Work-at-home scams often successful in finding victims - KTIV News 4 Sioux City IA: News, Weather and Sports

Work-at-home scams often successful in finding victims

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A large number of work at home scams will cost you more than you will ever make.

For just $6,000 and a one day course, job seekers were told they could learn to do medical billing-working from home-and earn big bucks.
 
"They would be told there would be no need to market the services.  The demand was so great for medical billing that they wouldn't even need to knock on doctors' doors - doctors would be seek them out," said Terrence Sullivan, U.S. Postal Inspector.
 
The company EDI lured in victims by telling them they could earn $1,200 a month and that EDI would help them find clients.
 
"EDI would provide them with a couple of firms or doctors' offices or chiropractors or medical laboratories that would be in their area," said Sullivan.
 
The problem? The whole thing was a scam.
 
"In this particular case it was always a fraud.  There was no demand for the medical billing service they were offering," Sullivan said.
 
Victims lost the $6,000 fee they paid for the program as well as money spent flying to a one day training session in Detroit.
 
In all: 3,500 victims and more than $17 million in losses.
 
Postal inspectors say the majority of people who signed up for the course never found a single client, never processed a single claim, and never made a dime.
 
Inspectors say be wary of work at home opportunities.
 
"No one is going to pay you big money and not ask you to put out a lot of effort. They really take advantage of people in a desperate situation," said Sullivan.

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