How the scam works
Scammers capitalize on the fact that many companies, especially smaller brands, never claim or verify their employer pages.
With a little public information they build a convincing footprint and run a hiring process that looks real from start to finish.
1. Profile claiming or spoofing
Fraudsters claim an unverified employer profile or build a lookalike page using the company name, logo, website, and address pulled from public sources. To a casual viewer the page appears legitimate.
2. Plausible job postings
They publish listings that sound reasonable. Remote roles, flexible hours, and competitive pay widen the funnel. Titles and descriptions are often copied from real postings to avoid suspicion.
3. Scripted online interviews
Applicants are invited to chat or video interviews. The scammers use professional language, company styled email addresses, and canned Q&A to create confidence. Some even route messages through basic onboarding portals.
Red Flag 1: often times they’ll leverage online chats to avoid exposing themselves. They may also try Zoom, Google Chat, or other sources, but you’ll notice their “camera isn’t working” that day.
4. Realistic contracts and onboarding docs
Offer letters and contractor agreements arrive with proper formatting, logos, and copied signatures.
Paperwork may include tax forms or NDAs to deepen the illusion.
5. The check and “equipment purchase” trap
After acceptance, a check arrives. The victim is told to deposit it and buy work gear from a preferred vendor or via gift cards. The check later fails to clear. The bank reverses the funds, leaving the victim responsible for the money already spent.
Red Flag 2: The check you receive is often from an LLC or company name that is completely random compared to the “company’s” name.
Why this scam is so effective
- Borrowed credibility: Real company names and branding create instant trust.
- Professional theater: Polished emails, scheduled interviews, and branded PDFs feel authentic.
- Platform halo: People assume major job boards have vetted every posting. In practice, verification varies.
- Momentum and emotion: A promising offer can nudge candidates to move quickly and skip verification.
The cost to people and companies
- Victims: Financial loss, compromised personal data, wasted time, and emotional distress.
- Companies: Brand damage, increased support workload, and confused applicants who blame the real firm.
- Platforms: Ongoing cat and mouse with fraudulent accounts that erode user trust.
How to protect yourself
For job seekers
- Verify: Contact the company using information from its official website. Ask if the role is real and confirm the recruiter’s name. Also look at the person emailing you: is it the official email address or one all too similar?
- Treat checks as suspect: A legitimate employer will not send funds to buy equipment before day one. Never spend against a deposit until your bank confirms final clearance.
- Watch for red flags: Requests to use gift cards, pressure to act immediately, personal email accounts, and grammar that feels off are warning signs.
- Control your data: Share only what is necessary until you have confirmed the employer. Be careful with SSNs, direct deposit forms, and scans of IDs.
For employers
- Claim and lock your profiles: Secure your employer pages on LinkedIn, Indeed, Glassdoor, and other sites. Add clear brand visuals and current contacts.
- Publish your hiring process: On your careers page, outline how recruiting works at your company and list official domains that recruiters use.
- Monitor for impersonation: Set up alerts for unauthorized listings that include your name. Respond quickly with takedown requests.
- Educate applicants: Post a notice warning about check and equipment scams and invite candidates to verify offers through a listed email or phone number.
For job platforms
- Strengthen employer verification: Validate business identity and domain control before listings go live when possible.
- Improve reporting and response: Make it simple to flag suspicious postings and act on verified abuse fast.
- Signal authenticity: Provide visible badges or indicators for verified employer domains and contacts.
What to do if you are a victim
- Contact your bank immediately: Report the counterfeit check and ask about reversing or freezing related transactions.
- File official reports: Submit complaints to your local consumer protection agency and relevant national fraud portals. Keep copies of all messages and documents.
- Notify the real company: Let the legitimate firm know its name is being abused so they can warn others and pursue removal.
- Protect your identity: Change passwords, enable multi factor authentication, and consider a credit freeze if sensitive data was shared.
- Warn others: Post a factual summary where you found the job and inform the platform so the listing can be removed.
For more security insights, check out our Electric Eye.
