Scammers come out of the woodwork

Since going live, the post has attracted more than 200 000 views and over 900 comments from consumers trying to find alternative sources of income, as the recession eats into small business profits and pushes up unemployment levels.

The majority of contributors to the blog seek to make money through various online programs. However, many have been caught out in scams committing them to upfront fees for "marketing material and training".

"I lost my job a few months ago and have been struggling to make a living, also been through quite a few of the ‘scammers’ out there and i am really tired of these people basically getting away with financial murder," comments one poster.

It is not just in the online space where scam artists are being found out. Pyramid schemes, property syndicates and fraud cases over the last 12 months have also seen many investors out of pocket.

Tannebaum, Edwafin, Dealstream and King Financial Holdings are some of the news-grabbing cases which have made the media, but there are also far lower-profile fraudsters competing for the cash in your pocket. 

Asked if he had noticed trends since the original post had gone up, Mills said: "It is not even about an extra revenue stream any more, but rather a primary one."

Another aspect which Mills believes has contributed to the success of the post is the number of South Africans trying to distinguish between fraudulent and legitimate business opportunities. "One thing I can tell you is that the minute a new work from home system is launched, a flood of people come back to see if it has been reviewed by someone."

While it has been a grim two years for South African consumers, there may be some light at the end of the tunnel particularly on the small business and employment front.

In the first quarter of 2010, the number of corporations filing for liquidation was down by 6.3% year-on-year compared to an increase of 46.7% for the same period last year.

However, in March 2010 the number of liquidations was up 18.2%, driven mainly by companies in the finance, insurance and real estate industries which remain under pressure. Of the 410 liquidations in the month, 387 were voluntary while 23 were compulsory.

"Liquidation and insolvency data in the first quarter of 2010 point to a slow improvement in the financial position of households and businesses relative to the previous year, but upside risks still exist," said Kgotso Radira of the Investec economics unit.

However, Radira cautioned: "While there is a drop in the number of liquidations and insolvencies, a slower than expected economic recovery could lead to another rise."

- Fin24.com