How to avoid scams in financial investment

Case 1 Ms. He applied for a 500 yuan card at a vegetable distribution store. After that, the salesperson told Ms. He that the company launched a promotion that recharges 1,000 yuan and gets 1,000 yuan back. The company will also refund 1,000 yuan, and Ms. He purchased a 1,000 yuan card after considering it. Not long after, Ms. He logged into the company's website to place an order and found that the system was under maintenance and could not buy groceries normally. She called the after-sales phone number many times, and the staff responded that the system would be upgraded and the business would be suspended. However, two months later, not only was the website closed, but no one answered the after-sales phone calls.

Case 2 "It's getting cold. I originally wanted to take my whole family to Changping for a hot spring bath, but when I arrived, I found that the gate was surrounded by a blue iron sheet." Ms. Zhao, who lives in Beijing, never imagined that she would visit by herself. Sihai Heli Hot Spring Business Hotel, which has been in operation for several years, has been "empty" before the Spring Festival.

How to identify

The so-called prepaid consumption means that consumers pay a certain amount of funds to the issuer of the prepaid card in advance, obtain a consumption voucher, and obtain goods or services on a per-time or scheduled basis. Consumption mode, consumers enjoy certain discounts. The illegal fund-raising operation model covered by prepaid consumption is actually a disguised promise of high returns, which violates the value law of consumer services. It is difficult to maintain long-term capital operation. Once the capital chain is broken, participants will face serious losses.

Prevention

When consumers find that an operator’s business behavior is abnormal, they must report the situation to the Consumers Association, Industry and Commerce, Market Supervision and other departments in a timely manner to avoid the phenomenon that it is easy to apply for a card and difficult to withdraw the card. occur.

Be wary of pyramid schemes and illegal fund-raising activities in the name of "investment rebates"

In the case of an investment company, in the name of investment rebates, it attracts investors nationwide in its business operations Investing on an online shopping mall App platform, the price is 5,000 yuan per share, and individuals can invest in multiple shares. The company promises investors high rebates and can also receive points that are several times the amount of investment, which can be used to redeem goods in online malls. In addition, investors can also receive cash rewards for every new person they recruit. Through high rebate promotion and paid development offline, the company has attracted 400,000 investors across the country in just over two years since its establishment, involving an investment of more than 20 billion. On April 14, 2018, the platform suddenly stopped providing cash rebates to existing investors on the grounds of capital increase and share expansion. The promised cashback period was delayed again and again, causing more than 80 investors to come to collect money collectively, leading to a gathering incident.

How to identify

The company’s business model conforms to the basic characteristics of MLM, that is, absorbing investment, rebates, and developing offline. Its essence is to adopt a Ponzi approach

< p>The method of scam is to use the money of new investors to pay interest and short-term returns to old investors to create the illusion of making money and thereby defraud more investments, and there is the possibility of illegal fund-raising.

Such cases usually have the following characteristics:

1. The anti-investment law of low risk and high return. It is an inevitable law of investment that risk and return are proportional, but although some consumers understand this law, they still hope for a "miracle" to occur and obtain higher returns as much as possible. Many criminals take advantage of consumers' greed for high returns and falsely promise high returns to consumers who don't know the truth that are far higher than the market average rate of return. They also minimize risks and even promise "zero risk." This kind of sales method caters to the investment psychology of consumers who seek advantages and avoid disadvantages, but for investors, it is the beginning of a scam.

2. Fund replenishment method for demolishing the east wall and repairing the west wall. There is no real and reliable way to invest in such cases, which means there is no legal way to make profits and the high yields and returns promised to investors cannot be fulfilled. However, criminals often expand the scope of customers and the scale of funds they absorb in order to obtain enough room for funds to be diverted and replenished. By continuously absorbing the capital flow brought by new investors, we can fill the income and returns promised to investors in the early stage, and at the same time continue to attract more new investors, making the cake bigger and bigger, and the risk of the capital chain being cut off is gradually reduced. The longer the scam lasts, the more illegal benefits the criminals will gain.

3. Develop downline and establish a pyramid investor structure. Criminals attract more investors to participate through paid development offline, and develop layer by layer, forming a pyramid-like investor structure. After enjoying the sweet benefits, many investors use inducement, persuasion and other means to drag their relatives and friends into the scam. As a result, there are more and more investors and the scam is getting bigger and bigger.

Beware

There are many illegal fund-raising schemes such as "investment rebates", which can be expressed in the form of investment in high-yield financial products, game financial management, consumer rebates, entity investment dividends, etc. form.

Consumers should always keep in mind the investment rule of "high returns come with high risks" and never have a "pie in the sky" mentality to avoid being taken advantage of by criminals. Related Q&A: Can Bangdaibao really provide loans?

There are many types of loan conditions. Either way you need to meet the loan conditions.

If you only have one ID card, you won’t be able to get a loan.

If you are a business owner. Bad credit. Debt is too high. If you don’t have clear finances, you won’t be able to get a loan.

