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What Is A Pyramid Scheme?


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How, you may ask, can I tell if I am involved in a pyramid scheme? Well, here are some things to consider and ponder.

If you are forced to sit through a very long, highly excited sales pitch, it might be a pyramid scheme. Run!

If little to no information is offered about the company unless an investor agrees to purchase

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products and becomes a participant, it might be a pyramid scheme. Try to escape!

If there are vaguely phrased promises of unlimited income potential, it might be a pyramid scheme. Race to the door!

If there is no product, or a product being sold at a price ridiculously in excess of its real market value, it might be a pyramid scheme. Sprint to your car!

If you are told that you can earn an income that depends solely on the commissions earned by enrolling new members or by the purchase by members of products for their own use. If the income is supposed to come from sales to customers who are participants in the plan, it might be a pyramid scheme. Rush to the exit!

If only the early investors or joiners make any real income, it might be a pyramid scheme. Amble away.

If you keep receiving assurances that it is perfectly legal to participate, it might be a pyramid scheme. Dart out of the meeting!

The way to protect yourself from a pyramid scheme is to stay informed. The con man is the one to blame for the scheme, but it is hard not to blame yourself. Get educated about money and don't fall for get-rich-quick schemes. If you find yourself ensnared in a presentation for a pyramid scheme, do not fall for it.


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