Everyone dreams of making money, but unfortunately, where there's opportunity, there are also scammers. Investment scams have plagued the financial world for years, with fraudsters constantly evolving their tactics to deceive unsuspecting individuals.
While the internet has opened up countless opportunities for legitimate investments, it has also provided a breeding ground for scammers. Here, we'll look at some of the top 5 investment scams you should be cautious: Starlink IPO: Ipo-watch.com, Torotradepro.com, Btrade.net, Prolite.club, and Call4trade.com.
This website purports to offer shares in the Starlink Initial Public Offering (IPO). However, a closer look reveals red flags. The site claims to provide information sourced from Alpha Omega Finance, a company unrelated to them and I could not find any relation between the two anywhere on the internet.
Moreover, Ipo-watch.com is a relatively new player, having been registered in December 2023, according to Whois LookUp and ScamAdviser. While its infancy doesn't definitively brand it a scam, it certainly doesn't inspire confidence.
Furthermore, the Alberta Securities Commission has issued a cautionary alert against Ipo-watch.com, highlighting its lack of registration and urging potential investors to exercise caution.
Operating under the guise of a United Kingdom-based firm, Toro Trade Pro found on Torotradepro.com promises various trading accounts for a range of financial products. However, when I did a deep dive, I uncovered some discrepancies. Despite its claims, neither the company (Toro Trade PRO) nor its listed address (125 Old Broad St, London EC2N 1AR, UK) can be found on the Company House database. It could be they are randomly listing company names and addresses hoping no one is going to check.
Negative customer reviews further tarnish its reputation, with many clients reporting difficulties in withdrawing funds. I found alot of negative customer reviews especially on Trustpilot. One customer notes, “I have been unable to withdraw my money, I don't see a way to contact customer service….”
The British Columbia Securities Commission has explicitly stated that Toro Trade Pro is not authorized to engage in securities trading or advisory services in the region.
Presenting itself as a reliable trading platform, Btrade.net boasts of providing the tools necessary for confident trading. However, the Ontario Securities Commission has issued a warning against the platform, citing its lack of registration.
Negative reviews, particularly on Trustpilot, echo concerns about poor responsiveness and withdrawal issues. Some users even report experiencing aggressive tactics, such as pressure to deposit funds under the threat of account closure.
Suspiciously, the site features what appears to be fabricated positive reviews, a common tactic employed by deceptive websites to deceive visitors. However, when I did I deep search, I was stunned to see they use a stock photo as their customer.
A purported review from Sandra
The same photo on iStock
Such antics are common with scammy websites that want to have you believe they have a strong following with positive reviews which is not the case.
Listed on the caution list by the Alberta Securities Commission, Pro Lite Options Trade is flagged for operating without authorization to trade securities or derivatives in Alberta. They seem to be part of a larger scam network with sites such as Prolite-trade.com sharing the same registration number (193609) and address, (Bell Tower, 10104, 202 103 Ave NW, Edmonton, AB T5J 0H8, Canada).
They include dummy social media buttons to dupe people into thinking they have a buzzing social media following. We see this with dubious websites such as Maxxfour.com and Stefunton.com.
There is an influx of negative customer reviews concerning Call4trade.co. Most say it's nearly impossible to withdraw funds from the site. Others say customer care agents stop responding to customers once they deposit the funds. One customer notes.” I'm not happy with this trading platform, the agents just care about their commission and they are not trustworthy. They make fake promises that their clients make a profit with this trading platform. Once you are trapped they never answer your emails and they have no contact number to reach them…”
The Ontario Securities Commission (OSC) has listed on its caution list which does little to boost user confidence.
When it comes to investing, it's like stepping into a jungle out there. Some shady characters are lurking around every corner, ready to pounce on unsuspecting prey. So, before you start throwing your hard-earned cash into any opportunity that comes your way, take a step back and do some detective work. You wouldn't buy a car without checking under the hood, right? Well, the same goes for investments. Look into the company or platform offering the deal. Are they legit? Do they have a solid track record? And most importantly, do they have all the necessary licenses and registrations? It's all about protecting yourself and your money. So, don't rush in blindly – take your time, ask questions, and make sure you're making a smart move.
Image Source: Unsplash.com
Have you fallen for a hoax, bought a fake product? Report the site and warn others!
As the influence of the internet rises, so does the prevalence of online scams. There are fraudsters making all kinds of claims to trap victims online - from fake investment opportunities to online stores - and the internet allows them to operate from any part of the world with anonymity. The ability to spot online scams is an important skill to have as the virtual world is increasingly becoming a part of every facet of our lives. The below tips will help you identify the signs which can indicate that a website could be a scam. Common Sense: Too Good To Be True When looking for goods online, a great deal can be very enticing. A Gucci bag or a new iPhone for half the price? Who wouldn’t want to grab such a deal? Scammers know this too and try to take advantage of the fact. If an online deal looks too good to be true, think twice and double-check things. The easiest way to do this is to simply check out the same product at competing websites (that you trust). If the difference in prices is huge, it might be better to double-check the rest of the website. Check Out the Social Media Links Social media is a core part of ecommerce businesses these days and consumers often expect online shops to have a social media presence. Scammers know this and often insert logos of social media sites on their websites. Scratching beneath the surface often reveals this fu
So the worst has come to pass - you realise you parted with your money too fast, and the site you used was a scam - what now? Well first of all, don’t despair!! If you think you have been scammed, the first port of call when having an issue is to simply ask for a refund. This is the first and easiest step to determine whether you are dealing with a genuine company or scammers. Sadly, getting your money back from a scammer is not as simple as just asking. If you are indeed dealing with scammers, the procedure (and chance) of getting your money back varies depending on the payment method you used. PayPal Debit card/Credit card Bank transfer Wire transfer Google Pay Bitcoin PayPal If you used PayPal, you have a strong chance of getting your money back if you were scammed. On their website, you can file a dispute within 180 calendar days of your purchase. Conditions to file a dispute: The simplest situation is that you ordered from an online store and it has not arrived. In this case this is what PayPal states: "If your order never shows up and the seller can't provide proof of shipment or delivery, you'll get a full refund. It's that simple." The scammer has sent you a completely different item. For example, you ordered a PlayStation 4, but instead received only a Playstation controller. The condition of the item was misrepresented on the product page. This could be the