smart spending

Phone scams against the elderly

Investment scams
6 of 7
Investment scams

You receive a phone invitation to a free lunch seminar. Or the invitation could be for a weekend getaway or even a cruise. It could arrive in the mail.

If what's being hyped is labeled as an investment opportunity, it's frequently "a bogus investment," says Breyault. These so-called opportunities are often Ponzi schemes.

"Scammers buy phone lists," Breyault says.

Scam signs:

  • Promises unbelievable returns but puts none of that in writing.
  • Pressures you to make a decision on the spot. "If it's a good investment today, it will be a good investment the next day," says Breyault.
  • Claims sponsorship or endorsement by organizations or agencies that don't endorse or sponsor investments.
  • May claim to be registered or licensed when they really are not.

Tip: Never make investment decisions immediately. And vet all professionals and potential investments, Breyault says. Do background checks.

And skip the freebies. Like your mama always told you: There's no such thing as a free lunch.




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