Paycheck scams are a type of fraud in which scammers target individuals or businesses by offering fake job opportunities and promising high salaries and flexible schedules. These scammers often use phoney job postings on job boards and social media platforms or send unsolicited job offers via email or text. Once the victim accepts the job offer, the scammer will ask for personal information such as bank account details and Social Security numbers or request an upfront payment.
Scammers aim to deceive the victim by tricking them into sharing their personal and financial information or convincing them to send money to the scammer under the pretext of work-related expenses or taxes. The victim may discover they are victims when they notice their paycheck has not arrived or realize their bank account is empty.
Inside the paycheck scam
Paycheck scams can take many forms, but they typically involve the scammer posing as an employer and offering a job opportunity. The scammer may use a fake name or company and will often offer a position with high pay, flexible hours, and other enticing benefits.
Once the victim accepts the job, the scammer will ask for personal information such as bank account details or a Social Security number. In some cases, the scammer may ask the victim to purchase work-related equipment or pay for training, which the scammer will claim will be reimbursed once the victim starts working.
Once the scammer has the victim’s personal and financial information, they will either use it to steal the victim’s identity or drain their bank account. Sometimes, the scammer may also use the victim’s personal information to open new credit card accounts or take out loans in the victim’s name.
How to avoid paycheck scams
You can take several steps to protect yourself:
- Research the company: before accepting any job offer, research the company. Check the company’s website and social media pages, read reviews and ask around to ensure the company is legitimate.
- Don’t share personal information: never give out your bank account details, Social Security number, or any other personal information to anyone unless you are sure the person is who they claim to be.
- Be wary of upfront payments: if a job offer requires you to pay for work-related equipment or training upfront, be very cautious. Most legitimate employers will provide these or reimburse you for any costs.
- Verify job offers: if you receive a job offer out of the blue, verify it before accepting. Call the company to confirm that the job offer is genuine, and check the company’s website to ensure that the job listing is legitimate.
- Trust your gut: if something feels off about a job offer or the person offering it, trust your instincts and walk away.
Paycheck scams are common, but you can protect yourself with reviews, vigilance, and caution.
Want to stay informed about consumer concerns? Download our new mobile app, FRAUDSTER, on both Apple and Android. It’s super easy to use and will keep you up-to-date on everything you need to know. Plus, you’ll learn how to protect yourself from fraudsters! Want to know more? Check out www.FraudsterApp.com
If you’ve already downloaded FraudsterApp, click on the icon on the home screen to access the training feature.
