Today, I want to talk about online job scams – as in, scammers that are posting fake jobs to get your personal information. I got a lot of the information for this episode from a LinkedIn article by Muhammed Imran Khan.

According to the Federal Trade Commission (FTC), Americans lost $490M to job scams in 2023.

Types of Job Scams

Phishing Scams – Scammers pose as legitimate recruiters or employers. They request personal information or redirect job seekers to a fake website, where they ask for sensitive data such as social security numbers, bank account details, or login credentials. The scammers then either steal your identity or access your accounts – or both.

Fake Job Offers – Scammers post jobs with attractive salaries and benefits but require applicants to pay an upfront fee – for training materials, certifications, or background checks.

Pyramid Schemes – Think Amway, but illegitimate. No one is selling anything; you are recruited to recruit others and make an initial investment.

Payment Scams – Scammers post fake jobs that require applicants to accept funds on behalf of the company or transfer money internationally – making the job seeker an accomplice in money laundering.

Resume Harvesting – Scammers use fake jobs to collect resumes to sell personal information to third partes. Keep your address and other personally identifiable information off your resume.

Third-Party Job Application Services – You should never pay a service that purports to help improve your chances of getting a job – they often charge exorbitant fees with no actual guarantee of employment. A legitimate company of this type will be paid by employers – not candidates.

Overpayment Scams – This one is particularly prevalent in work-from-home schemes. The “employer” overpays the employee via check, then immediately asks to be reimbursed for the overpayment. The employer’s check bounces, and the employee is out the reimbursement.

I also want to briefly mention some of the specific types of jobs that lure in scammers. Besides work-from-home and pyramid schemes I’ve already talked about, there are scams for nannies, caregivers, personal assistants, mystery shoppers, modeling, and government/postal service jobs. Follow my suggestions for verifying these jobs – and never pay upfront. In some cases, these jobs could actually be dangerous.

Spotting Job Scams

Grammatical and Typographical Errors – Misspelled or misused words, sentence structure that isn’t typical, and missing words are all red flags.

Vague Job Descriptions – Think about it: a legitimate company will want to provide detailed information about the job responsibilities, requirements, and company so they attract the right candidates (and eliminate others). Scammers often provide limited or ambiguous details.

Promises of High Salaries with Minimal Effort – If it sounds too good to be true, it probably is. This includes work-from-home schemes that require you to pay for lists or materials to perform the work.

Requests for Personal Information – Legitimate employers may request information like social security numbers, bank account details, or copies of official identification documents – be cautious if a recruiter or job posting requests this information upfront.

No Company Website or Contact Information – These jobs could be posted by a recruiter who wants to keep that information to himself, so it isn’t automatically a scam. Be cautious when you can’t look the company up beforehand.

Unprofessional Communication – If recruiters’ messages are unprofessional, contain excessive grammatical errors, or use atypical language, it may be a scam. This can also include emails sent from a personal, rather than company, address. Also be aware of things moving too quickly.

Atypical Hiring Process – Scammers will often use WhatsApp or other text platforms for interviews that avoid face-to-face interaction, or they may not have any interviews at all. The process often moves very quickly.

How to Avoid Job Scams

-Report job scams to the website where you found it

-Verify the company and job posting whenever possible

-Check the recruiter’s profile on LinkedIn

-Protect your personal information

-Seek recommendations for that employer

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