There are banking scams, Social Security scams, and scams aimed at retirees searching for a work-from-home job. The thieves behind these scams will do whatever they can to separate you from your personal identity and money.
Scammers are particularly interested in contacting seniors because they assume retirees have the most money to steal. They want your money, whether it's your Social Security benefits, pension, or retirement plan.
Keep in mind: It's not always easy to realize you're being scammed. Scammers create fake company websites or clone real websites. They even create documents that look exactly like real tax, personal information, and banking deposit forms. They can come off as professional and sincere and lull you into believing they have a legitimate job to offer.
Here are some of the most common work-from-home scams and how to avoid them.
Image source: Getty Images.
The "you got the job" scam
Imagine you post your resume on an employment site, like Monster, Indeed, LinkedIn, or ZipRecruiter. Someone posing as a business owner or recruiter contacts you and initiates an online interview through video chat, email, or text message. Shortly after the interview, you're told you've got the job and are provided with employment documents to fill out.
It can be challenging to tell a scam from the real thing because new employees at legitimate companies are also asked to fill out job-related documents. However, if asked to provide a picture of your driver's license, bank account numbers (so the company can "pay" you via direct deposit), your Social Security number, and your home address, don’t do it until you’ve vetted them and know it’s a legitimate job.”
Once you've provided that personal information, the scammer has all they need to assume your identity, empty your savings account, open credit cards, and take loans out in your name. The scammer disappears, and you never hear another word about the job.
The "reshipping" scam
The person behind this scam may offer you a job as a quality control manager or virtual personal assistant. Once "hired," you're told part of your job is to receive packages at home, get rid of the original packaging and receipts, repackage the products, and reship them to a specific address provided by your employer. The address may be in the U.S. or overseas.
The products you reship are often high-priced items, like name-brand electronics. Reshipping is never a legitimate job. Anything you're repacking and sending to a third-party has likely been purchased using stolen credit cards.
Often, the company will promise you a paycheck after one month of work, but when the check doesn't arrive and you attempt to contact them, they're gone. In addition, depending on how much personal information you provided them, you may find yourself dealing with identity theft.
The "mystery shopper" scam
To be clear, there are legitimate mystery shopper jobs, and they can be a perfect fit for a retiree. Thanks to scammers, though, you have to be careful. If asked to pay for anything upfront, including certifications, directories of jobs, or a job guarantee, it's a scam. A real employer will never require you to pay for a job.
The "job placement service" scam
Speaking of upfront payments, the job placement service scam involves someone pretending to be from a temporary agency, staffing firm, or headhunter. Typically, they'll promote outdated or fake job listings and charge upfront fees for their "services."
Again, if you're asked to pay a fee, walk away. It's a scam.
Red flags
The following signs should serve as red flags, warning you that you might be getting scammed:
- The job sounds too good to be true, and grand promises are made.
- The wage offered is notably higher or lower than the average wage for that job (you can check current wages online).
- You never applied to the company's official career website.
- You can't find the job posting on the real company's job page (if there is a real company).
- The interview is conducted through Google Hangouts, Telegram app, TextFree app, TextNow app, or WhatsApp.
- Emails are sent from free accounts, such as Gmail, Yahoo, or Hotmail.
- The potential "employer" requires you to provide personal information. For example, you may be asked for a copy of your driver's license, passport, or Social Security number during your interview.
- You're required to supply your bank account or credit card information. From this account, the scammer can steal your pension, annuity payments, or other retirement income.
- You're required to pay something up front to get the job.
- You're asked to purchase equipment and told the company will reimburse you. The scammer tells you whom to send the money to for the purchase.
- You must deposit money into your personal bank account and transfer it to someone you don't know.
If you're hoping to land a work-from-home job, they are available. As you search, pay special attention to any situation that feels "off" because it just might be. No scammer has the right to reduce your net worth through fraud.
