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how to spot investment scam
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[QUOTE="Deleted member 28873, post: 83201"] Financial fraudsters use sophisticated and effective tactics to get people to part with their money. Here are ways you can take to help you spot an investment scam. 1. [LIST=1] [*]Verify credentials. Don't fall for a fancy title or other trappings of success. Fraudsters hope that if they look successful, you won't bother checking their credentials. Investment professionals must register with FINRA, the Securities and Exchange Commission or your state securities or insurance regulator. You can use FINRA,orBrokerCheck, a free online tool to get information on brokers and investment advisers. [*]Don't chase "phantom riches." Be skeptical of investment pitches that guarantee a certain return or promise spectacular profits. They are what fraud-fighters call "phantom riches" that you will never see. No salesperson can make those kinds of promises. The reality is that every investment involves risk. [*]Ignore the "everyone is doing it" story. Don't believe claims that "everyone" is in on the deal. Be wary of a sales pitch that focuses on how many people are investing, without telling you why the investment is sound. Remember, affinity frauds are scams that prey upon members of the same social circle, religious group or ethnic background. [*]Refuse to be rushed [/LIST] [/QUOTE]
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