Tuesday, March 4, 2008

What are the types of freelance job scams on the Web


What are the types of freelance job scams on the Web?
Have you even got scammed lately? Please share freelance scams you know and tell us briefly how these scams work so it can help us avoid getting trapped if we ever encounter one in the future. Many thanks! ( No names please, just the nature of these jobs )

Other - Business & Finance - 1 Answers
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1. Envelope-stuffing - You have to send in your one-time registration fee to get started. When you do this, the scammer has just made a nice profit at your expense. If the fee was $500 and you sent it to the person who placed the ad then, you guessed it, you just lost $500. After sending your money, the scammer will send you your information to get started at stuffing envelopes for money. This material will consist of a letter telling you to send the same ad that you answered to other people, or place a similar ad in various publications (this is not cheap to do!). When you mail off the Get Paid to Stuff Envelopes offer to somebody else, you have stuffed your envelope. If the victim that you are now unwittingly trying to scam answers the ad and sends the scammer his/her $50, you will get your payment of a few dollars for stuffing the envelope. You will be spending money to advertise the envelope stuffing and will get (we hope) a very, very low response rate. 2. Home product assembly - Some of the home assembly offers promise as much as $30 an hour for this kind of work. The job described would require that you make baby clothes, jewelry, Christmas ornaments, small toys, plastic signs or any other product you can think of. As you can imagine, a lot of people jump at this opportunity only to discover that the whole thing is a scam. What ends up happening is that whoever falls for this ends up paying for a lot of tools and materials to produce the goods for a company that has promised to buy them. One of the ways they get you is by insisting that only certain materials and tools are used so that even if you already have something comparable you will need to purchase theirs. They will also insist that you use only the supplies they offer in order to insure product quality and uniformity. Once you have sent in your money, the supplies and directions you receive will be of far poorer quality than anything you could have found on your own. After you have assembled the product with the materials provided and using only the tools you purchased from them you will find it tricky to impossible to obtain any kind of payment for your hard work and investment. What you will be told is that the work you've done doesn't measure up to their quality standards. No matter what you try they will have some way of refusing your work because it isn't to their standards which is almost certainly mentioned somewhere in your business agreement. 3. Money mules schemes - Fraudsters contact prospective victims with "job vacancy" adverts via spam emails, letters, newspaper job adverts, Internet chat rooms or job search web sites. Jobs are usually advertised as a "financial manager" and suggest that no special knowledge is required. The fraudsters convince the victim to come and work for their fake "company". Some fraudsters even ask mules to sign official-looking contracts of employment. Once recruited, money mules will receive funds into their accounts. These funds will have been stolen by the fraudsters from another account that has been compromised. Mules are then asked to take these funds out of their account and to forward them overseas (minus a commission payment) typically using a wire transfer service. Acting as a mule is an illegal activity. When caught, money mules often have their bank accounts suspended, containing *all* of their money. 4. As a general rule if they offer you something to make money and in exchange they want you to pay a fee in advance for their service or they want you to buy something from them is most likely a scam. If something sounds too good to be true, it probably is. That is the rule and there is no exception


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