How to Recognize a Ponzi Scheme
How to Recognize a Ponzi Scheme

How to Recognize a Ponzi Scheme

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How to Recognize a Financial Pyramid

If someone is trying to persuade you to invest money for a short period and promises substantial profits, while requiring nothing from you except possibly bringing in new participants, they are luring you into a financial pyramid.

You should be alerted if the project is presented as a know-how and involves overly unconventional schemes that raise suspicion. The project's office is inadequate for a 'super successful' and 'dynamic' business, or it may be completely absent. Typically, fraudsters do not provide clear information on what they earn from and how.

Be vigilant! Before investing your savings, search for information about the company on the internet. Work only with licensed financial service providers and only under a contract. Carefully review the contract and consult with lawyers if you have any doubts.

Considering the necessity to combat fraud and financial pyramids, we encourage you to learn more at the financial literacy educational media portal Fingramota.kz in the section 'Beware of Fraudsters'.