Look at these returns. Ance Finance.com 6% hourly for 21 hours, 135% after one day, 75% daily for 2 days, 175% after 2 days.

ChokoMoney 135% after 7 days, $3,000 maximum deposit. Wow!

These high yield investment programs (HYIPs) are promising more than what you could make on a lucky day gambling in Vegas. This Vegas Guide and Gaming Tips website suggests you can get about:

  • 1.4% playing craps (drops to about .7% with odds bets)
  • 1.5% playing blackjack
  • 5.3% playing Roulette.

Some of those percentages are similar to the daily returns that some of the HYIP schemes promise. Do you think you could beat the house in Vegas every day? No? Do you believe the HYIPs can beat the house every day? Neither do I. The HYIPs promise unbelievable returns that are, in my opinion, complete fiction. (HYIPs are according to Wikipedia, a “type of Ponzi scheme.)

What’s the difference between gambling in Vegas and investing in a HYIP scheme? In Vegas, you know the odds are stacked against you, but at least you have the chance of winning and having some fun in Vegas. With a Ponzi scheme, you stand to lose everything when the scheme collapses. And that is not fun.

Suggested Reading

Be on the lookout for social media and e-mail scams

Mutual Fund Fees Explained

In your community this month - April 2011

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