Is it Too Good to be True?: How to Navigate Financial Scams
Most people still picture scams as robocalls or fake IRS threats. That idea is stuck in the past. Scams today live on Instagram, TikTok, group chats, and job boards. And young people are not avoiding them; they are often the main targets.
Scammers go where the attention is. Students are constantly online looking for jobs, internships, housing, or extra income. Many are dealing with money on their own for the first time. That combination makes the younger demographic appealing targets. You do not have to be careless to get scammed. You just have to trust something you have never dealt with before.
One of the most common traps starts with a job offer. It looks easy, remote, and pays more than it probably should. The interview feels rushed or barely exists. Then comes the check. You are told to deposit it, buy equipment, and send part of the money back through Zelle or Venmo. At first, everything seemed fine. A few days later, the bank pulled the money back because the check was fake. The money you sent is gone, and the loss lands on you.
Social media creates a different kind of pressure. You see posts promising quick returns, or someone you follow suddenly offers a "guaranteed" way to make money. Sometimes an influencer invites you to be a brand ambassador but asks you to cover shipping for a free product. Once you send the money, the messages stop. Accounts vanish. There is no product and no investment. The entire setup relies on trust, speed, and the feeling that you are missing out if you hesitate.
Scholarship and student loan scams are another way scammers target young adults. An email claims you won money you never applied for, or someone promises to erase your student loans for a small fee. The language sounds official and urgent, which pushes you to act before you think. Real scholarships do not charge fees. Real loan programs do not ask for payment upfront. When money is promised but payment is required first, something is wrong.
Housing scams show up a lot around move-in season. The listing looks perfect. The price seems fair. The landlord says they are out of town and cannot show the place but wants a deposit right away. Once the money is sent, the listing disappears. The apartment either never existed or was never theirs to rent.
Most scams share the same warning signs. Watch out for the following:
Real companies do not recruit or handle payments through random DMs. Payment apps like Cash App, Zelle, and Venmo offer little protection once money is sent. Any request to deposit a check and send money somewhere else should stop you immediately.
Urgency is another clue. Scammers rush you because hesitation gives you time to notice the red flags.
Sometimes, the offer is "too good to be true". Suspiciously low prices and deals are deceptive traps.
Poor grammar or punctuation are dead giveaways.
The simplest protection is slowing down. Look things up. Search the company name with the word "scam." Ask someone you trust what they think before sending money. Lock down your accounts with two-factor authentication, because hacked accounts are often used to scam friends who already trust the name they see.
Scams today do not look sketchy. They look like opportunities. Learning how they work early is one of the smartest financial habits you can build. It is not about being paranoid. It is about knowing when something does not add up and walking away.
By: Milka Yohannes