ködern
to bait
To attach bait to a fishing hook or in a trap in order to attract and catch an animal.
Der Angler köderte den Haken mit einem kleinen Fisch.
The angler baited the hook with a small fish.

to bait / lure
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to bait
To attach bait to a fishing hook or in a trap in order to attract and catch an animal.
Der Angler köderte den Haken mit einem kleinen Fisch.
The angler baited the hook with a small fish.

The verb 'ködern' (to bait / lure) derives directly from the noun 'der Köder' (the bait). A Köder is something you use to attract animals or even people.
Mit Würmern als Köder kann man gut Fische fangen.
With worms as bait, you can catch fish well.
The verb 'ködern' (to bait / lure) is very often used with the preposition 'mit' (with) and the dative. The thing that serves as the lure is connected with 'mit'.
Er köderte die Maus mit einem Stück Käse.
He baited the mouse with a piece of cheese.
When you 'ködert' (lure) people, it almost always has a negative meaning. It implies that you are tempting someone into something negative or deceptive with an attractive offer.
Lass dich nicht von diesen leeren Versprechungen ködern.
Don't let yourself be lured in by these empty promises.
to lure / to curl
'locken' and 'ködern' both have to do with a stimulus or offer that is meant to make someone or an animal do something. 'locken' is more neutral and more general: something is attractive, so someone comes or does something. 'ködern' sounds more targeted and often more negative. It can literally mean using bait for an animal. With people, it often means that you want to entice someone into something with an offer, sometimes involving deception. The words are easy to confuse because both describe a tempting means. If it is harmless or neutral, 'locken' usually fits. If it sounds like a trap, trick, or deliberate intention, 'ködern' is more likely to fit.

Die Betrüger ködern ältere Menschen mit falschen Gewinnen.
The scammers lure older people in with fake prizes.
Der Duft von frischem Brot lockt die Kunden in die Bäckerei.
The smell of fresh bread draws customers into the bakery.