Consumer Alert
This one’s for job-searching military spouses: Spot scams before you apply
By
Terri Miller
Consumer Education Specialist, FTC
July 24, 2023
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Military spouses don’t always have the luxury of staying in the same job for years. Explaining gaps in your employment history and frequent relocation is hard enough — and scammers only make it worse. Spot job scams before you apply.Read on to learn how.
Scammers use many tactics to try to steal your money or your personal information while you’re on the hunt for a job. Know how job scams work — and what to look for:
- Hijacked job ads: “Recruiters” use sites like Indeed and LinkedIn to message you out of the blue. They might send you to a fake website to “apply” for jobs or schedule phony virtual interviews where they ask you for personal information. But hold on, did you check to see if that job posting was real? Don’t rely on a recruiter’s message. Find the active job posting on the company’s actual website — look for a “career opportunities” or “jobs” page — and apply directly through the company’s encrypted site.
- Fake check schemes: An “employer” might send you a check to cover upfront costs like equipment or supplies and tell you to send part of the money back. That’s a fake check scam. It might take weeks for the bad check to bounce — by then the “employer” is gone — and you’ll be stuck paying the money back to the bank. Never deposit a check from someone you don’t know.
Before you apply, search the company or potential employer’s name online with the word “scam” or “fraud.” If you find stories of others who’ve lost money, walk away. Talking about a job posting with someone you trust — like a career counselor on your local military base or online through Military OneSource — might help you realize it’s a scam. If you spot a job scam, tell the FTC: ReportFraud.ftc.gov.
Topics
Scams
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For Your Information
FTC Announces Claims Process for Consumers Who Purchased DreamCloud Mattresses
July 25, 2023
Tags:
- Consumer Protection
- Bureau of Consumer Protection
- deceptive/misleading conduct
- consumer refunds
- Retail
- Advertising and Marketing
- Made in USA
The Federal Trade Commission has announced a claims process by which consumers who purchased a DreamCloud mattress and were influenced by the company’s claims that the product was made with U.S. materials can apply for a refund.
The FTC sued the company responsible for DreamCloud mattresses in 2021. DreamCloud mattresses were advertised as “proudly made with 100% USA-made premium quality materials.” However, according to the FTC, all DreamCloud mattresses contain significant imported materials, and many are wholly imported. The company agreed to settle the FTC’s charges and paid money to provide refunds to affected consumers.
The FTC is sending claim notices by email and mail to consumers who purchased a DreamCloud mattress during the time period that the company was making these claims. These messages include a claim number that the consumers can use to file a claim online at ftc.gov/DreamCloud. Consumers can apply for a refund if their decision to purchase a DreamCloud mattress was influenced by the company’s untrue claims about the origin of the mattresses. Consumers who have questions about the claims process should contact the refund administrator, JND Legal, at 1-844-798-0740.
The Federal Trade Commission works to promote competition and protect and educate consumers. Learn more about consumer topics at consumer.ftc.gov, or report fraud, scams, and bad business practices at ReportFraud.ftc.gov. Follow the FTC on social media, read consumer alerts and the business blog, and sign up to get the latest FTC news and alerts.
Press Release Reference
FTC Orders “Made in USA” Repeat Offender to Pay Funds
Contact Information
Contact for Consumers
JND Legal Administration
Refund Administrator
Media Contact
Office of Public Affairs
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For Release
Operators of “Blessing Loom” Scheme Banned from Multi-Level Marketing As a Result of Pyramid Scheme Charges Brought by the FTC and Arkansas
Blessings in No Time also will pay at least $450,000 to refund affected consumers
July 26, 2023
Tags:
- Consumer Protection
- Regional Offices
- Southwest Region
- Bureau of Consumer Protection
- Going into Business
- deceptive/misleading conduct
- Advertising and Marketing
The operators of a “blessing loom” investment program that targeted African Americans and people struggling financially during the Covid-19 pandemic are banned from the business of multi-level marketing as a result of enforcement actions taken by the Federal Trade Commission and the State of Arkansas alleging the operation of an illegal pyramid scheme.
In the joint complaint against Blessings In No Time (BINT), the FTC and the State of Arkansas alleged that Texas-based BINT Operations LLC and its two co-founders, LaShonda Moore and her husband Marlon Moore, operated a chain referral pyramid scheme that bilked tens of millions of dollars from thousands of consumers.
“The FTC’s settlement permanently ends an illegal pyramid scheme that targeted Black communities with false promises of no risk substantial income,” said Samuel Levine, Director of the FTC’s Bureau of Consumer Protection. “While defendants guaranteed wealth, they delivered only losses for almost all participants. This settlement stops defendants from perpetuating such a scheme ever again.”
The FTC and Arkansas alleged that, beginning in June 2020, BINT lured consumers to join their program by falsely promising investment returns as high as 800 percent. Like most blessing looms, BINT allegedly coordinated payments (called “blessings”) between members using playing boards with different levels. Higher-level members were tasked with recruiting new participants to join their playing board and could ultimately move up and receive payments from new recruits.
In reality, though, as in other pyramid schemes, the vast majority of participants lost money and the investment returns BINT promised to participants were merely funds paid by other members., the complaint alleged. The complaint alleged that some BINT members paid over $50,000 to participate. BINT also allegedly prohibited participants from truthful, non-defamatory reviews and other information about the scheme on social media or online.
In addition to permanently being banned from multi-level marketing in the settlement with the FTC, the defendants will also be prohibited from operating any chain referral scheme, including “blessing loom” schemes like BINT, and will be banned from making deceptive or unsubstantiated income claims or misrepresentations. Moreover, defendants will pay at least $450,000 into a fund administered by the state of Texas that will be used to provide refunds to affected consumers.
The Commission vote approving the stipulated order was 3-0. The FTC’s Southwest Region office was primarily responsible for this matter.
The Federal Trade Commission works to promote competition and protect and educate consumers. Learn more about consumer topics at consumer.ftc.gov, or report fraud, scams, and bad business practices at ReportFraud.ftc.gov. Follow the FTC on social media, read consumer alerts and the business blog, and sign up to get the latest FTC news and alerts.
Press Release Reference
Contact Information
Contact for Consumers
FTC Consumer Response Center
Media Contact
Office of Public Affairs
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