Freelancing is undeniably a good career choice or side hustle to have. Why? Well, you get to make your own rules and work anywhere your heart pleases. The flexibility and passive income you can earn are pretty hard to give up. I couldn’t believe a women’s network website was going to pay for my writing about heart health! I worked with great clients who provided excellent feedback to help me grow as a writer.
However, I’ve encountered some sketchy clients. As the saying goes, “There’s always one bad apple in the bunch”. This goes for freelancing as well. Painfully, freelance job scams are very common and they don’t discriminate. Whether you are a seasoned writer or the new kid on the block, please beware of the signs of freelancer scams. Recently, I created a poll on LinkedIn titled: “Have you ever been scammed by a client?”
Here’s the feedback from my network:
20% No
30% Yes
50% Almost, but dodged the bullet
These fraudulent activities waste time, money, and personal information. In this article, we’ll explore the six warning signs of freelancer scams, how to avoid them, and protect your well-being.
6 Freelance Scams That Hurt Freelancers’ Bottom Line
Beware these freelancer scam situations that could cost you money, your mental health, and your time.
The “Perfect” Job Offer
Another common freelancer scam is the “too good to be true” job offer. These job postings promise pay raises for low-effort work that won’t take much of your time. The project seems so easy that the high compensation seems suspicious. A client may offer you $1,000 for a 300-word article.
Not that this can’t happen, but most companies will want more information before paying that much for such a small word count.
How to avoid freelance this scam: Always research the company. Ask tough questions about the pay rate and project scope to gauge whether they’re legit. Trust your instincts—if something feels off, politely decline. You’re probably right and you just avoided a freelance client scam.
The Impersonator
This type of freelance scam is also called phishing. Scammers pose as legitimate businesses or well-known figures to steal sensitive information like your social security number. For example of a freelance scam, a scammer might pose as a business hiring freelancers and ask for your bank info, passwords, or credit card details, claiming it’s to set up your payment deposit.
How to prevent this scam of freelancers: Never share personal information, especially if they pressure you. This is different from onboarding. Scammers will ask unusual questions, like requesting details you should never share. Stick to the payment methods outlined in your contract, and if the client tries to pay outside the platform or delay payment in exchange for personal information, stop working with them immediately.
The “Write Now, Pay Later” Scam
If there’s a top freelance scam that makes our blood boil, it could be this one. SSome clients or companies ask for free work, promising future payment or employment. I call this the “write now, pay later” sham or freelancer scam. While some reputable companies ask for short samples, others may take your work without paying you. This is a slippery slope, and it’s important to be cautious when submitting samples without clear payment terms.
How to prevent this freelance writing sam: Clarify project details upfront. If a client asks for your best work without discussing compensation, it could be a freelance job scam. Negotiate your terms to maintain control. If the client keeps requesting unpaid samples, it’s time to part ways. You could always request payment upfront before sending a first draft to prevent this freelance scam from occurring.
The Payment Flip-Flop Scam
The flip-flop payments are another freelancer warning sign of a scam. This occurs when you are on a platform such as Fiverr or Upwork. (Is fiverr worth it?)The client tries to pay you outside of the platform’s terms. They may also extend the payment deadline due to “not having enough money in the budget” as projected. Here’s what that situation may look like. A client extended your deposit for the third time. The client asked you if a written check is okay instead of receiving your escrow. You are impatiently waiting to get paid and agree to the new terms. As a result, you may be left with no compensation at all.
How to prevent this: Avoid accepting payments outside of the platforms’ terms. These platforms have safety features to prevent scams—but, they can still occur. If a client offers to pay by check instead of through escrow, decline and involve customer service if needed. Get more answers to the question, what’s a freelance writer salary?
The Sham Job Posting
Fake job postings entice freelancers eager to work and start making money. A listing might promise $750 for writing a product description but require you first to complete a trial. After you submit the trial, the job disappears, leaving you unpaid.
How to prevent this freelance scam: Ask questions about the trial’s purpose to weed out a possible freelance client scam. This will likely make the scammer uncomfortable. They may become pushy or unprofessional—clear warning signs. Walk away and don’t look back. These scams can appear in emails, texts, and even on legitimate sites like LinkedIn. Snag LinkedIn Tips for Freelancers to learn how to find more clients
The Phony Testimonials
Have you ever completed a simple task in exchange for a client testimonial? Freelancers do this to build social proof. But beware, some clients may use this to scam you later. These freelance scammers often have great reviews and high ratings, but they’re from fake accounts. Once you deliver your work, they may ghost you.
How to avoid freelance scams: If possible, ensure the client reviews are genuine. Reach out to other freelancers who have worked with the client on platforms like Fiverr, Upwork, or LinkedIn. Be mindful of inconsistencies in follow-up, payment, or expectations. A five-star rating doesn’t mean you should lower your guard. If you do, you might fall for a freelancer scam or one of these freelance mistakes.
How to Try to Avoid Freelance Scams
Freelancing offers many opportunities but comes with risks. If you’re not careful, you can fall victim to scams that leave you feeling lost and uncompensated. Protect yourself by researching clients, following up on details, and trusting your instincts. Always verify the client or company before moving forward.
Use the freelance tips above to secure jobs without falling for common freelance job scams. Freelancing can be a wonderful career path, but you need to stay alert and cautious to avoid being scammed as a freelancer. You’ll also want to watch for signs of freelance red flag clients.