What is the affinity fraud?

affinity fraud concern various fraud maintained on a group of people who are interconnected by racial, religious background, occupation, family, sex or age. A person or people who maintain fraud with affinity fraud uses these connections, and, in using common features of a particular group, creates a system that will be the most attractive to this group. The final goal of the criminal is to steal the money to participants and it is an unfortunate and frequent occurrence in many parts of the world.

There are various types of affinity fraud. For example, a criminal could focus on the families of people who have died in armed services. He could then get gifts on behalf of the memorial to include all their names. Naturally, such a monument will never be built. This type of affinity has appeared quite often in the US, especially after wars or during wars. Criminals play the emotional nature of this request and can take thousands of dollars of dollars on false or fictitious monuments. It's one of the worsttypes of fraud because they deliberately use the suffering of these people. This offers an investment opportunity for a specific group and at the beginning the first few investors pay a large amount of money. Ponzi Schemers then targets others to get more money. The first investors may benefit, but they are asked to invest more and later investors usually stole all their money.

revenues are based on a bank account reserved for this purpose and are never the result of a real investment. The Ponzi scheme ends if people involved are caught if the system is increasing and slowing investments, or if the Schemers "run" with what money they have collected. This does not necessarily have to be affinity fraud, but often, The Criminal targets one group to ensure initial investment because they want to give this particular group a "break she deserves".

Another form of affinity fraud isbased on the pyramid scheme. People are doing an initial investment, maybe they are doing well, and then they are asked to hire others. "Others" tend to be friends and family members or business co -workers. People at the top of the pyramid will receive money for recruitment and sold or offered services or offered services are almost never of great value. The real money consists in fees that people pay for getting into the system. The highest level of the scheme creates a percentage not only of their own recruits, but also to any person who is charged their recruits. Lower investors are told stories about a wonderful amount of money to be earned, but tend to do very little if at all.

To avoid affinity fraud, always check the credentials of people who ask you for money. Do not take the word of the person for this or their credentials in the nominal value. To be suspicious undergrowths that do not mention what products they sell and provide youFirst, a large sales presentation what type of money you earn. Be particularly careful if the investment initially receives huge revenues that seem to be inherited to invested money. Never trust a person who offers you an "agreement" for an investment for your ethnic, social, religious or business circumstances.