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Financial pyramids are schemes based on attracting new investors to pay income to previous participants. At first glance, they may look like promising investments, but over time they collapse, and most participants lose their money. We will explain how to recognize a financial pyramid and what to do if you become part of one.

Frequently Asked Questions

We have gathered answers to the most popular questions to help you better understand the refund process. If you have any remaining questions, please feel free to contact our specialists. If you are unsure how to start the process or whether you need to do so, our consultants will help you assess the situation and choose the best option for a refund.

faq

It is a scheme where the returns to current participants are paid from the contributions of new participants, rather than from real business or investments. Such projects usually collapse when the influx of new investors dries up.

Pay attention to the signs:

  • Promises of high income without risk.
  • Income depends more on recruiting people than on selling a product.
  • Scarce information about the management and strategy of the project.

Such schemes disguise themselves as MLM, but the absence of a real product is a clear sign of fraud.

Financial Pyramid:

  • The main income comes from recruiting.
  • The product is often unnecessary or a trial.
    Legitimate MLM:
  • Focus on the product and its sale.
  • There is a policy of repurchasing unsold goods.

Such schemes require a continuous influx of new participants. When their number runs out, it becomes impossible to pay income to existing ones — the system collapses.

  • Keep documents: payments, correspondence, contracts.
  • Contact law enforcement and consumer protection agencies.
  • File a complaint on the tolкofact.com website or other platforms.
  • Consider seeking qualified legal support to recover funds.

Yes, if you have proof of your investments. However, the process takes time and involves contacting lawyers or specialized companies that deal with fraudulent schemes.