How to Spot Work-From-Home Scams

Work from home scams are fake job offers built to take your money, your personal information or access to your bank account, usually by asking you to pay upfront, deposit a check or move money for someone else. They copy the look of real remote jobs, so the way to spot them is to watch what they ask you to do, not how professional they look.

The problem is growing. The FTC reports that losses to job scams rose more than threefold from 2020 to 2023, from about $90 million to about $286 million, and reached $220 million in just the first half of 2024. This guide explains how the main schemes work, the red flags that give them away, and exactly what to do if you've been targeted.

What are the warning signs of a work from home scam?

The clearest sign is a request for money: to apply, to train, to buy equipment or to unlock pay. Honest employers, in the FTC's words, "will never ask you to pay".

Other red flags that show up again and again in FTC, FBI, UK, Canadian and Australian guidance:

• You were contacted first about a job you didn't apply for, often by text, WhatsApp or social media.
• The pay is high for very simple work, like rating products, liking videos or "optimizing" an app.
• The interview happens only by chat, or there is no real interview at all. The FBI lists interviews not held in person or through secure video as an indicator.
• The recruiter uses a personal email address or a website that is almost, but not quite, the company's real domain.
• You're asked for sensitive data early: Social Security number, bank login, ID photos, before any verified offer.
• You're sent a check and told to buy equipment, gift cards or pay a "vendor" from it.
• You see earnings you can't withdraw until you deposit more money.

The most common work from home scams, explained

Each scheme below has a slightly different script, but they all end the same way: money flows from you to them.

Task scams

These are the fastest-growing type. According to the FTC, reports rose from about 5,000 in all of 2023 to about 20,000 in the first half of 2024, when they made up nearly 40% of job scam reports. You're paid small amounts for early tasks, then told to deposit money, often crypto, to "level up" or unlock bigger commissions. The FBI describes a fake dashboard showing earnings that cannot be withdrawn.

Fake check scams

You're "hired", sent a check and asked to use part of it for equipment or to pay someone else. The FTC explains that banks must make deposited funds available quickly, but "fake checks can take weeks to be discovered". When it bounces, you repay the bank.

Impersonating real companies

The FTC has warned about scammers posing as recruiters for well-known companies on LinkedIn and other job platforms, complete with official-looking offer letters and logos. The giveaway is what comes next: a request to pay for equipment through cash, Zelle or PayPal, or to send ID and bank details "for paperwork".

Why job seekers are easy targets

Scammers go where people are already sharing contact details and hoping for a reply. The Canadian Anti-Fraud Centre notes that fraudsters often reach people by text, WhatsApp, email or Messenger after they've posted a resume on job sites. The FBI has also warned that criminals exploit weaknesses on recruitment websites to post fake listings that copy real companies' details.

That's why a message that seems to know your background isn't proof of anything. Your resume may simply be public.

Are chat-only interviews always a scam?

Not always, but they are a serious warning sign on their own. Real employers usually interview by phone or video, often with more than one person, and many run skills tests.

A chat message to schedule an interview is normal. Being interviewed and hired entirely by text, without ever hearing a voice or seeing a verifiable company email, is not. If you're unsure, contact the company through the phone number or email listed on its own website and ask whether the role and recruiter are real.

For what a genuine hiring process looks like, step by step, see how to get a remote job.

How to check a job offer before you say yes

Run these checks on every unexpected offer. They cost nothing and stop most scams.

1. Find the job on the company's own careers page. If it isn't there, ask the company directly.
2. Search the company name plus "scam", "review" or "complaint". The FTC suggests exactly this.
3. Compare the pay with official data. Our breakdown of how much you can make working from home lists BLS medians for common remote roles. Pay far above that for simple tasks is a warning.
4. Talk it over with someone you trust before sending money or documents.
5. Only share tax and banking details after a verified written offer, through the employer's official onboarding system.

Want a structured way to find real openings from the start? Our work from home jobs guide includes scam checks at every step, from searching to accepting an offer.

What to do if you've been scammed

Move quickly. The sooner you act, the better your chance of stopping payments and limiting damage.

• Contact your bank or payment provider immediately and ask them to stop or reverse the transaction. This applies to cards, bank transfers, payment apps, wire transfers and crypto exchanges.
• Stop all contact with the scammer, but keep messages, emails and transaction records.
• If you shared your Social Security number or ID, in the US report it at IdentityTheft.gov and consider a credit freeze.
• Beware of "recovery" services. The FBI warns against paying anyone who promises to get your crypto back.

Where to report work from home scams

Reporting helps authorities spot patterns and warn others.

Also report the fake posting or profile to the job site or social network where you found it.

Next steps

Knowing the scams is only half the picture; the other half is knowing where the real jobs are.

• See our list of legit work from home jobs and what each pays.
• For a broader checklist on any online job, read how to tell if an online job is a scam.
• Explore other ways to earn in our guide to making money online.

When you're ready to search with a plan, our guide on finding legit work from home jobs walks you through it.