Security and investment fraud are certainly big and intimidating words. Even if you are largely aware of what they mean, you may still be uncertain about key concepts or specific questions. Yet these questions are essential if you wish to become educated on investment fraud, how to avoid it, and how to recover.
Luckily, that is what we are doing here! Keep reading to finally have five essential questions about security and investment fraud answered. When the time comes, you’ll be thankful for the knowledge!
What are the most frequently seen examples of investment fraud?
If you are unsure about the different types of investment fraud, you could accidentally fall victim. In addition, knowing about the various schemes will help you spot them when they occur. Some common investment fraud schemes include:
A ponzi or pyramid scheme, where investors are lured in and profits from earlier investors are used to pay new investors. The promised money is never received, and the scheme depends on luring in new people.
- A real estate investment scheme
- Embezzling funds
- Misrepresenting an investment in order to fool investors
These are just a few of the common types of investment fraud! In general, you should also stay on the lookout for anyone encouraging you to make an investment without proper certification or tried and true evidence of their legal operations.
What can security and investment fraud attorneys do?
It can be hard to muster up the courage to fight back once you’ve been the victim of investment fraud, but getting a qualified attorney can be a huge help. Attorneys that specialize in security and investment fraud are skilled at navigating a complicated field, and aside from simply making your case in civil and criminal court, they can also offer you their professional advice in order to make an informed decision.
With professional attorneys you can get advice, justice, and hopefully even compensation for any investment fraud troubles. Don’t be afraid to reach out and let the professionals handle it!
How can you tell when investment losses were actually fraud?
Sometimes, you just make a bad deal or luck is not in your favor. Investments don’t always work out, and that is not anybody’s fault! However, it does raise the question of how to determine if losses were simple bad luck or a true case of investment fraud. Here are some common signs that a typical investment loss was actually a sign of something more insidious.
- Success was guaranteed to you, and your broker made it sound as though there was no risk. A true broker would let you know about the risks of investment.
- Being unable to contact your broker after the loss.
- There are unauthorized or an increase in trades on your account, beyond what was communicated.
- The loss suffered was much more extreme than what was communicated.
Is it possible to recover investment losses due to fraud?
This is the question on everyone’s mind after they have been a victim of fraud. How do you get the money back? Unfortunately, recovering money that has been lost can be extremely difficult. Skilled fraudsters are experts at skipping town and minimizing their involvement. You should seek out the services of skilled attorneys to maximize your chances of holding the criminals accountable and recovering what has been lost. Without legal help, chances of recovering are slim.
Investment fraud has been rising on social media, so it is essential to be aware of the scheme. Sometimes, influencers may promote fictional programs or apps that steal the information from their unwitting followers. Fake websites with pretend hype and followers can persuade people to pay money or give up their information to follow a trend. In general, never give away your information on social media!
Hopefully, some of your burning questions about investment fraud have been answered! Knowing the signs is the most important protection you can take to ensure your information and money remain secure. If you do fall victim, don’t be afraid to reach out to an attorney! Their quality services can be your secret weapon in fighting against investment fraud.
