As inflation rises, money worries are becoming realer than ever for many Brits. The stress caused by money worries means that the average person is more likely to fall for scams – especially when the scammers appear to promise a way to improve your financial situation.
Research from the investment advice platform InvestinGoal reveals the most common types of scams that have been hitting the public in recent months. Here are 5 of the worst culprits to look out for.
Boiler room scams
Boiler room scams are when the scammer sets up a fake company. They encourage people to invest in what appears, on the surface, to be a promising investment opportunity. Unfortunately, the whole thing is a facade. After attracting investment, the scammers disappear, the company disappears, and your money disappears with it.
Ponzi schemes and pyramid schemes
Ponzi and pyramid schemes often involve slick marketing which encourages people to get on board. They often get average people – like your friends and family – on board, which is partly what makes them so convincing. The reason they work so well is that the first cohort of people who join may actually get some returns on their investment (while the scammer takes an even bigger return). However, latecomers can be sure that their money is going straight into the pockets of the con-artists who started the scam.
Fake gurus
Fake gurus are probably the best known type of scammer on this list, as social media has…
