Protect yourself from employment scams
Looking for a job can feel like a full-time job itself. It’s even harder when you have to figure out which job postings are real and which ones are scams. Just like other online scams, job scams trick people into sharing personal information that criminals use to steal money. The good news is that experts are working to stop these scams, and they have some tips to help keep you safe.
The Federal Trade Commission says opens in a new window that in 2024 alone, victims lost more than $3 billion to online scams. They say that between 2020 and 2024, reports of fake job scams and fake employment agencies nearly tripled, resulting in victims losing $501 million.
In order to avoid employment scams, it’s important to understand how they work, how to identify red flags, and what to do if you become a victim.
How do job scams work?
Scammers often post fake job listings on job search websites. Sometimes, the company name in the ad is real, but the job itself doesn’t exist. In some cases, scammers even hold fake interviews to make their scheme seem more believable.
The main goal of these scams is to steal personal information like Social Security numbers, addresses, and bank account details. This information can be used to commit identity theft.
Since real employers also ask for personal details, it can be hard to spot a scam.
By the time you realize they have used your name to open credit cards and spend money, the scammers have already disappeared."
Common job scams
One common scam happens when a fake employer tells a job seeker they’ve been hired and will receive a company laptop. “The catch is, they ask for a credit card number to pay for shipping and promise to reimburse the money later,” says Ozier. “But the laptop never comes, and as soon as they have your credit card number, they use it for themselves.”
Scammers may also offer a fake signing bonus to trick people into sharing personal information quickly.
“If you ever feel rushed or pressured to give information, stop and think,” Ozier advises. “A real employer won’t pressure you.”
Signs of a job scam
Here are some red flags to watch for:
You’re asked to pay money before starting work. Real employers don’t ask employees to pay for job applications or training.
The employer asks for personal information through text or email. Real companies usually use secure platforms for sensitive information.
The job isn’t listed on the company’s official website. If you find a job on a third-party site, check the company’s website to confirm whether it’s real.
The job posting has spelling and grammar mistakes. Poorly written job ads with strange logos may be fake.
What to do if you suspect a job scam
If you think a job listing is fake, contact the real company and report it to the job website. Many job platforms have fraud specialists who investigate scams.
You can also report suspicious job postings to the Federal Trade Commission opens in a new window or your state’s attorney general opens in a new window.
Remember, if something seems too good to be true, it probably is.
Trust your instincts. If you do a little research, you can avoid fake job postings and focus on real opportunities."
