How Can I Avoid Being a Victim of Investment Fraud?
Be Safe! Don’t Give a Fraudster Your Money.
We like to think we are savvy investors who could never fall for a bad deal. But even people who are smart and well educated, with above-average financial know-how, get duped by investment fraudsters. Could this be you?
Why do people fall for investment fraud?
Investment fraudsters know how to make a bad deal look like a great deal. They understand people. They know how to tailor their pitches to align with a particular victim’s needs and sensibilities. They can be quite persuasive.
Fraudsters build credibility by claiming to be associated with reputable firms, possessing special credentials, or coming from strong backgrounds. They build up their products by claiming that many other smart investors have also taken advantage of the offered products, and they apply pressure by claiming that the victims must make decisions quickly.
How can you avoid falling for a fraudster’s scheme?
You should always try to protect yourself when someone is trying to sell you something. Thinking through how you might handle a high-pressure situation in advance will help you handle it better when you’re in the moment.
- Walk away. Simply say, “No, thanks. I’m not interested.” Or, if you think you might be interested, say, “Let me think about it and get back to you.” A person with a legitimate product should respect your decision.
- Ask questions. Verify the investment professional’s credentials. Ask for written information about the products the person is offering.
- Do additional research on your own. Talk to other people who invest money. Check with regulatory agencies to see if the person and his firm are registered and licensed.
Taking these steps may keep you and your money safe.
What if you think an investment fraudster has duped you? Call Dallas securities litigation lawyer Mazin A. Sbaiti.
If you think you were taken advantage of by an investment broker, call Dallas securities litigation lawyer Mazin A. Sbaiti at 214-432-2899 or fill out an online contact form.