Staying safe

Brand deal red flags for creators: twelve warning signs and what to do

A bad brand deal usually shows itself in the first message: rights with no fee, payment with no date, a label you are asked to hide or a link you are asked to click. Here are twelve warning signs and the response for each.

7 min readUpdated

Planning a campaign? Get a free creator shortlist and cost estimate in 48 hours.

Get a creator plan

In short

  • The costliest flags are rights without pay (unlimited or perpetual usage), payment without a date, and any request to hide the ad label.
  • Scams share patterns: a fee charged to you, a login link, a request for your OTP or UPI PIN, a mismatched sender domain. Pay nothing and share nothing.
  • One flag is a question; two or three together mean pause. A fee, a password request or a demand to remove the label means walk away.
  • Disclosure is your risk too: ASCI and consumer-affairs rules put duties on creators as well as brands.
97.3%of the 1,609 influencer ads ASCI processed in 2025-26 needed modificationSource
₹10 lakhmaximum first-offence fine for endorsers under the 2022 misleading-advertisement guidelines (₹50 lakh for later offences), plus bans of up to 1 yearSource
54%of influencer violations ASCI recorded in 2025-26 were illegal betting promotionsSource

The warning signs of a bad brand deal are a fee charged to you, a request for your password or UPI PIN, no written contract, usage rights with no extra pay, payment with no date and a request to hide the ad label. Most appear in the first few messages. Spot them early and you lose an hour. Miss them and you can lose a month, a Reel you cannot reuse or an account.

This post is the creator's checklist. Brands run the mirror image of it when they vet you; see our vetting checklist. For what fair terms look like, read how to negotiate brand deals, and for the market context, our guide to influencer marketing in India.

One flag, two flags, a walk-away

LevelWhat it meansWhat to do
AskA term is unfair or unclear but fixableAsk for a change, in writing
PauseTwo or three flags together, or one you cannot verifyStop work, verify, and delay your reply
WalkA fee from you, a request for credentials, a request to hide the labelDecline and move on

The twelve flags

#FlagWhy it hurtsWhat to say or doLevel
1A fee charged to you: registration, deposit, verification, shippingGenuine brands pay creators"I do not pay to collaborate." LeaveWalk
2A request for your password, OTP, UPI PIN or a login linkIt is an account or bank takeoverDo not click or share. Report the messageWalk
3The sender's domain does not match the brandA look-alike address or free mail accountCheck the official site and call backPause
4No contract, only chatYou cannot enforce rights or payment"Please send a contract to sign"Pause
5Unlimited or perpetual usage inside the base feeYou give away rights that have a priceQuote rights as a separate lineAsk
6Long, unpaid or open-ended exclusivityIt blocks other dealsName competitors, shorten, price itAsk
7No payment date, or payment "after performance"You carry all the riskA date and a part advanceAsk
8A request to hide or remove the ad labelIt breaks the rules and you share the riskDeclineWalk
9Claims you cannot back: guaranteed results, health or finance promisesYou carry the legal exposureChange the line in writingPause
10Betting, gambling or offshore betting promotionsThe most-flagged category in ASCI dataDeclineWalk
11"Exposure" for a big scopeExposure does not pay a billQuote the scope, offer a smaller oneAsk
12Unlimited revisions or access to your accountFree hours, or a lost accountTwo rounds; never share accessAsk or Walk

Rights flags: unpaid usage and perpetual rights

Usage rights decide what a brand can do with your video after it goes live. Published guides price them: a brand repost at +25 to 40 percent of the base fee, usage rights at +30 to 50 percent, and perpetual usage at +80 to 150 percent. All are asking prices, not audited data. See the rates guide.

Words in a contract that should make you stop and read: "in perpetuity", "irrevocable", "all media now known or hereafter devised", "worldwide", "royalty-free" and "including your name, face and voice". The fix is a limited licence with a period, named handles, organic or paid stated, and a separate price for ads.

If the clause saysAsk for
"Perpetual, worldwide, all media"30 or 60 days, named handles, renewal price fixed
"Brand may edit and re-use"Approval over re-cuts, or no edits beyond trimming
"Use of your likeness and voice"A separate consent and fee; no AI-generated likeness without both
"Exclusivity for the category"Named competitors only, 30 days

Our guide to usage rights for influencer content has sample clauses, and the exclusivity clause guide does the same for restrictions.

