MightyRecruiterWork at home schemes abound, although some are easier to spot than others. For example, medical billing seems reputable, but it is one of the schemes that you should approach with caution. A good rule of thumb is to steer clear of any endeavor that asks you to invest your own money up front. Legitimate employers often discuss the job responsibilities you need to perform, the factors governing your pay and when you will be paid. They usually do not come with breathless advertisements such as: “GET IN ON ONE OF THE FASTEST-GROWING INDUSTRIES IN THE U.S.!!! START TODAY TO EARN THOUSANDS OF DOLLARS A MONTH STUFFING ENVELOPES FROM THE COMFORT OF HOME.” Here’s the scoop on common work at home schemes you should be wary of.
1. Stuffing Envelopes
At first glance, the principles behind paying individuals to stuff envelopes may seem sound, but they don’t once you realize that mailing houses exist, and these mailing houses do the job of envelope stuffing for pennies compared to what scammers promise to pay. So-called envelope stuffing companies ask you to pay an upfront fee in exchange for employment opportunities. In many cases, what you get is a letter telling you to place that same ad in newspapers to earn money.
2. Medical Billing
The required upfront investment for medical billing is hefty, sometimes as much as $6,000 to $8,000. Steer clear! You are better off using that money to enroll in a community college program, or trying to get a job with one of the large companies that train their employees in medical billing on site. It is to these reputable companies, not individuals, that medical offices tend to outsource their billing.
These scams sound legitimate, as they are even on TV and point to apparently sound reasons that medical offices want to outsource their billing. The companies promise a lucrative, flexible, wide-open market. Whether you want to work part time, full time or focus on a specific area of billing, the choice is yours—except it is not.
In exchange for your investment, you receive materials such as DVDs, an application, a contract and a contact/reference list. You are supposed to call these references to ask for a job, but in many cases, they are not true prospects, and you will never find employment.
3. Assembly Work
Assembly work often requires you to keep investing. For example, suppose you send $50 to a company in exchange for a starter kit that enables you to assemble 25 products. If those 25 products pass inspection, the company will pay you $15. You still have not broken even, and you have to spend more money to receive more assembly kits.
In other cases, the outlay occurs in a lump sum. For example, a company may ask you to buy sewing equipment and supplies for $500, and then claim your work did not meet their quality standards.
4. Open an Internet Business
One type of scheme promises easy money, as much as $100,000 in six months. All you have to do is perform searches on Yahoo and Google. Oh, and you also have to buy a CD kit that will suddenly become much more expensive in 15 minutes. When you provide your credit card number to buy the kit, you also grant permission for the company to charge you a monthly fee, say, $75, if you do not cancel within a week.
What You Can Do
If you have fallen victim to a scheme, your first recourse is to contact the company to ask for your money back. In many cases, nothing will happen, so you should move on to the Federal Trade Commission (1-877-FTC-HELP), your state attorney general’s office and the attorney general’s office in the state where the company is. Other options include the Better Business Bureau and local consumer protection agencies.
Legal Disclaimer
The content on our website is only meant to provide general information and is not legal advice. We make our best efforts to make sure the information is accurate, but we cannot guarantee it. Do not rely on the content as legal advice. For assistance with legal problems or for a legal inquiry please contact you attorney.