Wise

AuntyJean

I have searched the forums but cannot find anything relating to this scheme.

About two months ago a woman in work was leaving early to attend her WISE meeting. Innocently asking what WISE was about she enthuastically told me that by investing cash you would receive a return more than 10 times that invested. She had invested £3,000 and was attending the meeting where one member was receiving her cash payout. Alarm bells started ringing and I said to her, 'this sounds like a pyramid scheme to me'. Oooops! She got very shirty and said, 'I knew you would say that, it is not'!!! and went off in a huff.

Tried google but could only find details on similar schemes. I thought, good luck to her (then found she had collared relatives and friends into the scheme but truthly, in all innocence - she is not that type of person). She has yet to get her payout.

I thought no more of it until I was talking to a friend in the pub the other day. She is an inteligent woman and suddenly the conversation got round to WISE. She and her daughter had invested £750 each (a quarter of a diamond) and was expecting to get a payout within the next couple of months. I suggested it was a risky business and asked what was expected of her. She said there was no pressure but you were expected to recruit others (no mention of how many). She said it was easy and that she had simply mentioned it to a couple of others and between her and her daughter they have 'recruited' four others. Then she said, 'I will let you know when I get my money', with a smirk on her face.

Now, I KNOW it is a pyramid scheme and that it will all go 'belly up' for many unlucky members but I seem to be the one losing out here.

There is no way I would encourage any of my friends or relatives into such a scheme but everyone else seems to be joining and i am very tempted.

Any thoughts?

PS have just 'googled' again and found a recent article here
http://www.thisismoney.co.uk/news/columnists/article.html?in_article_id=417329&in_page_id=19&in_author_id=5

Robert_Sterling

It would not be wise to join.

nrsql

>> She got very shirty and said, 'I knew you would say that, it is not'!!! and went off in a huff.

That's pretty common. Pyramid schemes rely on conning people out of money so you need to be aggressive about qwelling any resistance otherwise you will be bottom of the chain and you will be the last one conned.
Sounds like she knows what is going on and I wouldn't call her a friend.
How about lending her the money to "invest". Split the profits and she owes you any loss (get the deal in writing and with security). If she is honest she will jump at the offer.

cheerfulcat

AuntyJean wrote: »

Now, I KNOW it is a pyramid scheme and that it will all go 'belly up' for many unlucky members but I seem to be the one losing out here.

There is no way I would encourage any of my friends or relatives into such a scheme but everyone else seems to be joining and i am very tempted.

Any thoughts?

Yes, it's a pyramid scheme and a few people at the top will profit at others' expense. The fallout from a similar scheme in the little town where I live was awful. People who had persuaded friends and family to join were horrified when the whole thing collapsed around their ears and one woman was put out of her business ( pub ) by disgruntled customers whom she had signed up.

You aren't losing out - they've just all gone mad with greed. It'll pass, and you'll be glad you stayed out of it.

tyllwyd

There was a very well known scheme called 'hearts' a while back, and I saw an tv report about another scheme in the deaf community. I expect that these schemes come up regularly under new names so that people aren't warned off by previous bad publicity.

The most likely thing is that you would lose your money - and if you did get a payout, you would know that the only way you had gained was by profiting from the money paid in and lost by your friends/family who you had persuaded to join. Either way, it is not good.

StevieJ

Now, I KNOW it is a pyramid scheme and that it will all go 'belly up' for many unlucky members but I seem to be the one losing out here.

There is no way I would encourage any of my friends or relatives into such a scheme but everyone else seems to be joining and i am very tempted.

Any thoughts?

PS have just 'googled' again and found a recent article here
http://www.thisismoney.co.uk/news/columnists/article.html?in_article_id=417329&in_page_id=19&in_author_id=5[/QUOTE]

Are you joking, I can't believe that you are considering joining this instead of talking your friends out of it (however unpopular it makes you).

I think this is a wind up.