Life has become increasingly harder to make ends meet. People are continually looking for ways to look for a “quick fix.” That is why millions of people struggling with shrinking incomes, mounting debt, and tight budgets are resorting to so-called “get-rich-quick” programs to pull themselves out of debt. Unfortunately, such schemes can cause more havoc than they solve – not only for individuals but for society as a whole.
Get-rich-schemes come in many forms and here are some of the most common schemes you can find:
- In this classic get-rich-scheme, the ‘pyramid’ scheme promises a large return in investments but offers no real value. If they require you to pay a substantial upfront fee, they often have a special business opportunity behind them.
- Survey schemes that offer quick payments
- Online affiliate marketing scams that promise large incomes for just working a few hours a week
An increasing number of victims have fallen to the pitfalls of get-rich-schemes. Most of these schemes promise a high return on investment. Some of them even go so far as to call the initial payment an “investment” with promises of massive rewards over time.
Here are some of the biggest warnings that you should avoid.
Pay Now, Regret Later
With the promise of huge revenue, people are often eager to pay upfront, especially if they are promised a guaranteed payout with minimal effort. Unfortunately, investing in advance does not mean selling something, but buying something, which means that you have bought a product, service, or company, not a particular investment.
Dangers of get-rich-scheme
One of the biggest dangers associated with get-rich-schemes is the risk of fraud, not to mention the possibility of identity theft. Get-rich-schemes like to pretend they are risk-free, with a small amount of upfront cash, and minimal effort. Scammers use forged names, false addresses, and false telephone numbers to trick you into believing.
How to spot a scam
Unfortunately, investment scams are harder to spot especially when they are designed to look like profitable investments. The majority of these get-rich-schemes sound too reasonably good, when in fact, all they are is a sophisticated fraud masked behind a mountain of promises.
- If they promise big payouts with little effort on your part, then you should be suspicious.
- Making magical money by working x hours.
- Invest now and get three times your money in a few days.
- Strong income. No experience required.
The best way to protect yourself from these fraudulent scams is to perform a thorough background check and ensure that the company and representatives are legitimate. You should also check with the Better Business Bureau whether a business is legitimate or not, and also look out for possible fraud.
Need debt help? There’s Away
CreditGUARD of America’s professional counselors can create a debt management plan to pay off your debt in 3 to 5 years. We will combine all of your debts into a single monthly payment and lower the interest to an affordable extent. Visit the website at https://www.creditguard.org/ to find more information about our nonprofit debt consolidation services. To discuss your options, speak with one of our certified counselors by reaching us at 800-282-8497. Call us today!