How to help protect yourself from employment scams

Types of employment scams

Fake job postings and advance-fee scams

Fraudsters create fake job advertisements that often appear on legitimate job-search websites, social media platforms, or online forums. The position may offer impressive pay, flexible work arrangements, or immediate hiring with few qualifications required.

After the victim is "hired," the fraudster asks them to pay for training materials, software, certification courses, background checks, or work equipment before starting the job. Once payment is made, the fraudster disappears.

Example: You apply for a remote administrative position advertised on a job-search website. After a brief online interview, the “employer” offers you the job and says you must purchase equipment or pay for training before you can start. They may send you an invoice, direct you to a specific vendor, or promise to reimburse the cost with your first paycheck. After you send the money, the employer stops responding, and you realize the job posting and offer were fake.

Money mule scams

Fraudsters offer what appears to be legitimate work involving receiving, depositing, transferring, or forwarding money on behalf of a company or client. These roles may be described as payment processing, financial administration, or account management positions.

The victim is often instructed to deposit a check, receive an electronic payment, or transfer funds to another account while keeping a portion as a commission. However, the funds may be tied to criminal activity, and victims may be left responsible for financial losses when fraudulent transactions are discovered.

Example: You are hired for what appears to be a payment-processing or account-management position. Your new “employer” sends money to your account and instructs you to transfer most of it to another account while keeping a percentage as commission. They may tell you this is a normal part of processing customer payments or moving company funds. In reality, the money may be connected to criminal activity, and you may be held responsible when the fraudulent transaction is discovered.

Recruitment and recruiter impersonation scams

Fraudsters impersonate a real recruiter, hiring manager or organization and contact job seekers directly through email, text message, social media or messaging apps. Unlike a fake job posting, this scam relies on the identity and reputation of a legitimate person or organization to appear credible.

The fraudster may direct the applicant to a fake website or form, ask them to download software, or request personal or financial information.

Example: You receive an unexpected message from someone claiming to be a recruiter for a well-known company. The sender uses the company’s logo, the name of a real employee, and an email address or profile that looks legitimate. After a short exchange, they direct you to a professional-looking onboarding form or website and ask for your Social Security Number (SSN), banking information, or copies of identification. In reality, the recruiter and hiring process are fake, and the fraudster is trying to steal your personal or financial information.

Red flags to watch out for

• Unexpected job offers received through email, text message, social media, or messaging apps.
• High-paying jobs that require little experience or promise "easy money."  
• Little or no interview process before receiving an offer.
• Requests to send money for training, equipment, certification, or application fees.
• Requests to receive, deposit, or transfer money on behalf of an employer.
• Requests for sensitive information, such as your Social Security Number (SSN) or banking information, early in the hiring process.
• Pressure to act quickly or accept a limited-time offer.
• Job postings that are vague, poorly written, or seem too good to be true.

Tips to help protect yourself

• Research the employer before applying or accepting a position.
• Verify job opportunities through the company's official website or careers page.
• Be cautious of unsolicited job offers.
• Never send money as part of a job application or hiring process.
• Avoid jobs that involve receiving or forwarding funds.
• Confirm job offers before sharing sensitive personal information.
• Carefully review links, email addresses, and website URLs for signs of impersonation.

The bottom line

Employment scams can target anyone looking for work. Fraudsters often rely on urgency, attractive offers, and convincing impersonation to gain trust and exploit job seekers.

If a job opportunity seems too good to be true, requires upfront payments, or asks for sensitive information before you've been hired, pause and verify the opportunity through trusted channels before proceeding.