How to Avoid Online Investment Scams

With the advent of the Internet, fraud and online fraud have become rampant, as the participating artists embody their real-world schemes to the network. The technology has allowed scammers to create beautiful and legitimate looking investment sites, sometimes complemented with graphics, a comprehensive affiliate program and an investment management platform.

davenport larocheDo not be fooled by online investment schemes that offer performance that seems too good to be true. These types of scammers usually attract people, asking them to invest a small amount first, usually $ 10. Then they are informed that for every dollar they have invested, they will receive income of 10% to 30% each month, depending on the amount that they spend. have invested. 

How they operate?

In general, those who invest less than $ 1,000 will receive only a 10% return per month, while those who invest more will receive approximately 30%. After seeing the return of the 10 percent they receive in the first month, some people will receive more money in the second month. So scam artists attract people, they play in greed.

The website for these schemes also shows online statistics of “profits” and, therefore, excites the victim to get more money for this scheme. Of course, the main objective of these scammers is to attract more people to the trap so that these schemes pay reference rates to the victims, sometimes up to $ 20 per referral.

Here, online investments become a pyramid scheme, where they are paid for the simple fact of turning to people to join. You are encouraged to create downlines and attract more people.

Of course, these schemes usually break down after 6 to 12 months, when too many people join, and it can be very expensive to pay the reference rates or even the monthly income.

Even if they pay you, investors usually get money from the money received from downlines. The most common trick is to pay investors for the first 3 months.

Remember that these schemes are not linked to any real currency or investment market, although they may seem so. They are not authorized by any bank, the websites are generally located in some other country and there is no evidence about the income reported on these sites. As a rule, they are difficult to track because they use false addresses and aliases.

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The main objective of the investment site is to attract as many people as possible to invest their money in plans. When scammers have all the money they want, they usually close their investment site and flee with investors’ money.


In the end, the victims are still high and dry, wondering what happened to their online investments. Click here davenport laroche reviews to read more.

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