State officials warn residents to be aware of work-from-home scams

The Connecticut Department of Consumer Protection (DCP) and the Better Business Bureau Serving Connecticut are warning families about work from home scams that may be targeting vulnerable workers during this time. DCP has received complaints about re-shipping scams since the COVID-19 pandemic has hit Connecticut.

How the scam works

• Those out of work may see online job postings offering an easy work-from-home opportunity: simply re-shipping packages.
• After a quick hiring process (that typically involves divulging personal information), victims begin to receive packages.
• Next, they “inspect” packages, and re-ship them with new shipping labels provided by the company.
• When they inquire about their payment, no one at the “company” they’re working for can be contacted, and they never receive compensation.

Risk of the scam

• Items being shipped or picked up in this scam may have been purchased with stolen credit cards or funds – putting those who have fallen victim to the scam in potential legal trouble. This may include law enforcement visiting their home.
• Those who fall victim to employment scams unknowingly put themselves at risk for several other types of fraud and identity theft, especially if they have provided personal or financial information such as a bank account numbers for payroll.

How to avoid work-from-home scams

• Remember, if an offer sounds too good to be true, it probably is. If anyone guarantees you employment – and a large amount of money – it’s a scam.
• No legitimate company will ever charge you money to apply for a job or charge you a fee before you start – avoid any company or individual that says it’s a requirement.
• If you do see a job posting, and you’re interested in applying, research the reputation of the company first, and even search the name of the company in conjunction with the words “fraud” or “scam” to see if anyone has reported suspicious activity in the past.

For more information, read the press release issued today by the Department of Consumer Protection.

Tips to Avoid Financial Scams

Additionally, in a recent email, the National Association of Insurance and Financial Advisors (NAIFA) said it is working with the National Business Emergency Operations Center (NBEOC) to stop scammers.

They wrote: In times of uncertainty, people often seek financial security. Unfortunately, the pandemic has resulted in numerous scams. The National Association of Insurance and Financial Advisors (NAIFA) is working with the National Business Emergency Operations Center (NBEOC) to assist the interagency crisis action task force. With members in every Congressional district, NAIFA is uniquely situated to help with situational intelligence and deliver credible resources.

NAIFA’s consumer site provides individuals and businesses with information to avoid scams, tips on who to contact regarding health claims/questions, as well as how to find licensed, knowledgeable, ethical professionals to assist with financial security planning.

Consumers can find more information at https://security.naifa.org/covid-19 or one of the many NAIFA members licensed in the state.