We should not simply believe on a quick money scheme. If someone thinks of getting rich faster, he will become bait for a scammer. We cannot deny the facts that they are so many victims being cheated around the world. This is because most people are wandering for getting rich faster. The scammers are very smart as they always create various attractive stories besides using a professional tactics to trap you as their baits.
Basically, there are three main methods of scamming:
To secure for a victim's confidence
To obtain money from a victim
The scammer will disappear with the victim's money
Below are some common cases of scams happen worldwide. The scam has caused the victims lose much money; some even commit suicide because they are unable to pay back the borrowed money. This article aims at providing you the details of scams so that you can aware of them and help stopping scammer's activity.
Swiss cash or Swiss Mutual Fund Scam
This is an online quick money scheme. Over 50000 victims around the world joined this program. The victims include lawyers, businessmen, technicians, government servants, workers, housewives and students.
The victims who joined Swiss cash fund are required to pay US30 for registration fee and the minimal investment is US100.
According to the SIP25 scheme, the investors are guaranteed for the fix 300% return for 12 consecutive months of investments. However, the Swiss embassy denied the existence of Swiss cash Fund.
The Swiss Cash Mutual website claimed that it is a $9 billion company but it does not appear in the listing of legitimate business funds. Also, it said that the company is fully licensed by the Government of Dominica, yet its phone and address are not listed by the government of Dominica. Their website is recently being blocked. Never fool or convince by all their schemes.
Nigerian e-mail Scam
Nigerian e-mail scam is also known as “4-1-9” or “419” e-mail scams as in Nigeria they fall under section 419 of the Nigerian criminal code. The scams are closely associated with advance fee fraud.
Even though this type of e-mail scam is commonly sent by Nigerian or African black people but it may even send from country other than Nigeria. The feature of the scams is as follows:
You will receive an electronic mail asking you to join certain projects that will benefit both parties
The scammer will notify you that the said person has a bulk deposit of US dollars in a foreign bank
Due to certain technical problems, the fund is unable to transact directly to the said person's account
The scammer will invite you to assist him and promise that if the transaction is successful, he will give you a share of dollars
Before you are qualified for the sum of dollars, you have to pay certain amount of money. He insists that this money is used to employ attorney to subscribe for the tax and endorsement fee. The payment is not for one time as you may be asked to pay more and more money to rescue this transaction.
Lastly, you do not receive hundred million of US dollars from the scammer and the money that you had paid cannot be refunded
Pyramid Scheme Scam
The scheme promises you for good earnings if you join as a member and bring in more people to join under you. Later, they will ask you to buy their products before giving you the guaranteed earnings.
Under this scheme, the victim has to pay a small amount of money, let say US50. The person who later joins under you has to pay US50, too; so that you may benefit from him for 1% income. The company promises for large sum of US dollars for those who have reached the top level of the pyramid. In fact, the people in the base layer of pyramid paid for the top layer's person not the company itself. In this procedure, the company benefits from the persons who joined the scheme by not investing any capitals. But be realistic, the persons who reached the top layer not you and me, they may be the persons from the company. The pyramid scheme does not generate any money to us. The money you earned actually is the cheated money from other newly-joined members.
If a person invites 3 persons as his down line, these three members have to invite 3 persons each for their down lines, summing up to 9 persons. Similarly, these 9 persons have to invite 3 persons each making up to 27 persons. The system goes till you reach the 21st level with members up to 160 hundred millions persons.
From the explanation above, we understand that 96% members lost money but only 4% of the members gaining the wealth. The scheme, does not generate wealth, it only allocates and distributes money paid by other new members to the old members. Actually, each dollar you earned is a one dollar lost of other party.
Black Money Scam
What is black money? It is money turned from a white paper. The scammer claims that you have to buy some unique chemical fluid in order to turn normal papers into US dollars. The scammer will then do some demonstrations to show you how to "wash" the paper into US dollar with a black chemical fluid to secure your confidence.
The scam I got sucked by came from the catholic church
#2 by david album, Jun 4, 2008
Have you ever heard of a company by the name of Intracom. They have offered me employment by wanting to wire money into my bank account and pay me 7% for the service. They want me to send via western union 93% of the original monies sent to me. That is for them to legally avoid paying vat taxes of 16%. There are no up front costs or funds that they are asking for. They will send me a 1099 at year end for tax purposes. They want to wire between 20-30 thousand dollars per week and my commission would be between $1,400 - $2,100 per week. Seems to good to be true. What do you know or think? Of course if I had a very small amount in my checking account what could the risk be? If this is a scam I cannot figure it out. HELP
#3 by CHAN LEE PENG, Jun 5, 2008
To commentor #2
You're advised to check the details of the company backgroud and be sure that every single cent of your money doesn't go like that. It's always better to go for a legal companny. I hope this helps.
#4 by Enguelver Rumbo, Jun 21, 2008
I had a question regarding "Bait Money".
I recently discovered that some of the bills that I received when cashing my pay checks at the financial institution I work for were apparently recognized as "Bait Money" from a branch that just got robbed, should I be concerned even if I'm not involved in such robbery?
Thank you!
#5 by Charles, Jul 27, 2008
The scam could "possibly" be you giving them access to your bank information.
