New data from the Federal Trade Commission (FTC) indicates a significant rise in online job scams, specifically those requiring consumers to perform repetitive tasks. These scams have contributed to an overall increase in reported losses related to job scams.
The FTC's recent data spotlight reveals that task scams have surged over the past four years. Reports of these scams grew from none in 2020 to 5,000 in 2023 and quadrupled to approximately 20,000 in the first half of 2024 alone.
These task scams are a major factor behind the tripling of reported losses from job scams between 2020 and 2023. In just the first six months of 2024, these losses exceeded $220 million. Task scams accounted for nearly 40 percent of job scam reports during this period.
Typically initiated via text or WhatsApp messages offering vague online work opportunities, task scams lure consumers with small payouts for completing tasks such as "app optimization" or "product boosting." This initial payment gives victims confidence before they are asked to invest their own money under false promises of higher returns. Once victims send money, it is irretrievably lost.
Cryptocurrency is frequently used as the payment method for these schemes. The spotlight highlights that task scams have significantly contributed to increased cryptocurrency-related losses, reaching $41 million in the first half of 2024—almost double the total reported for all of 2023.
To help consumers avoid falling victim to these scams, the FTC advises:
- "Ignore generic and unexpected texts or WhatsApp messages about jobs. Real employers will never contact you that way."
- "Never pay anyone to get paid. Someone telling you to pay money to get the money you have supposedly earned is a sure sign of a scam. No legit business would ever do that."
- "Don’t trust anyone who says they’ll pay you to rate or 'like' things online. That’s illegal and no honest company will do it."
The Federal Trade Commission aims to promote competition while protecting and educating consumers. It assures that it will never demand money, make threats, instruct transfers of funds, or promise prizes. For more information on consumer topics or reporting fraud and bad business practices, visit consumer.ftc.gov or ReportFraud.ftc.gov.
