How Sarah, a Freelancer, Used Escrowfy to Avert a $3,000 Scam
In the evolving world of freelancing, trust works as a currency, just as essential as money. A graphic designer Sarah had been freelancing for over five years, this reality hit home when she almost fell victim to a $3,000 scam. Once again, Sarah’s choice to use Escrowfy, a secure payment platform, helped him prevent losing money and further safeguarded his professional reputation. This is her story—of heightened vigilance, smarter choices, and technological trust in the world of freelancing.
The Explosion of Freelancing: A Dual Sworded Blessing
Freelancing is the new explosion in the professional sector and came as a major boom for professionals like Sarah as they could now work from any part of the globe at their own convenience while also allowing her to handpick her clients. Nowhere was this more evident than with Upwork, Fiverr, and LinkedIn, which now allows freelancers to acquire clients from all over the globe. Like many other services, these come with their own set of issues too, primarily payment safety.
For Sarah, freelancing was everything she had wished for. She was able to exercise her creativity freely and design logos, websites, and even marketing materials for clients from multiple sectors. By 2024, she had established a solid reputation along with a strong portfolio and reliable stream of income. However, like many in the freelancing industry, she was not immune to the scams, especially in the freelancing landscape.
An Opportunity That Seemed Too Good to Be True
It all began with an email. Sarah got a note from a prospective client, “James,” who claimed he worked for a rapidly scaling technology startup. The project description looked intriguing, as they sought a full rebranding that featured a new logo, website copy, and designed marketing materials. And the payment was not too shabby either – $3000.
“James” described how his company had an extremely tight schedule and required the entire work to be done in three weeks. This was a mutually exciting moment because not only would she make a hefty amount of money for the work, but she could also add it to her portfolio. But in the midas rush to complete the project, Sarah uncovered some troubling aspects in her communications with James.
Red Flags:
Too Much Enthusiasm: James seemed way too enthusiastic about hiring her and never cared to ask her process, qualifications, or even look at her previous work.
Vague Nondisclosure: There were no specific requirements set in the brief on what the project was. Instructions like “make it modern” and “use bold colors” poured in without detailed explanations.
Payment Structure: James rigorously wanted to mail her a check for the total amount of $3,000 and instructed her to begin work right after the check was deposited.
Though the offer seemed really enticing, Sarah refrained from taking instant action because she recalled stories about freelancers getting scammed by clients using fake checks or even worse, scams where the clients didn’t exist at all. Her gut feeling was right, and for some reason told her to step back and perform more research before entering any agreement.
The Structure of a Freelancing Scam
Most freelancers fall into a specific set of scams known as “freelance scams” which portray a consistent pattern. They con freelancers with enticing opportunities and request upfront payments or work to execute afterward, vanishing into thin air. In Sarah’s instance, this would have been the potential play-out of the scam:
James sends Sarah an obviously fake check worth three thousand dollars.
Sarah takes the check to the bank and trades it for real cash to begin work.
Before Sarah determines the ease with which she can access claimed funds, which are on hold in a pending stage labeled ‘Check isn’t cleared yet,’ at that time, James asks her to send part of the money back due to payment being classified as ‘overpayment’ or instead, send money to a third party vendor.
By the time she comprehends the check is a fraud, the bank balance is obscured.
Although many might conclude the scheme sounds as simple as pie, scammers are able to use mind games that make freelancers take action in a rush. They exaggerate upon trust, guilt, generosity and even the deadline, taking advantage of the belief and thrill of professionals similar to Sarah.
Sarah’s Choice of Using Escrowfy
In a bid not to fall victim to an online scam, Sarah recommended using Escrowfy, a payment system built to safeguard freelancers and clients alike. Escrowfy operates by maintaining the funds in escrow until both parties recognize that the agreed-upon work has been completed satisfactorily. This guarantees that the freelancer is paid and the client gets what was promised.
Sarah explained to James how Escrowfy works:
Clients are required to put the project’s monetary value in escrow with Escrowfy.
