On this page
- Why the Offer Letter Matters
- 10 Red Flags in an Internship Offer Letter
- 1. A Company You Can't Find
- 2. An Email from Gmail or a Lookalike Domain
- 3. A Role with No Real Duties
- 4. A Stipend That Isn't a Number
- 5. Any Fee, Deposit or Purchase
- 6. Missing Dates or Hours
- 7. No Named Manager
- 8. Bonds, Penalties and Non-Competes
- 9. Early Requests for Sensitive Documents
- 10. A Deadline Measured in Hours
- What a Genuine Offer Letter Includes
- How to Respond to a Doubtful Offer
- Our Recommendation
A third-year B.Tech student in Bhopal opens an email at 11 pm. Subject line: "Congratulations! Offer of Internship." The PDF has a logo, a signature and a stipend of ₹12,000 a month. He's about to reply "I accept" when he notices the last paragraph asks for a ₹2,500 "onboarding deposit" within 24 hours.
That paragraph is the whole story. An internship offer letter is the only written promise you'll get about money, hours and who's responsible for you, so it's worth ten careful minutes before you sign. This checklist walks through the letter clause by clause and flags what should make you stop. It's built from official advisories by the National Career Service, AICTE and UGC, not from our own case files.
Why the Offer Letter Matters
Most students treat the offer letter as a formality. It isn't. Internships in India sit in a grey zone: they aren't regular jobs, so the letter is often the only document that says what you'll be paid and when. If the stipend never arrives, the letter is what you'll point to. We covered the money side in our guide to paid vs unpaid internships.
It's also where scams finally show their hand. A fake recruiter can fake a friendly chat and a quick "interview", but sooner or later they need you to pay, and that ask usually turns up in the letter or right after it. AICTE told Education Times in February 2025 that it had acted against 13 to 14 firms for charging students for internships, some asking ₹500 to ₹1,000 for safety gear or laptop access. The amounts are small on purpose. They're easy to pay without thinking.
10 Red Flags in an Internship Offer Letter
Read your letter with these ten checks in mind. One flag means ask questions. Two or more means don't sign until you get clear answers in writing.
1. A Company You Can't Find
The letter should carry the company's full legal name, and ideally its address and CIN. Search that exact name on the Ministry of Corporate Affairs company master data page. If no registered entity turns up and the company has no website or public trace of its work, that's a problem. Early startups can be genuine before they register, but then you should at least be able to find the founders and the product.
2. An Email from Gmail or a Lookalike Domain
The National Career Service advisory from the Ministry of Labour and Employment says employers generally use their official domain IDs. A letter for a company at brightpixel.in that arrives from brightpixel.hr@gmail.com, or from brightpixel-careers.com, fails this check. Confirm by emailing the address on the company's own website, not the one that sent the offer.
3. A Role with No Real Duties
"Marketing intern" followed by nothing is a warning. A real letter says what you'll actually do, even in two lines: "run the Instagram calendar and write two blog drafts a week" is a role. "Brand promotion and business development" usually means selling courses to your own friends.
4. A Stipend That Isn't a Number
Look for a figure in ₹, how often it's paid and when. "Performance-based stipend", "up to ₹20,000" or "stipend after successful completion" with no base amount are all ways of promising nothing. AICTE's National Internship Portal makes a point of declaring stipends upfront, which is the standard to hold every employer to. If you're unsure what a fair figure looks like, our internship stipends guide has the numbers.
5. Any Fee, Deposit or Purchase
This is the one that settles it. The NCS advisory lists the words to treat as warning signs, including security money, refund, training fee, joining fee, laptop and payable. If any of them shows up in your letter, or in the email that came with it, stop.
6. Missing Dates or Hours
A letter needs a start date, an end date or duration, and your working hours or weekly commitment. This matters beyond fairness. Under UGC's internship guidelines, undergraduates must complete an internship of 60 to 120 hours after the fourth semester, so your college may need those dates and hours on paper to give you credit.
7. No Named Manager
Who are you reporting to? A genuine letter names a person, their role and how to reach them. UGC's guidelines expect an internship supervisor who issues your completion certificate at the end. "You'll be assigned to a team" with no name means nobody's accountable for your work or your stipend.
8. Bonds, Penalties and Non-Competes
Some letters say you'll pay a penalty if you leave early, or that you can't work for a competitor for two years. Be very careful here. Section 27 of the Indian Contract Act, as summarized on Wikipedia, generally bars agreements that restrain someone from a lawful trade, though courts have allowed some narrow clauses. For a short internship, a money penalty for leaving is a red flag on its own. Confidentiality about the company's data is normal. Owing them money is not. This isn't legal advice; if a letter has a bond, ask your placement cell before you sign.
9. Early Requests for Sensitive Documents
HR may need your ID and bank details to pay you, but that comes after you accept, through an official channel. The NCS advisory warns that genuine employers won't ask for Aadhaar, bank account or card details upfront. A letter that wants your Aadhaar scan, PAN and a cancelled cheque before you've even spoken to a manager is collecting data, not hiring.
10. A Deadline Measured in Hours
"Accept within 6 hours or the seat goes to the next candidate" is pressure, not process. Real employers give you a few days, and they'll answer questions about the letter without getting annoyed. If asking "when is the stipend paid?" gets you a deadline reminder instead of an answer, you have your answer.
What a Genuine Offer Letter Includes
Use this table as a side-by-side check against the letter in your inbox.
Clause | Genuine letter | Red flag |
|---|---|---|
Company | Legal name, address, findable on MCA | Brand name only, no trace |
Sender | Company domain email | Gmail or lookalike domain |
Role | Title plus real duties | "Promotion" or nothing |
Stipend | Fixed ₹ amount and pay date | "Performance-based" or "up to" |
Dates and hours | Start, end and weekly hours | Open-ended or blank |
Manager | Named person and contact | "A team" or no one |
Money from you | None | Any fee or deposit |
Exit terms | Notice period, no penalty | Bond or fine for leaving |
How to Respond to a Doubtful Offer
You don't have to accuse anyone. Ask for what's missing, politely and by email: the registered company name, the stipend amount and date, your manager's name. A real company will fix a sloppy letter. A fake one will go quiet or get pushy.
If you've already paid or shared bank details, move fast. Call the cybercrime helpline 1930 and file a complaint on the National Cyber Crime Reporting Portal, tell your bank, and save every screenshot and UPI ID. Our guide on how to spot a fake internship walks through the full verification routine, including what to check before you even apply.
Our Recommendation
Treat the offer letter as the moment of truth, not the finish line. A genuine employer gives you a specific, signed letter and asks for nothing but your signature. The more a letter avoids numbers, names and dates, the less it's worth, no matter how nice the logo looks.
If you'd rather start with companies that have already been checked, browse internships on InternsGuru. Companies verify their domain, work email and phone and go through admin review before they can post.