Payment flags and what to do when it is late

Payment trouble starts in the contract, not the bank. We found no reliable published figure for typical payment days in India, so there is no "normal" to point to. Write a date you can live with, ask for a part advance and tie rights to payment in full.

Warning phrases: "we pay after the campaign performs", "payment after our client pays us" with no outer date, and "payment after approval" when approval has no deadline.

If a payment is late, work up a ladder:

  1. Day after the due date: a polite reminder with the invoice and the contract clause.
  2. A week later: a note to a senior contact, copying the person who booked you.
  3. Written notice: say you will pause further work, and any rights licence if the contract says rights begin on payment, until you are paid.
  4. A lawyer: if the amount is large and the brand does not respond, take advice on a legal notice.

This is general information, not legal advice. Keep every message, the signed contract, your invoice and proof of delivery. Our guide to TDS 194R and GST on influencer payments explains why a payment may arrive net of TDS.

Disclosure and claims flags

Disclosure is not a brand preference. ASCI requires a clear label whenever there is a material connection, including free products, and says the creator and the advertiser share responsibility. In 2025-26, 97.3 percent of the 1,609 influencer ads ASCI processed needed modification, per its annual complaints report.

Regulators can also reach you. Under the 2022 misleading-advertisement guidelines, described in a PIB release, endorsers can be fined up to ₹10 lakh, and up to ₹50 lakh for subsequent contraventions, and barred from endorsing for up to one year, or three years for repeat offences. The Department of Consumer Affairs' Endorsement Know-hows say not to endorse what you have not used or done due diligence on.

Three claim types need extra care:

  • Health. Technical advice needs the qualifications ASCI lists, shown upfront. See health influencer rules.
  • Finance. Stock and investment advice needs SEBI registration, with the number shown. See finfluencer rules.
  • Betting. ASCI's 2025-26 data put illegal betting at 54 percent of influencer violations. Decline every such offer.

The brief should never ask you to remove the label. Our posts on disclosure hashtags and consumer-affairs endorsement rules show what compliant looks like, and the full rule set is in the ASCI guidelines guide.

Flags inside the brief

A brief can be as risky as a contract. Read it for these:

  • A script of claims. "Clinically proven", "100% natural", "guaranteed results" need evidence the brand can show you. ASCI says influencers should satisfy themselves that the advertiser can back its claims. Ask for the proof or change the line.
  • A staged customer review. If the brief asks you to pose as an ordinary buyer when you were paid, the post is misleading. Say what you truly think, with the label.
  • A comparison with a named rival. You may be drawn into a dispute you have no means to settle.
  • "Do not mention it is an ad." This is a request to break the rules; decline.
  • Moving goalposts. A brief that changes after you have shot is a payment risk. Agree one round of changes, then a fee for more.

Unpaid test shoots

Some brands ask for three free sample videos "to be considered". Unpaid sample work for a brand is a flag, because you hand over finished content with nothing in writing about who owns it. Offer a paid test instead: one video, a fee, rights limited to evaluation and a clear decision date. Brands that hire UGC creators properly already do this; see our guide on how to find UGC creators, our UGC content creators service and, for your side of it, how to become a UGC creator in India.

Fake brand scams: patterns and a five-minute check

PatternHow it looksWhat to do
Fee to join"Pay ₹X to register for the collaboration" or a "refundable deposit"Refuse. Real brands do not charge creators
Login to verifyA link to "verify your account" for the collabDo not click. It steals the account
Payment trickYou are asked to accept a request and enter your UPI PIN to "receive" moneyReceiving money never needs a PIN. Refuse
Look-alike senderFree mail address, or the brand's name with an extra letterCompare with the official site
Buy first, reimburse laterYou are asked to pay for a product with promised repaymentRefuse
Too good to be trueA large fee for a Story from an unknown brand with no websiteVerify before replying

Five-minute check:

  1. Find the brand's official website and compare its domain with the sender's email.
  2. Find the brand's official social account and see whether it tags creators.
  3. Find the named person on LinkedIn at that company.
  4. Call back on the number listed on the official website, not the one in the message.
  5. Ask for a contract naming the legal entity, and check its name and address match the website and invoice.

If you have clicked or paid, change your passwords, switch on two-factor login, tell the platform and report the incident on the national cybercrime reporting portal.

