You are at: Home Investment Fraud

Investment Schemes, Scams and Fraud

Investment scammers know how to turn your greed against you. Don't let the promise of big profits overpower your good judgement by making safe, wise investments.

Image of a piggy bank

Investors know they need to be careful. Unwise investment decisions can be costly. No matter how careful you are there is always some degree of risk. It's the nature of business. Some people tolerate more of it than others. High risk can lead to high gains. There's nothing wrong with taking a calculated risk once in a while.

Some investments promise high returns without any risk at all. That's right. They claim you can't lose. It's a sure thing. If you think this is possible you are ripe for picking by an investment scheme. Your pocket will be picked faster that you can say, "Where's the money?"

No investment is "risk-free"

Remember, no investment is without risk. Period. If the risk is high you need to realize that there is a good chance you will lose money on the deal. When someone tells you otherwise you need to consider the source. That could be you brother, sister, mother or father. No, I'm not saying they are trying to rip you off. Your close friends or relatives may have been duped by a scheme themselves. Pyramid schemes abound on the internet. Emails detailing the latest penny stock opportunity fill my spam folder daily. Asking a lot of questions and doing research, your due diligence, before investing can protect you and your family. Use our tips and articles on investment fraud to learn the techniques criminals use before you become a victim.

Investment Fraud Warning Signs:

Steps to Avoid Investment Fraud

How you detect and avoid a particular fraud will vary, depending upon the nature of the investment, but taking following actions will help you avoid many investment scams: