Protect Your Investment And Avoid Fraud Investments

Fraud investment? How often do you hear this term circulating in the public, especially through the news media where many people experience fraud under the guise of investment which is often called fraud investment.

However, before we discuss fraud investments and how to avoid them, it helps us to get to know the real definition of what investing is.

However, in reality, there are many forms of investment offered to consumers that cannot be justified, especially regarding profit sharing, which at the beginning of the offer becomes the main marketing strategy to attract customers.

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In fact, instead of getting a profit, the customer’s stored funds have also disappeared and their whereabouts are not clear. This condition then gave rise to the term fraud Investment among the community.

Protect Your Investment And Avoid Fraud Investments

Here are practical tips from so that you are saved from fraud investment scams.

1. Be Alert If You Get Offers Extraordinary Benefits

Indeed, not all investment offers that promise attractive returns can be categorized as fraudulent investments. However, you should be vigilant if you get such an offer.

Recognize the main characteristics of investment fraud namely :

  • The returns or benefits offered are very high (often unreasonable) and/or in a certain amount;
  • Investment products are offered with the promise to be guaranteed by certain instruments, such as gold, demand deposits, or guaranteed by certain parties such as the government, banks, and others;

So, control yourself. Perform simple math calculations to estimate whether the offer is reasonable or not.

Especially if the investment offer with the frills of capital is not too large, but you are promised huge profits in a short period of time.

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2. Perform Licensing Checks for Investment Institutions or Companies

Every financial institution or product, especially those that collect public funds and manage investment, must have official permission from the relevant agency and have the authority to deal with this matter.

Do checks and checks like checking online. Make sure whether the institution that sells or offers investment products has obtained a business license in accordance with its line of business.

Beware of the company or institution only has a TBP (Trading Business License) to run its investment products, because TBP is not a license to raise funds and manage the investment.

Remember the lesson from the Jouska case. Many customers were deceived and lost money because it turned out that Jouska did not have a business license to manage customer investments and funds.

Don’t be easy to believe from a well-packaged and attractive profile on social media (Facebook, Instagram) or Youtube. You must be vigilant and keep checking through the official website and double-checking business licensing and investment products from the relevant regulators.

You should also understand who the regulators are who oversees the companies that sell and offer investment products that are offered to you. This is important in case something happens in the future.

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3. Report a Confusing Investment Offer

Not all investment products offered to the public are fraud investments, because there are investment products that actually provide benefits for their customers.

The key is your caution. For this reason, a complete cross-check or search is needed and certainly don’t be easily dazzled because of the investment offer with large profits in a short time.

You must be careful in investing, here are the tips:

  • Do not hand over funds before making and signing a formal, detailed agreement. Before signing the agreement, read carefully every article contained in the agreement so as not to cause misperception in the future. If necessary, enter into the sale and purchase agreement before a notary public.
  • Read carefully the terms relating to the product. Watch out for any form of seduction that forces you to make an immediate or seemingly pushy decision. Make sure you fully understand the rights and obligations, benefits, costs, and risks associated with the product.
  • We recommend that you carefully study the investment product that will be taken, including finding out the background of the company that organizes the investment before making a decision on your participation in the investment.
  • Gather as much information as possible about the investment product, how the company or institution invests its customers, what instruments the company or institution uses to generate profits as promised.
  • If the investment is invested in real terms, such as plantations, as much as possible you take the time to see firsthand the real product of the investment and don’t be careless even though you have become part of the investment, you must still monitor the development of the products you invest in.

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Report a Confusing Investment Offer

Not all investment products offered to the public are fake investments, because there are investment products that actually provide benefits for their customers.

The key is your caution. For the needs of cross-checking or tracing in full and certainly don’t be easily dazzled because of investment offers with big profits in a short time.

Do not hesitate to contact financial services authorities, have doubts or are confused about investment offers, or reports of investment offers that are troubling you. Happy investing!

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