Investment scams cost people their savings every year. They often arrive through social media, messaging apps or new online friends.
Red flags
- Guaranteed high returns with little or no risk
- Pressure to act now, or secrecy
- Unregistered sellers or investments
- An online friend or romantic interest who introduces an investing "opportunity", often in crypto
- Being unable to withdraw money, or being asked to pay "taxes" or "fees" to get it out
Protect yourself
- Check the person on FINRA BrokerCheck and the SEC's Investment Adviser Public Disclosure site
- Never move money because a stranger online told you to
- Report fraud to the SEC, FINRA, the FTC and the FBI's IC3
General educational information only, not investment advice. All investing involves risk. Nickel Gains isn't paid by any broker, fund company or adviser.