Is someone offering you easy money or huge profits in return for an investment? A cautionary warning is this: If an offer appears too good to be true, it usually is. Don’t be quick to believe advertising claims and testimonials, thinking, “This is different.” Keep in mind that people are not in business to give away money or to share secrets to make you rich. If someone claims to have special knowledge that will make you a fortune, ask yourself: ‘Why doesn’t he use it to make himself wealthy? Why is he wasting time trying to sell it to me?’

4. Investment opportunities: These schemes typically offer high rates of return with little or no risk. A common version involves investment in an offshore bank. Investors are lured by assurances that those handling their money have high-level financial connections and possess inside information.