Lionheart Assurance Solutions has noticed that scammers are targeting people with good incomes and a high net worth. Con artists are devising new scams to steal the identity of those who are financially successful. The best way to avoid these scams is to be aware of how they work.
The Lionheart Assurance Solutions LP Scam Prevention Toolkit recommends the following 5 strategies to avoid getting scammed when investing.
1. While not all investment proposals made over the telephone or via email are fraudulent, you should be wary of an unsolicited telephone call. It’s wise to ask numerous questions about the investment, and then do some independent research into the proposal. Sometimes what may seem like a good idea at the time may be risky, even fraudulent.
2. The call may be a genuine cold call from an investment sales person or it might be the set-up for a scam. Before accepting any investment plan, find out if the business is legitimate and if the person making the telephone call actually works for them. Consulting with the Better Business Bureau and calling the corporate headquarters of the investment firm can verify this.
3. It is better to go to the corporate office to make an investment then to do it over the telephone. This way you can see if the business is a real one and to get a contract in writing.
4. Be wary of the source of the offer. If it comes via fax, email, or a website, you don’t know if it is an actual business. Be especially careful of overseas “offshore investments.” Once you send in your money, you have no legal recourse to fall back on if it proves to be a scam.
5. Some scams are very difficult to detect. When in doubt, speak to a seasoned financial advisor to determine if the investment is a genuine one. For example, in a Ponzi scheme, an investor will actually get a return on their investment for a short while before the con artist disappears with all the investment funds.
The Lionheart Assurance Solutions LP Scam Prevention Toolkit also recommends that you should be suspicious if the sales person talks about a guaranteed return because all investments have some kind of risk.
About Lionheart Assurance Solutions & the Lionheart Assurance Solutions LP Scam Prevention Toolkit
Lionheart Assurance Solutions are business consultants who have been helping clients since 1997. They provide educational programs about a variety of scams, including identity theft. The Lionheart Assurance Solutions LP Scam Prevention Toolkit has been informing people about scam prevention since 2009.
