You are a retiree relaxing and making sure you can afford the 2nd annual senior citizens trip schedule in 4 months. You receive a call from your youngest of five saying he wants to start a business in which you promised to give him $15,000 provided that he finish graduate-school, which you never thought would happen while you were alive. Also, you found out that the repairs on your home from Hurricane Ivan are going to cost you an estimated $22,000. You feel like your funds are being depleted a little too fast for your comfort. You were aware that there would come some pop-up expense, but at this rate you will be on your last dime in eighteen years. In anguish you wonder how to recoup some of this cash and then you receive a call. An investor from NY tells you of this once in a lifetime investment opportunity to make a fortune, but unfortunately the opportunity ended last week and hangs up the phone. You sit and contemplate ways to make money. You can invest in the stock market, but you aren’t stock-savvy or you can take a low-rate return investment. Neither is attractive right now. A week later you get another call from the same investor. He said another investment opportunity has surfaced and if you want in the time is now. You sit and ponder. And finally you say "I’m in." You wire $5,000 and expect to see $11,000 guaranteed…but those returns never happen. You call and call, yet receive no answer. You are a victim of investment fraud.

This is not an isolated incident. Investment fraud happens frequently and is synonymous for stock fraud and securities fraud. Investment fraud is the selling of false information to an unsuspecting individual who expects gains when in actuality receive insurmountable losses. Unfortunately to distinguish legitimate investment liaisons from the swindlers can be difficult. In appearance they may check out in almost every way, shape, and form. However, there are some precautions you can take.

Expert Ezine author Sarah Freeland writes, "The first warning sign is that the offer sounds too good to be true. The second warning sign is that the seller of the offer is using high pressure sales tactics such as forcing you to make a decision to invest right now. Another warning sign is that you are contacted via phone without requesting information about the investment opportunity. The scam artist may also ask for your social security number or credit card information over the phone." However, if this information doesn’t avail itself to you in time, then immediately alert the authorities and give them as much information as possible. Also, began searching for an attorney that specializes in investment fraud, there isn’t a guarantee, but there is hope that you can reclaim some of your precious savings. Remember Investment fraud victimizes people every day that doesn’t mean you have to be one of them.