Just about everywhere you turn these days, there is some kind scam going on. Sadly, investment scams are at an all-time high.
People want to invest money because they’d like to ultimately “make” money and be comfortable in retirement. Nice thought, and at one time, this was quite “doable.” Since the recession hit, those with investments have lost a lot of money, not their shirt – not yet – but it’s been a depressing ride for many. It’s hard not to understand why those who have lost funds would want to recoup them as fast as they can, any way they can – legitimately that is.
With that kind of investor mindset, it’s not much wonder there are scam and con artists out there that will set up schemes that are too good to be true and go trolling for unsuspecting investors. Unfortunately, even some pretty savvy people who do invest quite often get “had” by a scheme now and then. Of course, there are also the uninitiated investors who may be dabbling in the market and have an inkling of what they are doing, but not enough knowledge and intuition to spot a fraud when it raises its ugly head.
Here are a few things to be on the alert for if you are planning on doing some investing. If the rate of return on your investment is way too high – it sounds fantastic in fact – tone down your enthusiasm, because in cases like this it “is” too good to be true. The truth is that it is very rare for an investment to return more than twice the principle.
Keep in mind too that every investment must be audited and if this is not being done, your radar should go on high alert, prompting you to do some in-depth searching about the “opportunity of a lifetime.” Feeling rushed to fork over your cash? Being pressured to buy in or lose out? Back up a few steps and reconsider what you are doing. If the business offering the opportunity is legit and stable, they aren’t going to be out hustling customers and they won’t be using hard sell tactics either. This is when the word “No” should leave your lips promptly.
Sometimes all you have from the person who is trying to sell you something is their word about their firm or opportunity. Even though you may feel like its overkill to check out the firm’s rep and their investment offerings, do it anyway. The time you check may be the time you find out you should “not” invest your hard earned money.
If for some reason you got had by some smooth dude selling something that cleaned you out, speak to a qualified attorney with experience in this area of the law. You never know, you may be able to recover something.
Michael G. Smith is anArkansas personal injury lawyer and Arkansas accident lawyer, practicing personal injury law and veteran’s benefits in Arkansas. Learn more by visiting Arkansaslawhelp.com
