Consumers warned over work from home scams

Thursday, 18 February 2010 11:23

By myfinances.co.uk staff

Conmen are targeting job hunters with a rising tide of work from home scams, the Office of Fair Trading has said.

Figures released as part of the agency's Scams Awareness Month show 17 per cent of adults have been targeted by one of these swindles in the past year.

Scam artists typically offer paid, home-based work in local newspapers, shop windows or signs on lampposts, with the promise of fast cash for little effort, the OFT said.

People who sign up are asked for an upfront fee to cover materials or for access to the organiser's "secrets", but in many cases they are never paid or find there is no work available and instead must earn commission by recruiting others.

Heather Clayton, senior director of the OFT's consumer group, said: "People who are struggling financially may be particularly vulnerable to these types of scams."

She added that legitimate work from home schemes will set out in writing what the job entails, how much it pays and how and when the payment will be made.

The OFT urged anyone asked for money in advance after replying to a job advert to walk away.

According to consumer direct, around three million people a year fall victim to scams, losing an average of £850 each.

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