If you are an office worker. The turnover is less than 6 months, the employment contract is less than 6 months, and the credit is not good. There is no punch-in salary, and the rented place is not enough for a certain period of time. You won't be able to get a loan even if you have enough credit card overdraft and other conditions. (PS: Some private institutions can get loans, but only if one or two of the above conditions are not enough)

It is easy to get a loan if you work in a Fortune 500 company. But there are certain conditions. Please consult the loan business personnel for details. Related Q&A: How is Jiebao doing now?

Regarding the recharge of Diitei Bao, after logging in to Diitei Bao, click "Me" → "Wallet" → "Recharge", enter the recharge amount, and confirm the transaction password and verification code to complete. Renrenxing Technology Co., Ltd. has purchased account security insurance from the PICC Property and Casualty Insurance Beijing Branch for customers who use the "Jiejiabao" platform. It only protects customers from theft of their Jiabao accounts during the use of "Jiejiabao", that is, it only protects customers from borrowing money. To ensure the safety of the funds in the Jiedaibao account, please contact Jiedaibao customer service for specific compensation procedures." Because the Jiedaibao wallet claims to be very safe, and Renrenxing Technology Co., Ltd. also said that if the money in the Jiedaibao is lost, it will compensate you, so many Users initially trusted Jiedaibao, but after looking at the trump cards of these players, it is not difficult to find that the capture of "regulatory arbitrage" is an integral part of the success of Jiedaibao P2P and other chaotic companies. If the so-called Internet finance is separated from the blessing of "regulatory arbitrage", I am afraid there will be very little left. When supervision is absent, this intensification can actually develop to shocking levels, such as "campus loans" becoming "female college students naked." "Loans"; as for borrowing new money to repay old ones, and pyramid schemes with high interest rates, they are just the online version of the traditional Ponzi scheme. Jiupai Tianxia (formerly Jinbaishi) third-party payment provided an explanation from the Guangzhou Branch of China UnionPay Co., Ltd. Proof (special appointment) that Renren Bank is a merchant in UnionPay and is a type of UnionPay’s channel business. Industrial and Commercial Bank of China and China UnionPay have a fast payment cooperation business called "Cardless Channel", and China UnionPay Co., Ltd. Guangdong. The branch account number is 360200119200704927. It is the interface account between China UnionPay and ICBC nationwide. From the perspective of capital flow, as long as you use the "cardless channel" to make purchases at ICBC, the first step will be to flow the funds into China UnionPay Co., Ltd. Guangdong Branch. Company account number: 360200119200704927. The second liquidation will be carried out by China UnionPay Co., Ltd. Guangdong Branch and the terminal merchant code is 871440159330003. The acceptance agency Jinbaishi, merchant name: (Special) Renrenxing Technology, merchant type (5933) pawn shop (pawn, auction). and trust type) Transaction channel: online, transaction type: consumption. All in all, under the channel model, all funds are transferred in the Jiupai Tianxia (formerly Jinbaishi) third-party payment account opened on the Jiapai P2P platform. Jiupai Tianxia (Former Jinbaishi) Third-party payment company can only record the records of funds in and out of the merchant account of Renrenxing Technology Co., Ltd., and which investors the borrower borrowed money from, Jiupai Tianxia (formerly Jinbaishi) Third Party The payment company does not have records. These are only recorded in the member accounts of the Jiedaibao platform. This record is just the adjustment of relevant figures by the Jiedaibao platform in its own system. In this process, the relationship between investors and borrowers In addition, this model obviously forms a fund pool and cannot cut off the black hands of the Jiebaibao platform. The Jiapai Tianxia (formerly Jinbaishi) third-party payment account can be used arbitrarily and at will. Most of the platforms currently suspected of criminal issues use this model.

Why can Jipaibao, under the banner of "Internet finance" and "financial innovation", and Jiupaitianxia (formerly Jinbaishi) third-party payment institution be free from various financial regulatory rules and compliance requirements that have long been proven to be effective? It is obviously not a commercial bank, but it can absorb deposits, accumulate funds, build capital pools, and then lend like commercial banks. It is even more free than commercial banks and can directly invest in the capital market without having to bear the various regulatory and compliance requirements that commercial banks need to bear. This kind of regulatory arbitrage is purely unfair competition and cheating, and is a major source of systemic financial risks. On the one hand, it ties the hands and feet of commercial banks, but on the other hand, it allows Internet finance to play tricks, failing to even achieve basic fair competition. What kind of financial innovation is this? On January 13, 2017, the central bank issued the "Notice of the General Office of the People's Bank of China on Matters Concerning the Implementation of Centralized Custody of Customer Reserve Funds of Payment Institutions". From April 17, 2017, payment institutions shall transfer customer reserve funds in accordance with A certain proportion is deposited into a special deposit account of a designated institution, and interest is not accrued on the funds in this account for the time being. The proportion of reserve funds deposited by payment institutions varies according to the type of business and the number of items. The average proportion of first deposits is about 20%. Eventually, all customer reserve funds will be centrally deposited. The era of “regulatory arbitrage” in the payments market will also come to an end.