Bottom-Dollar Scam

What Is a Bottom-Dollar Scam?

A bottom-collar scam is a fraudulent claim by cheaters or con specialists who go after job searchers and weak individuals. Bottom-dollar scams include false commitments about making substantial arrangements of money through roads like working from home, mortgage modification, debt reduction, etc.

Understanding Bottom-Dollar Scams

Bottom-dollar scams are otherwise called "last-dollar" scams by the Federal Trade Commission (FTC), the consumer protection guard dog in the U.S., on the grounds that they claim that their freakish commitments are strong schemes on which an individual can wager their last dollar. Such scams are especially unfortunate since they target individuals who might be going through a monetarily troublesome time due to job loss or illness, and being deceived by such scams generally speaking deteriorates a desperate situation.

In 2010, in the wake of the Great Recession and the subprime mortgage crisis, the FTC sent off Operation Bottom Dollar to crack down on scam specialists targeting desperate job searchers. Albeit the unemployment rate has since dropped fundamentally, the FTC continues to pursue bottom-dollar scammers.

Types of Bottom-Dollar Scams

At the root of many bottom-dollar scams are classic pyramid schemes. For instance, in June 2018, the FTC convinced a federal judge to halt the operations of a company called MOBE (My Online Business Education) that vowed to show individuals how to get rich by making their own internet businesses. After an initial fee of $49, the "understudies" were besieged with up-deal pitches adding up to huge number of dollars, with understudies encountering great many dollars in debt.

The FTC recognizes two big red banners in distinguishing a bottom-dollar scam: a requirement to pay money upfront, and the commitment of a guaranteed job. It notes that bottom-dollar scams can take different forms, some of which include:

• Job ads that are run in the classified segments of publications: These will generally provide the scam with an air of authenticity, and imply to offer a genuine job opportunity.
• Telecommute schemes: The most famous of these are schemes that include stuffing envelopes, or collecting creates.
• Employment listing services: Some scams offer to give job searchers access to exclusive employment listings in exchange for an upfront fee.
• Government jobs: Some bottom-dollar scams offer access to government jobs upon a substantial payment. The FTC cautions consumers to avoid such scams, since applying for U.S. government jobs doesn't need an upfront payment.

To try not to get taken in by a bottom-dollar scam, the FTC prompts that a prospective job searcher ask a lot of inquiries and check with the Better Business Bureau for objections about the entity offering the job.

Features

• The FTC recognizes two big red banners in distinguishing a bottom-dollar scam: a requirement to pay money upfront, and the commitment of a guaranteed job.
• A bottom-collar scam is a fraudulent claim by double crossers or con craftsmen who go after helpless, jobless individuals by making false commitments about making substantial arrangements of money through roads like working from home, mortgage modification, debt reduction, etc.
• In 2010, in the wake of the Great Recession and the subprime mortgage crisis, the FTC sent off Operation Bottom Dollar to crack down on scam specialists targeting desperate job searchers.