13 Tips On How To Avoid Being A Freelance Scam Victim On Upwork

Avoiding scams on Upwork is a topic that has been making the rounds of Internet forums, blogs, and other sites for several years now. Every day, new freelancers are joining the platform and getting scammed. Many of them lash out at Upwork for allowing such things to happen. But in reality, it’s not Upwork’s job to protect you from scams. It’s your job.

Of course, Upwork does its best to protect users from scams. They have a team dedicated to rooting out scammers. They have scam reporting features on every page of the site. And they even have an “upfront payment protection” feature that refunded me when I was almost scammed last year. 

avoid getting SCAMMED on Upwork with these TEN TIPS!
Takeaways
Be cautious of clients offering unusually high pay rates.
Thoroughly research and verify potential clients before accepting projects.
Avoid sharing sensitive personal or financial information outside of Upwork’s platform.
Communicate and conduct all transactions through Upwork’s messaging and payment system.
Pay attention to red flags such as vague job descriptions or poor communication.
Trust your instincts and be wary of requests for upfront payments.
Report any suspicious or fraudulent activity to Upwork’s support team.
Maintain open and clear communication with clients to ensure project details are well-defined.
Familiarize yourself with Upwork’s terms of service and policies.
Regularly review client feedback and ratings to gauge their credibility.
Seek advice from experienced freelancers and the Upwork community.
Stay updated on common scam tactics and educate yourself about online security.
Use escrow services for fixed-price projects to ensure payment protection.

Statistics 

A recent survey revealed that 22% of freelancers have been scammed at some point in their career, with 72% of them losing less than $1,000 as a result of the scam. While this is an improvement from 2018 when 28% reported being scammed, thousands of freelancers still get duped each year.

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13 Ways To Avoid Being Scammed 

Here are 13 ways to protect yourself from becoming a victim and ensure you get paid for your work:

1. Verify The Authenticity Of New Clients

You want to make sure you’re working with legitimate people and businesses. If possible, meet up in person before agreeing on a project or payment terms. Ask for references from other freelancers who have worked with a prospective client and check out their LinkedIn profiles if they have one. Make sure they’re who they say they are and not some random person who’s trying to take advantage of your skillset.

2. Read The Fine Print

Only accept a contract after reading it carefully and understanding the scope of work, payment terms, rates to be charged, deadline, etc. If anything is unclear, don’t hesitate to ask questions before accepting a contract.

3. Request A Deposit

Don’t start until you’re paid in full or have received a deposit upfront. This is to protect you from clients who are shopping around and may have no intention of paying for your time if they find a better price elsewhere. It also ensures that clients take you seriously about delivering on time and within budget since they’ve invested in the project before it begins.

4. Don’t Take Up Projects Without A Contract

Always ask for a contract before starting any assignment, even on Upwork where it is easy to collect payment using the site’s built-in billing system. A contract can indicate whether the client has been around long enough to have learned how to do business in a way that will not trigger complaints from workers they hire.

5. Be Careful With Payment Verification Jobs

Do not accept any assignment that involves opening accounts or accepting payments from other people. These types of payments usually originate from stolen credit cards, so the scammer’s real goal is to get you to launder money for criminals.

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6. Communicate Freely

Ask for details about the project before you accept the job or agree on any terms. If the client refuses to provide them, don’t proceed with the job! It’s not worth your time and energy if the client isn’t willing to share information about the project ahead of time.

Oftentimes, scammers won’t give details about the project because they just want to get free work out of you, or they might be looking for help with their own scamming business! Either way, you don’t want to be involved.

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7. Don’t Accept Offers That Seem Too Good To Be True

It’s usually best not to accept jobs that don’t have any bidding involved. Scammers will often try to lure you into a scam by offering you work for an unreasonable amount of money for little work involved. It’s also important not to agree on any terms until your payment has been received in full from the client

8. Don’t Give Out Sensitive Information Too Early

Don’t give out sensitive information too early. Never post your personal email address or phone number publicly in your job proposals. This will attract the attention of scammers and spammers, and they will waste your time with their offers. Instead, wait until you get hired by the client and then share such details only via the Upwork messaging system.

9. Say No To Test Assignments

Do not accept “test” assignments that pay little or nothing. Many scammers use this ploy to get free work, then refuse payment and even threaten to report you to Upwork with bogus claims of poor work quality if you complain.

To maintain a successful presence on Upwork, it’s crucial to stay clear of suspension risks. Discover effective strategies in our guide on How to Avoid Getting Suspended on Upwork to protect your freelancing career.” Check out our tips on avoiding suspension on Upwork to maintain a strong professional profile.

10. Don’t Provide Bank Account Details To A Client

Never give out bank account details or send an invoice from your personal account to a client. They will only use this information/invoice for their own personal gain at the expense of your hard-earned money.

11. Never Give Out Your Password To A Client

Your password is one thing you should never share with anyone, most importantly the clients you work for on Upwork. You don’t know what they may use it for once they have access to your account.

12. Use Work Diary

Always use the Work Diary to track your time and provide screenshots of your work completed. It is part of our policy that a freelancer must be paid for hours worked, and in order for this to happen the Work Diary must show the hours worked and have screenshots associated with those hours.

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13. Avoid Specific Payment Methods

If someone asks you to use Western Union or MoneyGram, run! These payment methods are used by scammers because they know that once sent, the money cannot be refunded back to you.

Final Thoughts

Now that you’ve read through this guide, hopefully, you will be able to avoid being a freelance scam victim on Upwork. Amazingly, there are many freelancers who fall for these scammers which is even more saddening. If you want to increase the number of “hired freelancers,” then you should also strive to make yourself look as trustworthy as possible.

Further Reading

Upwork Scam: 7 Things You Can Do to Avoid Getting Taken Advantage Of: This article provides valuable tips to protect yourself from scams on Upwork, ensuring a safe freelancing experience.

How to Avoid Scams on Upwork and Freelancer: Learn effective strategies to avoid scams and protect your interests while working on freelancing platforms like Upwork and Freelancer.

Upwork Scams: What You Should Know: Gain insights into different types of scams that freelancers may encounter on Upwork and discover preventive measures to stay safe.

Frequently Asked Questions 

How do I know if the job is a scam?

The sheer volume of freelance scams on Upwork makes it difficult for any freelancer to recognize who is real and who is not. There are a number of telltale signs that you should be aware of.

 Why does Upwork allow this kind of activity?

Basically, because scammers are good at what they do and Upwork can’t stop all though they fight them hard. 

I’m a client and want to be sure my freelancer isn’t committing fraud. What do I need to know?

The best advice we can give is to work with a freelancer who has been on Upwork for at least several months, has positive reviews, and communicates regularly with their clients. The more you get to know the freelancer, the more you’ll be able to gauge their reliability.

How can I protect myself from becoming a victim of fraud?

Always use caution when working with new clients. Do some research and make sure you understand who you’re working with. 

How do I know if an employer is legit?

A good way to gauge the legitimacy of an employer is to look at the number of jobs they’ve posted on Upwork, their feedback rating and the number of hours they’ve paid on the site.

What should I do if I’m sure I’ve been scammed?

If you know for sure that you’ve been scammed, report the incident to us so we can get the ball rolling with an investigation.

How do I know which clients are legit?

Unfortunately, there is no way to tell for sure whether any given client on Upwork is legit. It’s up to you to vet them and make an educated guess.

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