Leads, lies, and losing big

Want to work from home? How about a job helping small businesses get loans or cash advances?

For people recruited by Money Now Funding (aka Nationwide Lending, among other names), it seemed like a great opportunity. In reality, it was a con. People were left loaded with debt — sometimes tens of thousands of dollars of debt — and no income. Today the FTC announced that the companies behind the scheme have been shut down.

Here’s what happened: scammers called people with a proposal — be our agent and find small businesses in need of a loan or cash advance. Refer them to us, and you’ll get $25 per application, plus 4 percent of any loan or advance they take out. So, on an average $20,000 advance, the company said, you’ll make $800. You also get a $100 bonus just for signing up.

But first, people had to pay $299 to $499 to set up their business. Once they did, they got more calls — this time urging them to pay thousands more for leads or other services.

In the end, it was all a lie. No loans, no income. 

Here are some signs this “opportunity” wasn’t on the up-and-up:

  • They didn’t give required documents. Under the Business Opportunity Rule, people pushing real business opportunities owe you a document with specifics, and an earnings statement to support any claims about how much you’ll make.
  • They ignored the Do Not Call Registry. If you’re on the Do Not Call Registry, you shouldn’t get calls like this. Even if you aren’t, a company should add you to its do not call list if you ask. These guys just kept calling.
  • They asked people to pay for the promise of future income. They promised buyers would recoup the investment in no time. Be skeptical anytime someone asks you to pay for a promise. Besides, if these loans were so profitable, why waste time recruiting agents instead of pitching businesses themselves?
Blog Topics: 
Jobs & Making Money

Comments

Nobody should believe in schemes with upfront payment All due diligence is to be done by one and all before any type of investment One should investigate himself before investing. that is the best way.

I've been on the Do Not Call list for years and still average 10-15 calls PER WEEK from telemarketers.....despite telling them I'm on a Do Not Call list and asking them to remove my number, they persist. SO frustrating. Cardholder Services is the worst!!

Years ago a friend and I wanted to earn extra money and saw a place that advertised how you could earn extra money at home making crafts. The initial cost was $40. We split the start up fee and they sent us a book of the different crafts. I think they sent the supplies, but the finished products had to pass their inspection. Most of the crafts looked difficult and time consuming and paid very little for all the work involved. Who's to say that you would make the items and for some reason, the company would tell you they didn't pass inspection and not pay you for your work, but keep them to sell. I never did go any further with the project. I cut my losses at $20 and considered myself lucky. If it's too good to be true, it probably is a scam of some sort.

Nationwide Lending, among other names), on daily basis are e-mailing spams. Even today. I filed the complaint with FTC but do not receive any information regarding their fraud activities. Please reply

Thank you for giving me this information on this scam. the public needs to get involved to help stop these CONS. Keep up the good work.

THAK YOU MOST SINCERELY FOR YOUR GREAT SERVICE !!

I just had a situation with Amazon.com for someone placed an order under my name and Credit Card No#, but I did not order it. They said they would removed the item, credit my account and have item returned, how do I stop this from happening again??? Steve H. 8/20/15.

You may find the information in this publication helpful, Protecting Against Credit Card Fraud.

How about listing the other scams that are currently trending, I.e. Bianary Options, learning to sell on ebay These are only two, but very easy to get drawn into, even if you think you are being careful.

Thanks for all information you've sent. I'm being bombarded by phone calls from says collection agency but won't give me their real number, address nothing already 500 calls on 3 weeks! I filed complaint with FTC and MA consumer Affairs! But this month when received SS check. A electronic withdrawal was made from account! How is this possible?

Contact your bank to see who made the withdrawal from your account.

There are some protections so a debt collector can't take your Social Security benefits from your bank account. The Consumer Financial Protection Bureau has more information.

I keep receiving calls from a computer company stating I called for help to fix Windows on my computer. I never called anyone & I don't have a computer, go figure. So I asked if I requested help then what is my name, could not answer the # that keeps calling 213-102-3456. Califonia.... Be careful!

I rec'd call a few minutes ago. Caller with heavy accent said someone was using my computer for something illegal. I do have a computer but I don't respond to phone calls like this! looked at # call came from. The # 1-234-567-8910. The area code shows up as Ohio. Remember that Window s 10 was just released. BE CAREFUL!!!

I rec'd call a few minutes ago. Caller with heavy accent said someone was using my computer for something illegal. I do have a computer but I don't respond to phone calls like this! looked at # call came from. The # 1-234-567-8910. The area code shows up as Ohio. Remember that Window s 10 was just released. BE CAREFUL!!!

Please help us here in Nigeria. Is organo gold a pyramid scheme? What about Alliance in Motion?
I heard about Syntek global also? These people are currently operating in Nigeria and its a serious issue

If you have questions about a business, read this FTC article about Multilevel Marketing. The article explains how to check out a business and important questions to ask before you get involved.

yes - I heard about it in Australia and NZ "Welcome to the OG GlobalTeam, one of the fastest growing organisations within the Home Based business industry" There is some connection to SereniGy

Hi - I think I am the most gullible person in the world - I have been "scammed" by 3 different internet coaching companies - paid out alot of money but made nothing Apply Knowledge has been shut down by the FTC; Malibu Marketing/Gobo Web Technology are not contactable and my site is down ??? Then there is Advantage coaching/ focus / ignite web builder who still try to help but they just do not have the formula for success. It does not only lose your investment but hour and hours of work as well. I am so sick of scammers that I am starting to write a book about it - so would be interested in other experiences email me

I got scammed by Live Technologies and talked to my social worker who told me to call the police and the police told me to call The Federal Trade Commission. So I called FTC and she gave me a reference # to investigate my complaint/scam. I think that it is terrible that a scam man business can continue to scam other people who just don't know.

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