Llank ;)

Have you heard of High Yield Investment Programs(HYIP)? If you have, I hope you haven’t lost any money. If you haven’t lets try to keep you from wasting time and money. Now it might be unfair to label all HYIPs scams but the fact is the majority of them are and almost always fold within time.

So what exactly is an HYIP?

HYIPs refers to an investment that claims to give you outrageous return on your money within a short period of time. Many of these sites take your money and claim to do some sort of investment and in return give you very high interest rates. Rates and durations go anywhere from 15-1000% and days to months!

Searching for different ways to make money online I stumbled upon these programs. Many sites even have high group of followers and special sites in just reviewing the illegitimacy of all these sites. Most HYIPs have very little information about their investment, management and company. The information given is usually very vague but convincing for the money hungry.

If it sounds too good to be true then it most likely is! Now with that out of the way how exactly do they scam?

These sites usually only allow deposits by certain online payments most famously an online currency, egold. The problem with egold is there is no centralized exchange and buying and selling of egold requires fees. If you have had any problems with Paypal then think 10x worse with egold. Egold that is sent to others is NOT reversible under any circumstance. How would you like to send money to a stranger willing to offer you 100 percent return on your money in a week? Would you believe this if any other person came to you and told you this? Well then why would you from a unknown website!

It is believed that HYIPs are like ponzi schemes which is they pay members with money coming in from new members. So you might invest a little money and actually get a return! Then you decide to invest more and more… then suddenly you don’t get your money. The website stops responding and uh oh you can’t contact the website owner. That is the typical ending for most HYIP sites. I have to admit that I’ve been tempted myself and after thorough research there simply is unlimited risk for the benefits. Some sites may pay now, but next time you might not be so lucky…

Hope I’ve helped deter you from HYIPs and if I haven’t good luck and hope all goes well!

Posted in Red Flag Scams | Comments (1)