Beware Bogus Homeworking Scams

Cardiff’s Trading Standards is warning people to be wary of bogus home-working schemes that promise good wages and flexible working, but are really scams that trick people out of their money and never deliver payment.

Conmen operate home-working scams by placing adverts and promotional literature in newspapers, magazines, shop windows and via email and social media, luring in people who are attracted to the offer of good money for jobs that can be done easily from home.

These schemes often require a registration fee or an upfront payment to receive a starter pack. In most cases the payments disappear without trace and the firm cannot be contacted as no name or number appears in the advertisement or the number given is unobtainable.

In another twist, once work is completed and sent back to the company, it is returned as sub-standard so people will not receive any wages.

Evidence shows that home-working scams target the most vulnerable people in society, often mums and pensioners who are on low incomes and are attracted by the promise of earning some extra cash without having to go out of their homes to work. Often people are taken in by the fact the advertisements for these home-working schemes appear in reputable magazines and papers.

Deputy Leader of Cardiff Council, Councillor Judith Woodman, said: “These conmen prey on vulnerable individuals and promise them a solution to their problems. They offer good money for easy work, but really they rip people off and leave them out of pocket. A good way to tell the difference between a legitimate scheme and a scam is to ask if you are required to make an advance payment. If you are asked for money up front alarm bells should ring – avoid at all costs advertisements or firms, which ask for money before work starts. Legitimate home-working schemes will not ask you to do this.”

This quick guide will enable you to tell the difference:

  • Avoid at all costs advertisements or firms which ask for payment of a sum of money before work starts, or to pay for a ‘starter kit’ evenbefore you are told what the work is.
  • Avoid schemes where home-workers have to buy or rent equipment or raw materials, and then sell the finished product.
  • Avoid firms whose advertisements or promotional literature give no details – suchas the full name and address of the advertisers, a clear     description of the work, whether you will be employed or self-employed, and the likely level of earnings. Details of any costs to the consumer should be given, and any other limitations or conditions. If you are not     satisfied on these points, don’t pay any money to the firm.
  • Remember there are no get-rich-quick schemes: the only people who make money are the scammers.

If you have already paid money into a scheme that is not delivering:

  • Complain in writing to the company concerned, stating that you will take civil action through the courts if your money is not repaid. Copy your letter to Trading Standards. They may investigate if they receive a large volume of complaints. They can also offer advice on how to take     court action.
  • Complain to the Advertising Standards Authority who can investigate complaints about misleading advertising.

For advice on any home-working problems, contact Trading Standards on: 02920 87 2059 or by email: [email protected]

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