7 Most Common Scams on Freelancing Platforms

Working for yourself comes with numerous perks, from extensive freedom to high earning potential. But don’t expect everything to be rosy, as with all else.

If you’ve ever freelanced, you are likely familiar with that sinking feeling when you realize a client is blocking your phone number and ghosting you after getting the work done. The truth is, there are lots of scammers out there targeting freelance professionals. Some are experienced fraudsters, while others are regular people who are simply dishonest and lack integrity. By falling for their deceptive acts, you can end up wasting time and, worse, losing money and compromising your identity.

In this article, we discuss the most prevalent frauds on freelancing platforms and how best to avoid them.

1. Fake Jobs

Not every job that appears on a freelancer marketplace is authentic. Scammers often use job boards to target unsuspecting victims for identity theft and financial fraud. For instance, they could post a fake opportunity to collect identifiable data (like bank account numbers, tax information, SSNs, and contact details) in the guise of assessing candidate applications.

But shady job ads are usually easy to identify. They use various tactics to grab freelancers’ attention. Guaranteed jobs that offer above-average pay but don’t require any qualifications or experience are typical examples.

So, practice caution if a job advertisement seems too good to be true. Know that a genuine employer would be more sensible with their hiring practices.

2. Off-Platform Work

Is a new employer pressuring you to work outside a freelancer marketplace? Maybe they want to pay directly via wire transfer (to avoid platform fees) or brief you over the phone or on a messaging app for faster communication. All these can be legitimate requests based on practical issues. But there’s also a good chance the employer is trying to dupe you.

The problem is, if you communicate with a client off-platform, there’s no way for a marketplace to track what you have discussed and step in to arbitrate when there’s a disagreement. And if you agree to bypass the platform and work directly with the client, there’s little assurance of getting paid after you complete a project. Therefore, to safeguard everyone’s interests and avoid unnecessary trouble, you are better off dealing with employers on a freelancer platform.

3. Up-Front Fee Fraud

Some jobs may require freelancers to make an up-front payment. It could be to process their applications, purchase a product critical for performing the required tasks, or as a deposit for materials and training.

When the potential to make money appears attractive, many people wouldn’t think twice about such payments (especially when they are not that substantial). But these are almost always deceptive tricks used to swindle money.

Remember, legitimate employers would never charge you for evaluating your suitability for a job or giving you the necessary training. If anyone does, be suspicious.

4. Payment Scams

Once you complete the job, deceptive employers could come up with excuses when it’s time to pay or try to get you to do more than what was initially agreed. They may also disappear with the work when there’s nothing preventing them from ghosting you.

Ultimately, time is money, and you don’t want clients exploiting you in any way. This is why putting things in writing is important. Get into the habit of requesting written briefings and preparing detailed agreements that specify deliverables and payment terms.

In addition, ask for an advance or insist on using an escrow system and review the client’s work history for any red flags.

5. Free Test Projects

Ever had a client requesting unpaid work before hiring you? It’s possible that they are genuinely looking to assess your suitability to minimize risks from their perspective. But it is also likely they are attempting to get work done for free.

You can help authentic clients determine your skill levels and experience (and, therefore, avoid the need for free tests) by preparing a work portfolio with references.

If an employer still insists you demonstrate your skills for free, politely refuse and find work elsewhere. (Note that some freelancer marketplaces prohibit employers from requesting unpaid work on their platforms.)

6. Illegal/Unethical Work

Bad actors could use freelance job boards to recruit individuals to perform numerous illegal or unethical tasks. For example, they might ask you to leave fake reviews on an Amazon product page, or troll social media users to harass them or tarnish their reputation. Data scraping can also be unethical or illegitimate if it involves scraping someone’s personal data, infringes copyright laws, bypasses access restrictions (without consent), or results in fraudulent activities.

Newbies to freelancing are particularly at a higher risk of falling for this type of job post, mainly due to a lack of awareness. If you are unsure whether a task is legitimate, make sure you run it through the marketplace helpdesk before applying.

7. Overpayment

This is when a fraudulent employer sends you a check (usually before commencing work) for much more than what they owe you. They’ll pretend that it was a genuine mistake and ask you to transfer the extra amount to their account. Once you do, the client will typically stop all communication.

But you might hardly care since they’ve already paid you in full or part. This is where you are wrong. The check was fake. You wouldn’t know this right away since it takes a few days to clear. In the end, you are left with a worthless check and no way to recover what you have paid the fraudster.

To prevent such mistakes, be clear about payment terms and work on a platform with an escrow system.

In Conclusion

Most job marketplaces have stringent controls in place to curb fraud and protect both freelancers and clients. But this doesn’t entirely eliminate the risk of getting duped.

If you are a freelancer, watch out for fake jobs, payment scams, and clients who request you to work outside the platform, pay an upfront fee, perform unpaid tasks, or carry out illegal/unethical activities. These are the most common deceptive schemes on freelancer platforms right now.

If you are new to a marketplace, familiarize yourself with its security protocols and guidelines, and escalate any clients and job posts that you think are violating them.

One more thing...

You didn't start freelancing to spend hours every week searching through job boards. You started freelancing to do more work you enjoy! Here at SolidGigs, we want to help you spend less time hunting and more time doing work you love.

Our team of "Gig Hunters"—together with the power of A.I.—sends you high-quality leads every weekday on autopilot. You can learn more or sign up here. Happy Freelancing!

Jack Nolan

Jack Nolan is a seasoned small business coach passionate about helping entrepreneurs turn their visions into thriving ventures. With over a decade of experience in business strategy and personal development, Jack combines practical guidance with motivational insights to empower his clients. His approach is straightforward and results-driven, making complex challenges feel manageable and fostering growth in a way that’s sustainable. When he’s not coaching, Jack writes articles on business growth, leadership, and productivity, sharing his expertise to help small business owners achieve lasting success.