared me. I still get emails asking me for sensitive info that I would NEVER give to close friends for family members, less along a total stranger. I am grateful to CL, but please be ware, and be wise when applying for jobs that are posted on this site. People are mean these days.
Kate
Michael: According to my research, reputable firms never charge the applicant a fee. They charge the employer a fee for head hunting. $3K to $5K is extremely excessive for what, no doubt, will turn out to be assistance creating a resume and template cover letter.
 
 

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