Home > Business Scams > Property Scam

Property Scam

By: Chris Nickson - Updated: 5 Sep 2012 | comments*Discuss
 
Property Scam Get Rich Quick Property

It's tempting to think that we can get rich quickly, that there's a short cut to wealth. After all, others seem to manage it, and the property market has always seemed a good way to accumulate money. But it's a market open for scamming, with people ready to exploit the get-rich-quick dreams of many.

How It Works

You might get a brochure in the mail, offering you a course on how to become a property millionaire. It's glossy, expensively produced, and it looks as if you could make some money. So you pay and take the course. At the end of it, you're introduced to an investment in some land for development.

It seems a good prospect, and so you invest some, maybe all, of your hard-earned savings. What you don't know is that the land is either agricultural or derelict. In many cases it is unsuitable for development, or is bound to have planning permission refused. Obviously, the people running the course and taking your investment know that, and also that you'll never see your money again.

It's become a widespread scam. In 2003, 381 companies were shut down who were doing business - scamming - people this way.

How To Avoid The Scam

  • Be very way of any and all mail solicitations, no matter how good they look. Check out the company first. Do they have a proper street address and landline number?
  • Ask questions about the course. Ask for references of people who've taken it and talk to them - not just one or two, but several. After all, you're spending money to do this.
  • Never make investments without plenty of research. Find out where the land is. Look at it before you part with your money. Ask questions locally about its history. Discover whether planning permission has been applied for or granted. If not, what are the prospects of planning permission?
  • Don't invest until you see detailed plans for the development of the site.

What To Do If You're A Victim

  1. Contact the police. Fraud is a serious crime.
  2. Contact the Office of Fair Trading
  3. Contact the Financial Services Authority

In all cases make sure you have copies of all paperwork about the transactions and the course, as well as notes of any phone conversations. Whilst the company might well be shut down, the chances of getting your money back aren't that high, unfortunately.

You might also like...
Share Your Story, Join the Discussion or Seek Advice..
Why not be the first to leave a comment for discussion, ask for advice or share your story...

If you'd like to ask a question one of our experts (workload permitting) or a helpful reader hopefully can help you... We also love comments and interesting stories

Title:
(never shown)
Firstname:
(never shown)
Surname:
(never shown)
Email:
(never shown)
Nickname:
(shown)
Comment:
Validate:
Enter word:
Latest Comments
  • Jack Jones
    Re: Builder's Scams
    Northumberland Trading Standards and Northumbria Police failed to take any action against a builder who was preying on elderly and vulnerable…
    15 September 2017
  • norman
    Re: Sky TV Scam
    just had a indian rang us on 0777657349 to tel us we have a problem with our box but as we do not have sky this must be a con
    25 July 2017
  • Ardent1000
    Re: Builder's Scams
    I am aware that a builder we employed has allegedly been telling people that he offered to put the work right for free and other mistruths. Just…
    11 July 2017
  • Mister
    Re: Builder's Scams
    George Michael, Jorghe Mihai, Romanian builder based in slough, London. Might claim to be Spanish. An evil person, with his friend Alexander, have…
    10 July 2017
  • Mason
    Re: Builder's Scams
    Re: Northumberland Trading Standards Northumberland Trading Standards are in my honest opinion the worst organisation I have ever come across,…
    8 March 2017
  • Janina
    Re: Safe Travel Gigolos
    I visit this site first time. Samun Santosh is a conman he lived in Portsmouth some years ago. He is still out there in Southampton or…
    3 November 2016
  • Ndox
    Re: Vishing Scam
    I " friend" sent me an image of some proof that he sent me a parcel from the UK. The parcel number is AEAC 0155408. I received a call presumably from…
    9 May 2016
  • Conmaur
    Re: The Bogus Travel Companies and How to Avoid Them
    I keep getting calls from a a company (travel something or other), they change the name frequently,…
    16 March 2016
  • SafeFromScams
    Re: Scams And Seniors
    Maureen - Your Question:My sister who is 85 has received a call and visit from eco green improvements, who say she can have replacement windows…
    10 February 2016
  • Maureen
    Re: Scams And Seniors
    My sister who is 85 has received a call and visit from eco green improvements, who say she can have replacement windows for her whole house just…
    8 February 2016
Further Reading...
Our Most Popular...
Add to my Yahoo!
Add to Google
Stumble this
Add to Twitter
Add To Facebook
RSS feed
You should seek independent professional advice before acting upon any information on the SafeFromScams website. Please read our Disclaimer.