A “work at home” scheme that didn’t work

Claims you can “Make Big Money Working From Home!” can show up online, on utility poles in the neighborhood, even on your phone. Some promotions that sound promising are cover-ups for a con, like the sham payment processing business that took more than $5.4 million from people in less than a year. The FTC stopped the operation, and has reached a settlement with two individuals and six of the companies involved. The FTC’s settlement requires the owners to surrender cash, real estate, jet skis and other items and bans them from being involved in work at home and business opportunities.

According to the FTC, the defendants claimed they ran a payment processing business. Company telemarketers recruited consumers to become business “representatives,” and promised they’d make substantial income by working from home to find clients for the business. Thousands of consumers paid up to $495 to sign on; some paid even more — tens of thousands of dollars more — for add-ons, like lead lists, marketing campaigns and “mentoring” help. Defendants took consumers’ money, but didn’t help them get accounts or make the money they’d been promised, according to the FTC.

If you’re considering a work at home or other business opportunity, do some research first. Enter the company name and the word “complaints” into an online search engine to see what people say about the company. You also can check a company’s history with your local consumer protection agency or Attorney General. Before you send money, read the information a seller must provide by law. Our one-minute audio tip has more about how to check out an offer.

Blog Topics: 
Jobs & Making Money

Comments

(FTC)Has contacted me by phone,but I do not speak English,I would like to (FTC),contact me via email. I will translate (FTC)wants to help you.

If you received a call or an email from someone saying that a complaint has been filed against you with the FTC, please disregard the call or email. It is not legitimate. You can call the agency’s headquarters at (202) 326-2222 for more information or file a complaint at 1-877-FTC-HELP.

Definitely useful tips! Always rechecked online business opportunity before try it. Checked forum or ask people who already run it. Get more payment evidence as well. On search engine also try adding "scam" in the last words.

Nice post, interesting.
Thanks for sharing.

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