Work-From-Home Scams and How to Avoid Them

Before launching MoodyWork.com, I worked in the banking industry, where I saw firsthand how work-from-home scams could devastate people’s finances. I met countless account holders who had their bank accounts shut down after unknowingly getting involved in fraudulent schemes.

Many of these individuals were looking for a side hustle to make ends meet, while others—often on fixed incomes—were so desperate for a job that they missed the warning signs. The reality is that work-from-home scams prey on hope, urgency, and financial vulnerability. To help you avoid falling victim, here are some common scams and how to spot them.

The Account Manager Position (a.k.a. Payment Processor)

This scam usually starts with an unsolicited job offer via email, often for a position you never applied for. There’s no formal interview process—just an immediate “job offer.” The company will request your checking account number or online banking login credentials.

The so-called employer will then deposit money into your account and instruct you to transfer a portion of it to their “client.” Sometimes, they’ll ask you to use the money to buy gift cards and send them to a third party.

Why This Is a Scam: This setup is a classic case of money laundering, which is illegal. Your account is being used to disguise the origin and destination of illicit funds. Banks monitor for suspicious activity, and once they detect fraud, your account will likely be shut down. Worse, you could face criminal charges.

The Quality Control Assistant Position (a.k.a. Logistics Coordinator or Package Processing Assistant)

This scam begins with an unexpected email offering a position you never applied for. The job? Receive packages at your home, repackage them, and send them to another destination.

To do this, you must provide your home address, which means you could be receiving stolen or counterfeit goods. Payment is usually made via gift cards, deposits, or checks.

Why This Is a Scam: You’re being used to traffic stolen merchandise, and once law enforcement tracks the shipments, you could be held legally responsible.

The Product Assembler Position

At first, this scam seems appealing—you’re told you’ll assemble and test products in exchange for pay. However, there’s a catch: you must pay an upfront fee to get started.

While you may receive products to assemble, you’ll likely never get paid for your work. The company has no intention of compensating you; instead, they make money off your “investment.”

Why This Is a Scam: A legitimate job never requires you to pay to work. If a company asks for money upfront, walk away.

The Secret Shopper Position (a.k.a. Mystery Shopper)

This scam involves receiving a check in the mail before you even start work. You’re instructed to deposit the check and use the funds to shop, then report back on your experience. However, before you complete your review, the employer asks you to return a portion of the money via an external transfer, wire transfer, postal money order, or gift card.

At first, the check appears legitimate—it may even be clear initially. But within ten days, your bank will discover it was a fake or stolen check, leading to a stop payment or reversal. Now, your account is overdrawn, and you’re responsible for the entire amount plus bank fees.

Why This Is a Scam: The fraudsters exploit banking delays to steal your money before the check is flagged as fraudulent. If you deposit a fake check, you—not the bank—are responsible for the loss.

How to Protect Yourself from Work-From-Home Scams

If a job offer seems too good to be true, trust your gut and research the company before proceeding. Here are a few steps to verify its legitimacy:

• Google the employer’s name along with words like “scam” or “complaint” to see if others have reported fraudulent activity.
• Check the Better Business Bureau (BBB) website to see if the company has a verified reputation.
• Avoid any job that requires you to deposit checks, transfer funds, purchase gift cards, or pay upfront fees.
• Never share your banking information or personal details with an employer unless you’ve confirmed they are legitimate.

If you or someone you know becomes a victim of a work-from-home scam, report it immediately to the Better Business Bureau, the Federal Trade Commission (FTC), and the FBI.

In Conclusion

Recognizing work-from-home scams is the first step in avoiding them. A legitimate remote job follows the same hiring process as a traditional in-office job—there should be interviews, employment agreements, and no upfront costs.

As the old saying goes: If it sounds too good to be true, it probably is. Stay vigilant, do your research, and protect yourself from falling into these traps.

 

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