If you really want to work at home, you might be tempted by the many ads online and even in newspapers, that promise easy work and good money. It’s hard not to be tempted by these ads and promises, but you should know that many of these are actually scams.
Although the rule of thumb is that if it sounds too good to be true, then it probably is, there are some specific signs that you can watch out for which will help you avoid getting scammed.
We’ve put together a list of WAHM scams below, along with some tips on how to avoid them.
Multi-Level Marketing Schemes
Multi-level marketing (MLM) schemes are businesses that rely on a network of people to sell their products or services. You may have been approached by someone offering you the chance to make money by selling products or services for a company, and then earn a commission on every person you recruit to do the same.
While there are some legitimate MLM companies out there, many of them are actually scams. The main way to tell if an MLM company is a scam is if they require you to pay a joining fee. Legitimate MLM companies should not require you to pay anything to join.
Another way to tell if an MLM company is a scam is if they promise you that you will make a lot of money. While you can make good money with some MLM companies, no one can guarantee how much money you will make.
Paying for a “Job”
One of the most common WAHM scams is when someone offers you a job, but then asks you to pay a fee to get started. This might be for things like a start-up kit, training materials, or even just to “show your commitment” to the job.
If you are ever asked to pay a fee to get a job, that is a red flag that it might be a scam. Legitimate companies should not require you to pay anything to start working for them.
Another variation of this scam is when someone asks you to pay for a “background check” or other type of screening before they will give you the job. While some companies do require these things, they should not ask you to pay for them.
A pyramid scheme is a type of scam where people are recruited to invest money in a company, and then earn money by recruiting other people to do the same. The problem with these types of schemes is that there is no real product or service being sold, so the only way for people to make money is by recruiting more people into the scheme.
Pyramid schemes are illegal in many countries, and they are definitely a WAHM scam that you should avoid at all costs.
How to Spot a Scam
Now that you know some of the most common WAHM scams, how can you spot them? Here are a few things to look out for when you are considering a work-at-home opportunity.
Does the company require you to pay a fee to start working for them?
If yes, this is probably a scam. You shouldn’t have to pay anything to start working for a company.
Does the company promise you that you will make a lot of money?
Again, if yes, this is probably a scam. No one can guarantee how much money you will make.
Does the company ask you to invest money in them?
You should never have to invest money in a company to work for them. The only exception to this is if you are starting your own business.
Does the company require you to recruit other people to work for them?
You are probably looking at a pyramid scheme if the company asks you to recruit other people. These types of schemes are illegal in many countries, so you should avoid them at all costs.
If you see any of these red flags, it’s a good idea to stay away from the company. There are plenty of legitimate WAHM opportunities out there, so there’s no need to take the risk of getting scammed.
If you do need to make an investment in product or materials (not for the job itself) to get started with a company, make sure you do your research first. You can check sites like the Better Business Bureau to see if there have been any complaints against the company.
Always do your research and due diligence before getting involved with any work-at-home opportunity. There are plenty of legitimate WAHM opportunities out there, but there are also a lot of scams. By being aware of the most common WAHM scams and knowing what to look for, you can avoid becoming a victim.