Is the client using a generic email address from a free service provider?
Just because a client has a free email account with Yahoo, Hotmail, or Google, it doesn’t necessarily mean that fraud is involved. However, if such an account occurs with some of the other indicators shown, it is wise to be wary. Very little is required in the way of identity or security to set up most free accounts. 7. Does the person setting up payroll only want to do business over the phone? If the person you have been dealing with refuses to meet in person or seems to be hard to get a hold of, this could be a flag that something might be wrong. 8. Is the client a brand new business or currently applying for an EIN (Employer Identification Number)? If yes, this means that the company has no prior tax information. 9. Does the new client use pay cards or pre-paid debit cards to pay a large number of employees? This practice too is often used by criminals looking to scam the system. Nature of the Scam This scam takes several forms, and to avoid training future scamsters, we won’t be go
