How to Avoid Online Scams when Job or Apartment Hunting

Unfortunately, free classified sites also make it easy for scammers to prey on the desperate, or simply ambitious, among us. Scammers pay nothing for most of the ads they pay -- if one gets reported and removed from the site, they simply open up another free email account and submit a whole new batch of Craigslist ads.

What, in particular, should you look out for? How can you tell the difference between a legitimate offer and a sketchy one? What are some of the warning signs?

1. Be careful what information you give to strangers. If you are applying for a job listing on Craigslist, it is customary to attach your resume. Now the person on the other end has your home address, your telephone number, your full name... All they need now is a birth date and they can go to town, opening up numerous credit cards or other financial accounts in your name. It could be months before you notice, and by then, it might be too late.

For this reason, I suggest you send a pared down version of your resume when sending to someone you don't know on Craigslist. Remove your middle name from the resume, do not list your exact birth date (there is no reason to!), and do not give your current residential address -- list a workplace address, or just don't list one at all.

2. Never pay a fee. You shouldn't have to pay a fee for a job that is supposed to be paying you. Similarly, you should not have to pay any sort of "consideration fee" if you are interested in seeing an apartment -- the real estate broker or owner should show you the apartment for free. One scam that is growing in popularity preys on desperate job seekers. An "employer" responds to your resume submission and says they are very interested, but will need a $50 upfront fee (or whatever, the exact amount varies) to run a credit and/or background check on you. "We like to run full background checks before making a hire," they will tell you.

Sure, in this day and age comprehensive background checks before taking on a new employee make perfect sense, and many corporations do just that. But you should never have to pay for this: it is the hiring company that pays for the background check to be done. If they are seriously interested in hiring you, they should pay the fee themselves -- it's that simple. If money is changing hands before you get an offer, chances are something is fishy. This scam is so effective because it appeals to desperate unemployed folks who are simply thrilled to hear they are being considered for the position.

3. Never trust "overseas" banking opportunities. This scam has been around for ages, but its delivery gets more sophisticated each year. You will be notified by someone in response to a resume submission or other interaction on Craigslist that they plan to move their business to the United States, from another country. They will claim to be interested in hiring you to help them make the transition. They will ask for your bank account information, so they can wiring some initial starting capital to you.

Obvious scam. You should never, ever give out your bank account, ACH transfer information, or other financial details to any supposed "employer" or "entrepreneur" for any reason whatsoever. The only time you should give out your bank account number and ACH routing number is after you've already been hired by a company, and their HR manager asks for this information in order to set up direct deposit.

4. Don't get greedy. This is, perhaps, the most important tip of all. We all want more money, a better job, exciting opportunities... but realize that if someone is offering you something "too good to be true," it likely is. Ask yourself: why is this person offering me such an incredible opportunity when they hardly know me? Is my resume and professional background that extraordinary? Also ask yourself: why would such a prestigious and influential executive be trolling for new hires on Craigslist? Wouldn't he or she have a real headhunting agency do all this work?

Craigslist can be a great resource, especially for selling stuff you no longer want, finding new part-time work, or researching real estate in your area. Just be vigilant, and never be afraid to ask the tough questions!