Spot Pyramid Schemes Before You Sign Up

Spot Pyramid Schemes Before You Sign Up

If you’ve ever been told that you could make easy money and it sounds too good to be true, it probably is. Pyramid schemes often sound like enticing business deals, but fraudsters may use this “business model” - to take advantage of you. Before you invest your time and money, it’s important to ask good questions and do some research on the company.

Here are some typical characteristics of a pyramid scheme:

Here are some typical characteristics of a pyramid scheme:

  • Emphasis on recruiting
  • No genuine product or service is sold
  • Promises of high returns in a short period of time
  • Easy money or “passive income” (money you earn without doing anything)
  • No demonstrated revenue from retail sales

Find more information on identifying pyramid schemes and how to protect yourself at investor.gov. This information is also available in Spanish.


This email was sent to rssproject471@gmail.com from: USA.gov • General Services Administration • OCSIT • 1800 F Street, NW • Washington DC 20405 • (800) 333-4636.  

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