• MMH CPA

Protect Yourself from Work-at-Home Scams



With millions of Americans working remotely, the Federal Trade Commission is warning people about work-from-home scams. Here are some common work-from-home offers to be careful of according to the FTC:


At-Home Medical Billing Businesses. Many medical billing business opportunities are worthless. Their promoters don’t tell the truth about earnings potential and fail to provide key information.


Envelope-Stuffing Schemes. Offers that promise quick and easy income from stuffing envelopes at home usually never pay off.


Telemarketing Resale Scams. Selling brand-name merchandise from home can be a great way to work-at-home making some extra money. But fraudsters sometimes call to lure you into a resale proposition. They’re the ones who make the money – and they make it from you.


Paying to Work. Many work-at-home opportunities which require upfront payment to start working are promoted by scam artists. If you pay in, it’s likely that you will spend more than you can earn.


How to Protect Yourself


Do your research. Talk to other people and read reviews about the work-from-home opportunity you are considering. Also consider checking out a company with your local consumer protection agency, your state’s Attorney General or the Better Business Bureau.


Request the FTC’s one-page disclosure document. Sellers of work-from-home opportunities are required by the FTC to give you a one-page disclosure document that offers key pieces of information about the opportunity. Click here to see what the document looks like.


Ask follow-up questions. In addition to reviewing the disclosure document, ask the sellers follow-up questions such as the following: What tasks will you have to perform? Will you be paid a salary or be on commission? What is the basis for the company’s claims about what you can earn? When will you get your first paycheck?


Reporting a Scam


If you have spent time and money on a work-at-home program and now believe it may not be legitimate, contact the company and ask for a refund. If you can’t resolve any disputes with the company, file a complaint with the FTC or call 877-FTC-HELP.


Also file a complaint with your state’s Attorney General’s office or the state where the company is located.

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