Flags in agencies and networks

The same tests apply to agencies and networks. Warning signs include any fee charged to creators, a lock-in with no exit, no named contact, and "we pay when the brand pays" with no outer date. We are an agency, and Influencer Gully earns its fee from brands and charges creators nothing, so hold us to the same checklist. If you want to know whether a manager or an agency fits you, read talent manager vs agency for creators.

What to say when you spot one

SituationMessage
Unclear scope"Before I quote, could you confirm deliverables, rights, exclusivity, dates and budget?"
Rights too wide"I can license ads for 30 days at ₹[amount]. Perpetual rights are priced separately."
No payment date"Please add the payment date to the contract. I can start once it is signed."
Label removal"I label every collaboration, so I will keep the label."
A fee from you"I do not pay to collaborate. Thank you for your time."

If you want briefs where the fee, rights and payment date are written down before you say yes, join the Influencer Gully network through the for creators page. We never charge creators.

This is general information, not legal advice.

Sources

  1. ASCI annual complaints report 2025-26, ASCI (May 2026)
  2. Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022 (press release), PIB, Department of Consumer Affairs (10 Jun 2022)
  3. Endorsement Know-hows! for celebrities, influencers and virtual influencers, PIB, Department of Consumer Affairs (20 Jan 2023)
  4. ASCI Guidelines for influencer advertising in digital media, ASCI (accessed 31 Oct 2026 (Addendum II dated 6 Mar 2025))
  5. ASCI update on influencer guidelines for health and financial influencers (press release), ASCI (28 Apr 2025)
  6. Influencer marketing pricing in India 2026: rate card, usage rights, exclusivity and whitelisting premiums, Indian digital agency guide (low confidence) (20 Apr 2026, updated 16 Sep 2026)
  7. Instagram brand deal rates in India 2026, Indian brand-deals guide (low confidence) (4 Mar 2026)

Frequently asked questions

What are the biggest red flags in a brand deal?

A fee charged to you, requests for passwords or your UPI PIN, no written contract, unlimited or perpetual usage rights without extra pay, payment with no date, a request to hide the ad label and promotions you cannot back, such as betting or health claims. Any one is a reason to ask questions. Two or three together are a reason to pause.

How can I tell if a brand collaboration is a scam?

Check that the sender's email domain matches the brand's official website, find the named person on LinkedIn, and call back on the number from the brand's own site. Scams usually ask you to pay a fee, click a login link or enter a PIN to receive money. Genuine brands pay you and never need your OTP or password.

Should I ever pay a brand or an agency to collaborate?

No. Brands and agencies earn their fee from advertisers and pay creators. A registration fee, refundable deposit, verification charge or product-shipping fee asked of you is a red flag, and usually a scam. Influencer Gully never charges creators; see our for creators page for how it works.

Is it a red flag if a brand wants perpetual usage rights?

Yes, unless the fee reflects it. Published guides put perpetual usage at +80 to 150 percent of the base fee, against +30 to 50 percent for standard usage rights. Ask for a limited licence with a period, named handles and a separate ad price. Our guide to usage rights shows the wording.

What should I do if a brand does not pay me on time?

Send a written reminder with the invoice and the contract clause, escalate to a senior contact, then give written notice that you will pause further work and any rights licence until payment, if your contract allows it. If that fails, speak to a lawyer. This is general information, not legal advice.

Can a brand ask me to skip the ad label?

It can ask, but you should not agree. ASCI requires a clear label on any post with a material connection, and responsibility is shared between creator and advertiser. The 2022 consumer-affairs guidelines let regulators penalise endorsers as well as brands. See influencer disclosure hashtags for what the label must look like.

Nitish Ranjan, Founder of Influencer Gully

Nitish leads Influencer Gully. His team has run 250+ campaigns for 100+ brands with creators across 200+ Indian cities.

Start a campaign

Tell us what you’re selling. We’ll show you who should sell it.

Share your product, budget and timeline. Within 48 hours you get a shortlist of vetted creators, a content plan and a cost estimate, free and without obligation.

  • A named strategist, not a ticket queue
  • Creators vetted for fake followers and brand safety
  • ASCI disclosure and contracts handled
  • Weekly reporting on reach, engagement and sales

Get a creator plan in 48 hours

We reply within 2 working hours and send a creator plan within 48 hours.

Or WhatsApp +91 97112 38245. No spam, no creator list sold.

WhatsApp Get a creator plan