How to Spot Online Income Scams Before They Cost You (Day 2)
People who are rebuilding — after prison, after addiction, after losing a job — get targeted more than almost anyone online. Scammers know you want a break and might not have someone to double-check an offer with. So before we build anything, let's make you hard to fool.
The five biggest red flags
1. You pay before you earn
"Just $97 to unlock the system." "Buy the starter kit." "Pay a small fee for your work-from-home equipment." Real employers pay you. Real platforms that let you sell (like the free ones we'll use on Day 5) take a small cut after you make a sale — not a fee upfront to "get access."
2. Specific or guaranteed income
"Make $300 a day from your phone." "Guaranteed $5,000 your first month." Nobody honest can promise that, because results depend on your skills, effort and luck. The FTC has gone after many companies for exactly these claims.
3. They want you to move money
Any job that involves depositing a check and sending part of it back, buying gift cards, receiving packages to reship, or "processing payments" through your account is almost certainly a scam — and it can make you legally responsible.
4. Recruiting is the real product
If the main way to make money is signing up other people who also pay to join, it's a pyramid scheme dressed up as a business. Ask: "Would this make sense if nobody else ever joined?"
5. Pressure and secrecy
"Spots close tonight." "Don't tell your family — they won't understand." Legitimate opportunities can wait until you've slept on it and asked someone you trust.
Common scams aimed at people starting over
- Fake job offers in text messages or chat apps. Recruiters who contact you out of the blue on WhatsApp or Telegram, offering easy pay for "liking videos" or "rating products," then ask you to deposit money to unlock tasks.
- Fake check "jobs." They mail you a check, you deposit it, they ask you to send part back. The check bounces later and you owe the bank.
- Credit repair promises. Nobody can legally remove accurate negative information from your credit report. You can dispute errors yourself, for free.
- "Government grant" calls. The government doesn't call you to give you money for a processing fee.
A 60-second check you can run on any offer
- Search the company or product name plus the words scam and reviews — and read results that aren't on their own website.
- Ask: What exactly do I do, who pays me, and when? If the answer is vague, walk away.
- Ask: What do I have to pay, and what happens if I don't make it back?
- Check for a real address, a real person's name and a working phone number.
- Wait 24 hours. Scams hate waiting.
What legitimate looks like
Legitimate ways to start are usually boring: you make something useful, you put it on a platform that takes a small cut when it sells, and you tell people about it honestly. Or you learn a skill and offer it as a service. Progress is slow. Nobody shows you rented sports cars.
That's what the rest of this course is about. And when we talk about affiliate programs on Day 7 — including our own — we'll give you honest numbers, including that most affiliates earn little or nothing.
If you've already been scammed
You're not stupid; these schemes are designed by professionals. Stop sending money, save every message and receipt, contact your bank right away, and report it at ReportFraud.ftc.gov. If your identity was used, IdentityTheft.gov has a free step-by-step recovery plan.
Tomorrow, the fun part: figuring out what you already know that's worth something.
Common questions
Is it a scam if they want me to pay for training?
Not always, but be very careful. Legitimate courses exist, but any "opportunity" that requires you to pay before you can earn, and promises you'll make the money back quickly, is a major red flag.
Someone sent me a check and asked me to send part of it back. What do I do?
Don't deposit it and don't send money. This is a classic fake-check scam; the check bounces days later and you owe the bank the full amount.
Where do I report a scam?
In the US, report it to the Federal Trade Commission at ReportFraud.ftc.gov. You can also report it to the platform where you found it.
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