Maxwell Miles

HOW TO DETECT A SCAM OR PONZY SCHEME

1️⃣ They Promise Unrealistic Returns:

If they promise to double your money in weeks or offer interest of 100%, 50%, 30%, 20%, or even 10% a month, it’s a scam. Real investments don’t deliver magic returns or guaranteed huge profits.

2️⃣ They Don’t Have a License or Regulation:

Any company not registered with the SEC (Securities and Exchange Commission), CBN (Central Bank of Nigeria), or other regulatory bodies is a big red flag. A CAC (Corporate Affairs Commission) certificate alone is NOT enough.

3️⃣ They Pressure You to “Invest Fast”

Scammers create urgency: “Invest now or miss out,” “Quickly invest to cash out,” etc. Real investments give you time to think and do due diligence.

4️⃣ They Avoid Questions:

If you ask simple questions like “Where is your license?” “How do you generate returns?” or “Who manages the fund?” and they become angry or defensive, it’s a scam.

5️⃣ They Focus More on You Bringing Others:

If they emphasise “You earn more when you bring others,” it’s a referral-based scam. Run immediately.

6️⃣ They Can’t Explain How They Make Money:

If the business model is unclear or confusing, it’s likely a Ponzi scheme hiding behind fancy words or jargon.

7️⃣ Read Reviews
Check Google reviews, Nairaland, and social media comments. If many people are complaining, be cautious.

✅ Additional Tips:
• Verify how easy it is to withdraw your money.
• Check the owner of the company and their history.
• Don’t invest blindly; always do your research to ensure you’re not being scammed.

©️ Abiodun Olusola

Merry Christmas