Avoiding Work At Home (Home Business) And Internet Scams - Part
I
Let's say you drive for an hour to work during peak traffic
hours. At work nobody appreciates your work. Still you have get
up 5.30 AM in the morning. It is tempting to fall into the trap
of Home Business scams. These scammers say exactly what you want
to hear! Easy money, make six figure income easily, fire your
boss, be your own boss, perfect home business opportunity etc.
are the catch phrases. This is very tempting. The reason you're
interested in setting up a home business is because you've seen
an ad somewhere, or you've been approached by someone.
It was all about a great home-business-opportunity that promised
you absolute freedom and you're excited. Finally, you can quit
your job! Don't quit a job until you are actually making enough
money to replace your income from your job.
If you're thinking of working from home under someone, though,
you have to realize that at least 99% of the offers out there
are scams - after all, if it was that easy to pay a few dollars
and make thousands, why wouldn't everyone be doing it by now? If
something is too good to be true then it is. Here are the
biggest scams out there, how to recognize them, and how to avoid
them.
Where did you see the Work from Home Ad?
Where did you see that work from home offer? If you got it in
the post, or by spam email, or saw it on a poster taped around a
telephone pole, then I can guarantee you right now that it's not
a legitimate offer. If you saw the ad in a newspaper, in a jobs
magazine or on a jobs website, then it's a little more likely to
be legit - but not much. Always check out any offer, and assume
it's a scam until you have iron-clad proof to the contrary.
Check the company with Better Business Bureu. Check on the
person who is offering the business opportunity.
Envelope Stuffing.
This is the most established work-from-home scam, and it's been
going for decades now. Basically, once you pay your money and
sign up to work from home, you're sent a set of envelopes and
ads just like the one you responded to. You might make some
money if someone responds to your ad, but eventually there just
won't be a market for it any more. Anyway, Work from Home offers
like these are illegal pyramid schemes.
You are never going to make any money putting letters in
envelopes - forget about it. It takes less than 5 seconds to
stuff a letter in an envelop. Why would someone pay $2 - $5 to
you for doing this? Don't you think there would be enough people
doing this already if it were so easy? Why would people go to
schools and colleges? They could just start stuffing envelops
right at the age of 10 and make a lot of money. The best thing
to do is to ignore such offers.
Charging for Training Material/ Supplies etc.
The practice of charging for training material/ supplies is hard
to pin down to any one scam - it's the way almost all
work-at-home scams work (including the envelope stuffing).
You'll be asked to make a small 'investment' for whatever
training materials (books, video/ audio tapes, CDs etc) would be
needed to do the work - and then you'll be sent some materials
that aren't worth anything like what you paid, and you'll find
that there's no market for the work anyway. They would say
things like your investment will returned when you receive your
first check. It doesn't look like you are going to make money on
this and that's why they are trying to make money from you by
selling the training material.
If any home business opportunity asks for money upfront - just
go away. A legitimate company should be willing to deduct any
'fees' from your first pay check instead of asking for money
upfront - if they won't do that for you, then that's because
they don't ever plan to pay you. Why do they say things like
your investment will returned to you as soon as you make your
first $200? Think about it.
Working for Free.
This type of scam is common with crafts. You might be asked to
work at home making clothes, ornaments, jewelry or toys and
games. Everything seems OK and legitimate - you've got the
materials without paying out any money, and you're doing the
work. Unfortunately for you, when you send the work back, the
company will tell you that it didn't meet their quality
standards, and will refuse to pay you. Then they'll sell on what
you made at a profit, and move on to trap the next person.
Never do craft work from home unless you're selling the items
yourself. Note that you don't need to be selling to consumers
(you could be selling to wholesalers), but you still need to be
the one deciding what you make and getting the money.
There is more about Home business and internet scams in Part II.