Have you heard...
TOP 10 LINES FROM FRAUDULENT INVESTMENT PROMOTERS
"We don't make money unless you make money."
"I know you get offers everyday from people who tell you they're going to make you rich. I can make it easy for you to make your decision based on actual facts."
"This opportunity is the best chance to make extra money for guys who work for a living... guys like you and me."
"I've been in the business for 20 years, and I can tell you this: I know no other program that's legal that's so easy to afford and so easy to work that can bring in this kind of big money from such a small investment."
"I know this can work for you. I personally guarantee your success, right down to the last penny."
"Give me one percent of your trust. I'll earn the other 99 when you see the return."
"Of course there's a risk. There's a risk in everything."
"Sure we could finance this venture ourselves. But we're trying to build a power base for the future with folks like you."
"We're talking about a cash cow here. But it's going fast. I need your check tomorrow at the latest."
"I can't be lying. There are laws against that."
High pressure sales pitches may sound exciting, but as a rule, should be resisted. Before you invest any money, take your time. Get a second opinion from a professional you trust: a financial planner, an attorney, or an accountant. Finally, research the company's reputation. Call your local consumer protection agency and the consumer protection agency in the city where the company is headquartered for more information.
From the Department of Full Disclosure...
WHAT THEY SAY ISN'T ALWAYS WHAT THEY MEAN
Americans lose hundreds of millions of dollars to telemarketing fraud. When the subject is investment opportunities, telephone scam artists don't always mean what they say.
What They Say What They May Mean
"I have an investment opportunity for you. Profits are almost certain. The risk is definitely minimal." Once I get your check, my profits are certain. There's no risk for me.
"It would be illegal for me to guarantee profit. But our customers are making thousands of dollars a month on our investments." Not a single one of our customers has ever made a dime on our investments and none of them ever will, but if I don't say the words "guaranteed profits" I may be able to stay out of jail.
"Once you see how well you do with me, you'll be my client for life." Once you invest with me, I'll keep calling to get more money from you until you absolutely refuse to invest one dollar more and tell me that at least three times.
"If you don't take some risk, you'll never make a profit....The opportunity is going fast. You better act now." The biggest risk you could ever take is listening to me, and I know if I don't get your money now, you'll find someone who will talk you out of this crazy thing you're about to do.
"I know you've been burned before on investments over the telephone, but trust me that this opportunity is different." I know you've been burned before because I bought the mailing list from those guys after government regulators put them out of business. And trust me, my investment opportunity will be just as sure a loser as those others.
"We've been in business for over 20 years." We close down and change our names every two years or so to try to keep one step ahead of law enforcement.
"Are any of your investments currently showing you a 40 to 50 percent return with low risk?" I know there's no such thing as an investment that makes that kind of return with low risk, but if you don't hang up the telephone when I say that, I just may be able to get you to buy the junk I'm selling.
"This is the next great business you've been reading about in the papers. It's going to make fortunes for people, and you can get in on the ground floor." Fortunes can always be made by people who devote great time and energy to develop businesses from the ground floor, but not by people who just send checks to someone who calls them on the phone.
Investment Tips
Do:
Take your time before investing your money.
Research the investment opportunity. It's unlikely you will make money in a business deal you can't understand or verify.
Get a second opinion. Consult someone you trust, such as a financial planner, attorney, accountant or friend.
Research the company's reputation. Call your local consumer protection agency and the consumer protection agency in the city where the company is located.
Don't:
Believe everything you read - or sweet individualume that slick promotional materials are legitimate.
Let anyone pressure you into making an investment decision if you're not interested or ready.
Spend more money than you can afford to lose.
Use your IRA funds until you have talked to your tax consultant. You may risk large tax penalties.
Send money by overnight delivery or wire transfer, or authorize a credit card payment or automatic debit to your bank account to anyone you don't know.
Believe anyone who promises big returns with little or no risk.
Resources
For more information about investment fraud contact:
Federal Trade Commission
Securities and Exchange Commission
North American Securities Administrators sweet individualociation
National sweet individualociation of Securities Dealers
National Fraud Information Center
Chief United States Postal Inspector
Your State Attorney General's Office
Your State Securities Commission, Securities Department or Department of Corporations
Your local Better Business Bureau
The FTC works for the consumer to prevent fraudulent, deceptive and unfair business practices in the marketplace and to provide information to help consumers spot, stop and avoid them. To file a complaint, or to get free information on any of 150 consumer topics, call toll-free, 1-877-FTC-HELP (1-877-382-4357), or use the online complaint form. The FTC enters Internet, telemarketing, and other fraud-related complaints into Consumer Sentinel, a secure, online database available to hundreds of civil and criminal law enforcement agencies worldwide.
