Why People Easily Fall for Financial Scams

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You may have, in one instance or another, received a phone call talking about an offer that’s too good to be true. Or maybe you’ve received an email containing a link that says you’ve won a certain large amount of money. Other times you’re browsing the internet and bombarded with ads that say you can lose weight within three days if you try this new product. Whether they’re true or not, they still manage to fool people. You may be thinking, how stupid would it be for a person to fall for such tricks? Well, there’s more to it than meets the eye. The following reasons may open your mind a little bit as to the reasons even intelligent people fall for them.

Desperation And Pressure

People who require quick cash may resort to methods such as borrowing money from friends, relatives, or even co-workers. But for some, they’re driven to getting in touch with loan companies they find without doing any background checks. Some of them fall prey to loan sharks with interests that they won’t be able to pay, plus they’re tricked into thinking that they can pay it back without much worry. If you ever find yourself needing to borrow money, be sure to only go for a licensed moneylender in Singapore that’s legitimate and acknowledged by the government.

Attractive Offers

financial scam

If you were offered a product that’s 50% off, wouldn’t that pique your interest? Or in some unnatural coincidence, you may find a “rare” product, and they’re willing to give you a good deal for it. Wouldn’t you at least ask about it? These are just a few examples of offers that focus on attracting people. Although some may be legitimate, many of them are designed to trick people into thinking that they’ve made a good decision when in fact, the product or service is actually worth less than even the slashed price. The strategy starts by telling people that they’ve made a good purchase because the price was deducted, taking away any trace of guilt until they find out along the way that it’s a mistake.

Instant Gratification

Some scams are more inclined to siphoning money off of gullible people. One perfect example of this is a pyramid scam where they are allowed to “invest” in a certain business and gain some return of investment in the quickest way possible. Swindlers may show off the “fruits” of their labour either by the use of a conference or meeting with a focus on what you’d get rather than on what specific things they should do. There’s always that discussion of getting more people into the organisation so that you can earn more. But what many people find is that there’s more to do than simply recruiting. They may be encouraged to sell products that don’t have any assurance that it works, or outright invest their money and find that months later, the company is closed and cannot be contacted.

It’s safe to say that you’re not entirely at fault when you fall for a scam or a phishing email. However, you should always be careful when it comes to dealing with money or rewards. As the saying goes, easy come easy go. Nothing beats effort and hard work if you are intent on making your dreams come true.

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