Recently, a fraudulent scheme called “training loan” in Shenzhen has been exposed, affecting over a hundred people. Job-seeking students were induced to borrow 20,000 to 30,000 yuan for training during the application process, only to end up without the promised job and burdened with debt.
According to reports from mainland Chinese media, recent graduates have reported to the Shenzhen Municipal Human Resources and Social Security Bureau that they fell victim to a scam of “training before employment” on a recruitment platform. The recruiters advertised positions with “no experience required, high guaranteed salary,” but during interviews claimed that the job seekers lacked skills and needed to undergo designated training. The job seekers were then guided to sign loan agreements for the training and promised a monthly salary of 6,000 to 8,000 yuan after completion, with repayments to start after being hired.
Many job-seeking students signed loan agreements ranging from 20,000 to 30,000 yuan, repayable in installments. However, these students revealed that the promised high-paying jobs were never delivered, leaving them not only unemployed but also with monthly loan repayments to meet, facing pressure from debt collectors if payments were missed.
One victim, identified as Xiao Wu, shared his experience of seeking a game tester job through a recruitment platform in November 2025. He came across a job posting offering a monthly salary of over 6,000 yuan with social security benefits, and no experience required. During the interview, the interviewer, Ms. Su, claimed that his skills did not meet the standard and required him to undergo training. However, she assured him at the time: “No need to pay training fees if the monthly salary is below 8,000 yuan when employed,” and “repay in installments after starting work, no financial pressure.”
Under pressure, Xiao Wu signed a training loan agreement totaling 28,800 yuan to be repaid over 24 installments. Ironically, the loan amount was directly transferred to the training institution’s account, and Xiao Wu never even saw the money. The previously agreed “repay after employment” turned into “fixed monthly repayments,” with a burden of 1,522 yuan each month.
Xiao Wu revealed that he still hasn’t found a job.
Several affected students mentioned that the quality of the training was low, mainly consisting of documents and pre-recorded videos with limited actual teaching content. “What we could learn online was basically all there was.” one student said.
After completing the training, the institution failed to fulfill the job placement promise, offering only basic resume guidance or interview opportunities and sometimes requiring students to apply for jobs themselves. Some students requested refunds, but were refused under the excuse that the “course costs had already been incurred.”
The training institution involved was the Shenzhen Shuangyuan Talent Exchange Management Center Ltd., located in the Wanshengju Business Center in Bao’an District, Shenzhen. In January 2026, the training scheme was exposed and abruptly ceased operations, with the related offices closed, and staff unreachable. Many students said they faced difficulties contacting the recruitment companies and training institutions, receiving no response or being unable to connect with them.
The head of the institution stated that due to being investigated by the public security authorities and having equipment seized, the company was temporarily unable to resume operations and would cooperate with the investigation. The Shenzhen police reported that the case had been registered as a suspected fraud and was still under investigation.
Student rights activists expressed that most victims were recent graduates or interns with weak financial foundations. Nearly a hundred people had joined the rights advocacy group, with many facing overdue loan repayments and even experiencing harassment calls to their families.
Legal professionals pointed out that such schemes typically entice job seekers with high-paying positions, then use “lack of skills” as a reason to push them into training and charge high fees through loans, displaying clear deceptive and profit-driven motives, falling under the typical scam pattern of “training loan”.
According to official data from the Communist Party of China, the number of college graduates in China has exceeded 10 million annually since 2022. In 2025, the number of college graduates reached 12.22 million, and it is projected to hit a record high of 12.70 million in 2026. With ongoing employment pressure, many graduates find themselves in the dilemma of “graduating into unemployment.”
As competition for jobs intensifies, some unscrupulous institutions take advantage to set up traps, and scams like “training loans” frequently appear on recruitment platforms.
A senior media professional in Beijing informed Voice of America that in cities like Beijing and some provincial capitals, the job counseling market is burgeoning. Almost every major job fair features organizations promising “pay for placement” or assistance in job-seeking, particularly targeting recent graduates. “Starting fees of tens of thousands of yuan aren’t unusual. In reality, it’s similar to preparing for civil service exams; no organization can guarantee you will definitely receive an offer from your preferred company. The more absolute the promise, the higher the likelihood of fraud.”
In response to the current complex job market situation with frequent scams, former Peking University professor Xia Yeliang previously stated in the Epoch Times that job seekers should prioritize legitimate channels, such as recruitment events organized by the government or universities, and conduct background checks on prospective employers, including business registration information, office locations, and operational status.
He also emphasized that job seekers should be alert to organizations that deliberately withhold company information or request registration or training fees, as legitimate companies generally do not charge for recruitment purposes.
He further advised steering clear of organizations demanding hefty entrance fees or restricting personal or communication liberties, as such behavior often involves pyramid schemes or illegal activities. Job seekers should adhere to principles of transparency and avoid entering closed, abnormal recruitment, or training environments.