About 20 years ago I remember there were several pyramid schemes (not to be confused with legit multi-level-marketing organizations) going around. Today, they are still around in one form or another, now it is as a HYIP. High-Yield Investment Program (HYIP) disclose little or no detail about the underlying management, location, or other aspects of how money is to be invested and little information on how returns are actually generated.

These online HYIP schemes rarely last for more than a couple of months and typically accept small deposits while promising astoundingly high returns (the usual is 200% in three days). Promoters claim that the transactions must be kept strictly confidential by all parties, making client references unavailable. The Securities Exchange Commission warns about them and also prosecutes them. If it sounds too good to be true, it probably is.

Labels: HYIP, investing, money saving tip, Scam

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