Comments on: Ten Tip-Offs That You’re Getting Bogus Financial Information – And Five Antidotes

By: ChrisD

ChrisD — Sun, 19 Jul 2009 21:42:38 +0000

Ugh…. If someone asks me for my bank account information I either tell them I don’t have a bank account or I give the routing and account number to my mortgage.

@Jessica

Why do you reply at all?

By: beth

beth — Sun, 19 Jul 2009 12:22:42 +0000

my only thought, besides how much i enjoy reading trent’s writing, is that people are suspicious by nature usually, so the emotional appeals seem to bypass the human fraud-filter. But then that same suspicion can create some kind of fear or procrastination to actually make a decision involving risk (like investing or just taking control of personal finances) to improve their on financial future and of generations to come. The subject of risk (informed and confident) is what seems to separate the winners from the “not so winners”.
I think I hear another article here in the makin’
r-i-s-k!

By: Stop Getting Cheated

Stop Getting Cheated — Thu, 17 Jul 2008 23:23:00 +0000

Excellent choice for a post, Trent. I’d be interested in how many of us were scammed by tales of riches, with little or no work when we first started our own homebased businesses. The hype over starting an online business used to be out of control. It wasn’t until several years ago that I read that the guys who made $50K – $100K online spent 60-70 hours a week at their computer. Talk about putting in some effort.

I agree with Richard, Kevin’s corollary about the “deal won’t last” is some great insight.

By: Jessica

Jessica — Thu, 17 Jul 2008 17:57:32 +0000

If this isn’t the most sickening thing….email scams are the worst. Especially the “I’m a multi bazillionaire widow with no children and I need a beneficiary” nonsense. They usually want you to pay over $1,000 to “reactivate my late spouse’s dormant bank account”, and then never send you the money or use your bank account information to rob you blind and steal your identity. Ugh…. If someone asks me for my bank account information I either tell them I don’t have a bank account or I give the routing and account number to my mortgage. If they truly have the money they can pay off my mortgage and the bank will send me the rest of those millions as a check.

By: Richard

Richard — Mon, 14 Jul 2008 12:59:24 +0000

Great list, and the “deal won’t last” corollary from Kevin is a great addition.

Another addition: beware if the solicitors use confusing language and large words. If something can’t be explained in simple terms, then the person explaining either a) doesn’t understand it fully themselves or b) is trying to confuse you.

Either way, as Trent says, “run for the hills!”

By: Kevin (ReturnToManliness)

Kevin (ReturnToManliness) — Sun, 13 Jul 2008 18:09:30 +0000

Unless you have already done all your homework and you know more about it than the person selling it, it is NEVER wise to buy something because the deal won’t last. Even if you miss the “deal that won’t last”, the downside is much worse…

By: Dividend Growth Investor

Dividend Growth Investor — Sun, 13 Jul 2008 17:29:49 +0000

“They continually talk about how their advice is a “secret” that “they” don’t want you to know about”

I totally agree with that. There’s no secrets in my opinion. I get a ton of junk mail in my e-mails daily, which promote some sham internet system or some daytrading system, which could make me a millionaire in my sleep. My question is, if you can make me a millionaire in my sleep for only 49.95, why don’t you become a millionaire ( or quadrillionaire) first, and then give it away for free? If you have already reached financial independence, and you are super rich using your system, then it makes sense that giving it away for free is a good thing.
Another type of spam e-mail that I receive daily is the e-mail from the widow of the Nigerian executive, who wants to give me millions just because I have a US bank account. And you told me money can’t grow on trees :-)

As for stock investing. If someone tells you that they will make you super rich daytrading/actively trading. Ask for their brokerage statements for the past 1/5/10 years, for a proof that they have successfully used their system. If they can’t produce that, then they are in the business of “selling newsletter” and not in the business of investing.

By: Jules

Jules — Sun, 13 Jul 2008 17:19:38 +0000

I essentially disregard everything in my inbox that I haven’t actively solicited. Over the years, I’ve learned to keep separate email accounts for separate areas of my life: one is for spam–to get on my Meez account, for instance, I have to give an email address, and because I’m likely to get spammed for that, I give them that account. One is for my friends, and the third is strictly work. I still check all three on a regular basis, but in the spam account, everything that’s not related to Craigslist basically gets ignored.

By: Eric G

Eric G — Sun, 13 Jul 2008 15:27:17 +0000

“The person talking about the investment likely has only a casual insight into the company, not nearly enough to be shilling hard for the stock on CNBC.”

You’re implying the people on CNBC are always well-informed. Uh. No.

By: Adam

Adam — Sun, 13 Jul 2008 14:59:46 +0000

Great post! I think this will help a lot of people. I cannot tell you how many times I’ve had people tell me about their rich relative contacting them from Saudi Arabia because they want to spread their wealth!