The freelancer does the work and submits it for approval.
After the client approves the work, escrow releases the funds to the freelancer.
Neither the freelancer nor the client has to worry about getting defrauded or not getting paid. Sarah suggested Escrowfy be used for the $3,000 project and stressed that it would be advantageous to both.
Exposing the Scam
James’s whole demeanor shifted the moment Sarah mentioned Escrowfy. He grew defensive, arguing that, “Escrowfy is unnecessary and far too complicated.” He claimed that his company only dealt with direct payments and accused Sarah of not trusting him.
This only served to validate Sarah’s instincts. A genuine client would surely have no problem accepting a secure payment method such as Escrowfy. In fact, they would welcome it as a further measure of safety.” James’s unwillingness to use the platform was an enormous warning sign, and Sarah chose to sever all communication at that moment.
Sarah confirmed that the check which was supposedly sent by James was indeed fake. Had she deposited it, she would have incurred hefty financial repercussions as well as legal problems.
Why Freelancers Should Use Escrow Services
Sarah’s story underscores the use of escrow services like Escrowfy to shield you as a freelancer. Here are some drawbacks that too many freelancers encounter when working without escrow services:
1. Payment Security
In escrow services, payment is split into two payments where the first payment is made before work begins while the second half is released upon the completion of the required tasks. This ensures payment is rendered whether work is completed and quality controlled.
2. Fraud Prevention
Escrow services are useful for securing payment as well as preventing fraud because clients are required to pay upfront. This drives off clients who have no intent of securing work.
3. Dispute Resolution
If any complications arise in the progress of the project, escrow platforms have specialized negotiators often referred to as mediators that help resolve problems impartially.
4. Professionalism
Clients know from the beginning that the freelancers value their work as well as time, which is why an escrow solution is provided.
Advisory Remarks: Freelancers And Tips From Sarah
These are some lessons that Sarah had to learn, which she teaches to other freelancers:
Follow Your Gut: Investigate a potential client or project further if it raises red flags.
Secure Payment Systems: Use Escrowfy as a store of value and payment security because it protects you from financial damages.
Conduct Client Research: For new clients, look for reviews, social media profiles, and any form of online presence.
Avoid Payment In Full In Advance: Clients offering payment via check before work is completed should be treated with caution.
Use Unambiguous Expressions: Use plain language to clearly define expectations at the project’s start date.
The Emotional Charge of Scams
Freelancing scams tend to affect emotional health just as much as finances. In Sarah’s case, it shook her confidence and made her paranoid about her decision-making skills. The thought of being scammed can create anxiety for a lot of freelancers, leading to self-doubt and even burnout.
But at the same time, sponsors—sorry, Sarah’s story helps other freelancers by empowering them to prioritize protection against falling for the same trap.
What sets Escrowfy apart
Why is Escrowfy any different from other payment platforms? For Sarah, it was the intuitive interface coupled with policies and security features that came with Escrowfy. As with traditional payment methods, trust is necessary. However, with Escrowfy, there is a system that safeguards both parties.
Standard features of Escrowfy include:
Global Accessibility – Support for sponsorship from any country, which is ideal for freelancers with clients all around the world.
Easy Integration – Effortless tools that integrate fully with your workflow.
Final thoughts: How to protect during freelancing work
As a freelancer, Sarah’s experience is quite striking and serves as a reminder that one must always be alert. The best-paying projects are often not what they seem, but with tools like Escrowfy and trusting your instincts, a plethora of scams can be avoided.
Freelancing is undoubtedly rewarding, but it comes with its own set of challenges. With prioritized professional standards, your business can flourish without jeopardizing your finances or mental wellbeing. During her journey, Sarah learned the hard way that the best way of safeguarding yourself is saying “no” to taking risks and instead, opting for less daunting paths – which is sad reality.
So, the next time you’re confronted with a tempting offer, remember Sarah’s tale – and let Escrowfy protect you.
