THOUSANDS of internet users have been scammed this year as cybercriminals use fake job ads to trick victims.
Online job scams requiring people to complete game-like tasks for the empty promise of cash have skyrocketed in the past year as more people fall for the dangerous con, according to new data by the Federal Trade Commission.
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The FTC issued an urgent warning to Americans on how to avoid task scams, which typically start with unexpected, cryptic texts from a stranger over text or encrypted messaging apps like WhatsApp or Signal.
Consumers should watch out for red flags in the messages including when scammers say hopeful workers will complete “app optimization” or “product boosting” in an online app or platform, the FTC said.
Officials also warned that people should never pay to get paid – but the advice came too late for a college student who was scammed out of over $2,000.
The student and waitress, who shared her story on Reddit, said she received a text message about a potential job and eventually got the job after going through an interview over Zoom instant messaging.
“One of the things discussed with me was that I needed a list of work materials – technical items including an Apple computer,” the Redditor recalled.
“I was told this starter pack cost $2,450 and would be reimbursed by the company through check by mail.
“In hindsight, I’m kicking myself for not seeing the obvious signs.”
The job hunter ended up sending over $2,230 to an unknown Venmo account before the fake company deactivated their Zoom account.
“Obviously no one can afford to lose $2,000, but I REALLY can’t, that was basically my entire savings,” she said.
The Redditor isn’t alone – the typical job scam victim lost an average of $2,000 in 2022, the FTC reported.
While the Reddit user lost her money via Venmo, the FTC warned that task scammers typically prefer cryptocurrency as their payment of choice.
The FTC reported $41 million in cryptocurrency losses to job scams from the first half of 2024.
The task scams have jumped in popularity over the last four years as over 20,000 fake job postings were reported in just six months, the new FTC data showed.
Officials warned to stay away from anyone who offers to pay for a rating or “likes” online.
Bank tips for avoiding scams
As scams become more sophisticated with the use of artificial intelligence, it is important you know how to spot a scam:
- Be skeptical of online deals that seem too good to be true, especially on social media.
- Scammers will often use tactics to make you panicked so you make quick decisions – be cautious if you are told to take immediate action and verify who has contacted you.
- Chase Bank warns customers to “never return any unexpected funds without calling Chase first.”
- Never send money to someone you have only spoken to online or by phone as this is likely a romance scam.
- Unless you 100% know who you are talking to, never give someone remote access to your device.
- Never accept help from strangers at an ATM and always be vigilant when making withdrawals.
- Do not send money or click any links indicating that you have won a prize.
Source: Chase.com
“That’s illegal and no honest company will do it,” the FTC said.
The advice against task scams ended up saving a job hunter named Ami Porter, who was searching for a remote working opportunity when she found a job posting for a data entry position that seemed perfect.
ADVICE TAKEN
A person claiming to be the company’s hiring manager told Porter via Signal that she needed to buy an Apple iPhone 15 and a new computer to start her job.
Thankfully, alarm bells started to ring in Porter’s head.
“You shouldn’t have to pay to work. I was told that a long time ago,” Porter told ABC affiliate WMAR-TV.
She discovered the job listing was a fraud after researching the company and position and reported the scam to the Better Business Bureau.
“If it doesn’t seem right, double check, call the company,” Porter said.
“You know, take that extra mile, because that shows that you are proactive on protecting yourself and others.”
This year to date, there have been 78,434 reports of job scams and employment agency frauds, leading to $331.4 million lost.
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