In these tough and uncertain economic times, it may be really tempting to work from home in your spare time as a way of making a little extra cash. However, you’ve got to be extremely careful that you don’t wind up falling into a scam that could cost you time, money, or your freedom. Here are three warning indicators that you may be involved with a home business scam rather than a legitimate work-from-home employment opportunity.
Number one: you have to provide your bank account numbers or other personal information. If an employer wants you to work from home, they may very well ask you for your social security number for income tax purposes. This is not too unusual. However, they will never ask you for personal information such as bank account numbers, your mother’s maiden name, how long you’ve owned your home, etc. as a condition for employment. You’ll know it’s a home business scam when they seem more interested in getting information FROM you rather than giving tasks TO you.
Number two: your job requires you to get new workers to do the work for you. This is a variation on the typical pyramid scheme home business scam and should sound a few warning bells right off the bat. If your job is based on finding other people to work for you, it’s probably a multi-level marketing system that you don’t want any part of. Pyramid schemes like this work by having one person find other workers to sell, market or distribute materials. It benefits the upper-tier workers who have a lot of people under them. Keep in mind, though, that if you’ve just signed on to a pyramid-scheme type business, you’re automatically at the bottom. The real benefits to you will be negligible, while all of your work goes to make a few people at the top rich.
Number three: depositing money for another account. I’m sure you’ve seen the Nigerian email scheme in your inbox from time to time: a person claims to have access to millions of dollars which they can’t deposit on their own due to a variety of heartbreaking circumstances. What they want you to do, in exchange for a hefty percentage, is deposit the money for them into your account. Instead of making a bit of money on the transaction, they take all of your money from the bank account information you’ve provided. Sometimes they ask that you pay an acceptance fee of sorts, meaning that you loan them $500 and then they pay you back about 100 times that amount once their transaction has gone through. You need to watch out for home business scams that involve depositing money or helping transactions go through; usually, if someone else CAN do this by themselves, they WILL. They don’t need you to help out, because they’re going to have other, more reliable, connections.
The bottom line is, if a work-from-home opportunity sounds too good to be true, it probably is a home business scam that you don’t want to be a part of at all. If they’ve contacted you, wanting you (out of all the millions of workers, they chose you!!) to work for THEM, it’s a scam. If you have to give them money to work for them, it’s a scam. In short, if it sounds too good to be true, it probably is. You’ll either be taken advantage of, exploited, or bankrupted if you’re not careful.
There are a few legitimate home-based business opportunities out there, but you always have to seek them out. If you’re a website designer or medical transcriptionist, for example, you can often work from the comfort of your own home. But these are always jobs that you have to seek out; they will not just be dropped on your plate. And when you do seek out a home based work opportunity, you must be extremely careful and a do a little bit of research first.
Look at who the company is: they should have a website or be listed in the Better Business Bureau. Google their company (or employee) name to see if other people have written about them. That will tell you right away if there’s something you need to be aware of. If that company is really a home business scam then they’ve probably already conned a few people out of money or labor. Those victims will help spread the word, and you can benefit from their foolishness if you check out the company before you start work.
It’s going to be tempting to make a little extra cash at home, but always think about the type of work that you’re being asked to do. Is the opportunity too good to be true? Is the work shady in some way, like finding email addresses or giving a company leads? Using these tips will help you know if you’ve been suckered in to a home business scam that will cost you in the long (or short) run.
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