government auctions in michigan

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Government And Police Auctions

Wealth Building Scams
Author: Tom Koziol

I have some good news and I have some bad news. First the good news. The number of infomercials on television is decreasing.

Some might say that is great news. But, before you yell hurray, here's the bad news. They are reincarnating as web sites. Changes the whole picture, doesn't it?

For those who've never seen an infomercial, it is a program-length TV commercial touting easy ways to make money in a variety of ways.

Real estate is probably the most often run program. Others include low-interest government loans or grants to start a new business or go to college.

Then there are the old standby classified advertisement sections in newspapers or magazines promising "big money" business opportunities and/or work-at-home schemes. The companies behind these infomercials and print ads claim that by using their products and services, you can learn how to increase your wealth or start a business from the comfort of your home.

These infomercials and advertisements make it very clear you can make the big bucks only by purchasing their books, audio and video tapes, or computer hardware and software. The materials range in price from less than $100 to several thousand dollars.

To clinch the sale, some promoters include a toll-free telephone consulting service with your purchase and offer a money-back guarantee. The fine print in the guarantee is what gets most people.

Web sites promoting these same type of "opportunities" look like an infomercial. Hype, glitz and promises of big money adorn the screen. On the other hand, contact details, other than ordering information, is scant if existent at all.

On television, these infomercials are designed to look, feel, and sound like real TV programs. The FTC says "they often imitate the format of genuine talk shows or investigative consumer news programs."

Because they imitate real programs, "the products being sold often are discussed as part of the program and touted by paid "experts," "moderators," or "reporters", according to the FTC. The programs may last for 30 minutes, interrupted by advertisements for the shows products with ordering information.

As in the offline world, online promoters of wealth-building schemes claim that if you follow their methods, you can make substantial sums of money. The means to easy wealth have shifted from real estate and government auctions to web site sales and development, autoresponder sales, gift clubs and bulk email programs.

The offline world uses the infomercials and advertisements to invite you to attend seminars where you can learn more about their program. You can rest assured the seminar is a slick sales pitch.

The smooth-talking salespeople tout the programs, materials, and services and use testimonials of the people in the back of the room selling the materials to illustrate what easy money you can make. The truth is these people are paid to give testimony. They are on the payroll as salespeople and that's it.

At these seminars the pitch is feverish and it is easy to be lured by promises of success into parting with your money. They are designed to work off the herd mentality. Don't fall for the nonsense.

On the Internet, the herd mentality is engaged through testimonials and a rush to action. You are encouraged every step of the way to BUY NOW! There are only so many days left and this opportunity will be gone forever or some other such nonsense.

The FTC, and everybody else who has studied these programs, gives the following advice:

1. Be skeptical about "get-rich-quick" advertising claims.

2. Ask companies for written substantiation for claims in their presentations, especially those about success rates.

3. Be aware that "experts" who endorse a product often are paid by the advertiser.

4. Be cautious about "testimonials." They may be paid for and probably owrse, do not reflect the experience of most consumers.

5. Be wary of purchasing a program if company representatives give you evasive answers or aren't willing to answer your questions at all.

6. Before you buy, decide whether the price reflects a fair market value.

7. Be wary of promises of free money or low-interest government loans. As a rule, these are available only in limited circumstances.

8. Dont be pressured to purchase immediately. Good opportunities are not sold through high pressure tactics.

9. Before you buy, ask about the companys qualifying requirements and refund policy.

10. Check out the company with your local consumer protection agency, Better Business Bureau, and state Attorney General's office. They should be able to tell you if any unresolved consumer complaints are on file.

Additional consumer protection resources are available at your local library. Check out materials on personal finance and those geared toward the small business owner.

Your local community college may have a marketing department. Call and ask to speak with one of the professors. Explain the program and ask his/her advice/opinion.

The Small Business Administration and your state and local government have publications and programs for new and potential business owners. Write or call and ask for a list of available publications.

Tap into the Internet. That's right, search engines could turn out to be your best friend. A host of scam busting sites exist and expose scams online and offline.

As always, common sense is your best weapon in the fight against this garbage. If it sounds too good to be true, it probably is. However, if you have more than a passing interest, do your homework. Getting too much information is not a crime or a hazard to your wealth.

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Brought to you by AA ARTICLES
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government auctions in michigan

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