What is High Yield Investments
The latest fad investment sounds good, I mean who doesn’t like ‘high yield’ returns on their investments, right? With a classification like ‘high yield investments’ I was already a little concerned about the packaging and as it turns out, there is reason to be skeptical. Unfortunately, nearly every so-called high yield investment program is simply one in a plethora of the hottest financial scams.
So how do high yield investment programs differ from other pooled investment plans, like mutual funds? Well, even the most affordable mutual funds have minimum investments of around $1,000-$2,500 USD. With high yield investments, however, there is typically a very low minimum investment (less than $100 USD) or no minimum at all. The ‘investment brokers’ in the case of the average high yield investment program pool all the contributed funds and convert real currencies into some form of electronic pseudo or virtual currency.
Doesn’t sound to bad so far, hunh? I mean it makes sense that to open the door to smalltime investors some type of e-currency may grease the wheels and make profit realizable for every member. Some high yield investment programs will have contributors deposit money in a ‘prime bank’ account, either way they tend to make great claims about how the juggernaut banks regularly make zillions off of interest and that the little guy (or gal) has no hope of reaping such benefits unless they all pool their money together.
The bottom line
Most High Yield Investments are just investments in someone else’s bank account and you will never see a dime of your money again. What known as Ponzi schemes, a type of pyramid scheme where early investors collect money from newer investors and then fodl up shop, leaving the newest investors with nothing but a feeling of violation.
For more information on HYIPs check out the Wikipedia entry at http://en.wikipedia.org/wiki/HYIP. For a comprehensive list of known HTIP scams as well as thought provoking discussion on the matter, see the HYIP Scam Search at http://www.stochasticsoccer.com/kakarukeys/.
September 7, 2009
5:43 am
Hi there, yeah ive seen those hyip websites and even looked at so called “Research” hyip website that say which ones are paying out.
Whats the skinny please? Any REAL advice would be appreciated as i haven’t got the money to piss about with. Thank you in advance for any help,
Regards Ben
I sent this to a Hyip and got no reply:
@@@
Thanks for the reply via email, now I feel that there is someone on the end of these messages and its not just an auto website
)
Well id really like to do this .. “Greenstatus” directed me to you – and im learning about hyips as we speak. Its all new, and your the first I’ve contacted. (I bet you have an evil laugh right now at this point eh…)
So can you help me to understand. I’ll list what I think I need to do, so please correct me if im wrong:
1. Sign up to an e-currencies website
2. Transfer money into it from my bank
3. Sign up to your investment program
4. Transfer money into that from e-account after ordering a “plan” – so £100 = $163.9
* plan 2: 30% daily for 4 days 101 – 500$
5. You work your magic and in 4 days that’s $213.07 (163.9 + 30% = $213.07)
6. I could issue a withdraw request for the *FULL* amount or continue to invest?
7. What security information do you need from me in order to do that?
8. Its put into my e-currencies website
9. I transfer from that, which costs a fee, to my real bank account
10. $213.07 = £130 (minus fee for e-currency) so say £126 thats £26 in four days!
Is that correct so far? If thats true then blimey!
)
*What fees do I have to pay you if any – or is that included?
*Can you recommend an e-currency that doesn’t charge for withdrawals?
*What do I do about tax? Do you have any suggestions of ways around it, and what do I need to be doing?
*Id like to call you, im GMT-0 what time are one of your team available please and what’s your phone number?
Thanks for the help, regards
P.s. If this is all real, then it will help me and my family get out of debt, something which has plagued us for many years. Also I’ll suggest it to my friends.
So if I have this right, I could invest like this:
Plan 2: 30% Daily For 4 Days101 – 500$
163.85 30% = 213.00
213.00 30% = 276.9
276.90 30% = 359.97
359.97 30% = 443.07
443.07 30% = 526.11
Plan 3: 33% Daily For 4 Days 501 – 1000$
526.11 33% = 699.72
699.72 33% = 930.62
930.62 33% = 1273.72
Plan 4: 36% Daily For 4 Days 1001 – 3000$
1273.72 36% = 1732.25
1732.25 36% = 2355.86
2355.86 36% = 3203.96
Plan 5: 39% Daily For 4 Days 3001 – 100,000
3203.96 39% = 4453.50
4453.50 39% = 6190.36
6190.36 39% = 8604.60
8604.60 39% = 11960.39 withdraw (1960.39 = £1196.45, reinvest $100,000)
100,000 39% = 139000 withdraw (39,000 = £23,802.26)
100,000 39% = 139000 withdraw (39,000 = £23,802.26)
100,000 39% = 139000 withdraw (39,000 = £23,802.26)
100,000 39% = 139000 withdraw (39,000 = £23,802.26)
+Repeated indefinitely for as long as you keep going as a business
So only after 64 days – I would be able to reinvest $100,000 and I could withdraw $39,000 (£23,802) every 4 days?
Is this correct and does anyone actually do this?
If that’s so, then how can you sustain that?
I suppose having 100,000 spending power on the stock market is peanuts to you guys. But in having it available, you can make yourselves some money and still be able to give a portion of it back to keep the program running. Is that how it works?