There are so many investment scams that you can see these days that offer their products and services. These can be in forms of selling memberships, shoes, soaps, deodorants,food supplements, juice,golds, investments and a lot more that are only to disguise in order to show that they are legitimate companies. I am pretty sure that one of your friends invited you also to join them, maybe you are currently doing that kind of business already or you are deciding to join soon. You should be seriously consider first to check if the company is a scam or legitimate.
A lot of the Filipinos fall into investment scams because of low financial literacy. We never learn about how money works thus we prefer to invest in quick rich schemes rather than investing in a legal way that needs patience,discipline and consistency.
Here are the red flags that you can notice if a company is offering investment scams:
1. They offer low risk investment and promises guaranteed high returns. If it’s too good to be true,it probably is.
2. You will earn through recruiting and signing up members,products are just fronts.
3. Their products are garbage and expensive.
4. Company is relatively new like less than 5 years and they will hype how many members they already have. You will hear the catchphrase “Everyone is doing it so it must be legit”.
5. They give vague information and confusing explanations about where money is invested.
6. Members will hype how much they earn like showing their money or showing off fancy cars.
7. You will see pyramid payment schemes.
8. There is no physical office of their company, they will just say that it is online business that is why there’s no need for a physical office. But be careful also, there are illegitimate companies who even have physical offices.
9. They promise quick rich schemes. Let’s say you just invested Ph3,000 and after 2 months, your money will be Ph300,000. The guaranteed returns are too high.
10. They will teach you to overload products for you to earn points while you can’t even sell it anymore.
These are only guidelines that you can look at if someone offers you opportunities that look like a scam because you don’t want your integrity be destroyed. Your family and your friends will no longer trust you when it comes to transacting business with you if you join these scam companies. Yes, you can earn money at first from those scams but you don’t want that money to feed your family because of swindling your family and friends.You don’t want to be called a scammer and the company that you represent will be featured in the news as a scam because a lot of people are now complaining about that company and eventually closes down.The system of scam companies is designed to fall down sooner or later. They come and go but your integrity is more important, don’t let it be destroyed because of greediness to earn fast. You can be also involved in syndicated estafa case if you are caught by the authorities which is not bailable.
I hope that you learn something from my blog about red flags of scam companies. Always remember this: Low Risk=Low Returns, Mid Risk=Mid Returns and High Risk=High Returns. If you really want to learn to invest in a legal way, it is advisable to talk to someone who is a licensed and authorized to sell investments. Be diligent when it comes to investing your money because there are so many people who really don’t care about you but they want is your hard-earned money.
To know more about investing in a legal way, you may reach me.