Employment scams are now the second riskiest, according to a new report from the Better Business Bureau. Employment scam reports submitted to BBB Scam TrackerSM were up 23.1 percent from 2021 to 2022. The annual study looks at scam data reported to the BBB Scam TrackerSM and combines the number of times a scam was reported, how often it resulted in monetary loss and the amount lost to determine the riskiest scams of 2022.
During employment scams, applicants are led to believe they are applying for, or have just been hired for, a promising new job when instead they have given personal information to scammers. The con artists will often ask the applicants to pay for training or equipment with the promise of reimbursement. In another variation, a person may be “overpaid” with a fake check and asked to wire back the difference or pay a specific vendor. In reality, the money flows back to the scammer. This is the riskiest scam type for ages 18-34, according to the report.
A Niles man received a text regarding an application he had out on a job search site. After a short interview, he filled out hiring paperwork and was sent cashier’s checks, with instructions to cash the checks and use money transfer services to make payments to vendors for equipment necessary to his job. That’s when he knew it was a scam.
A Montcalm County woman received an email offering her a remote job to receive, re-label and re-ship packages. She did the work for a month, but when it was time to collect a paycheck, the company cut off all communication with her and the website was shut down. The scammers had used her to help forward packages likely purchased with stolen credit cards or from gift card scams.
Tips to avoid Employment Scams:
Be wary of offers that seem too good to be true & vague descriptions. Scammers cast a wide net to entice the most amount of people at once.
Research the company & job offer. Look for the listing on the company’s website and verify the person you are talking with works there.
Be wary of work-from-home offers, shipping/warehouse opportunities, and secret shopper positions. Our research found many fake job offers related to becoming a “warehouse redistribution coordinator” or similar jobs involving reshipping packages, which are often purchased with stolen credit cards.
On-the-spot job offers are a red flag. A legitimate company wants to make sure you are a good fit for the job and the company first.
Don’t fall for a fake check scam. Be wary if the “employer” asks you to deposit a check and transfer funds to another account for training or equipment or for any other reason. You should never cash a check for more than you are owed.
