High Yield Investment Programs, or HYIPs, are online investment opportunities where you deposit a certain amount of money, with the promise that your investment will return with substantial profit at a very short period of time. High risk, unstable investments for sure but the profits promised by HYIPs are too big – making them difficult to resist. These sites are mainly claiming to generate money out of Forex Trading, which may be true but oftentimes completely fraudulent. People are making and losing money out of these programs so you have to play it smart should you decide to step into the dark side of online money making.
Note also that PayPal is NEVER a payment option for HYIP sites. PayPal has a Chargeback feature so it will be an enormous headache for them to handle all the fraud reports and reversals for transactions by scam HYIP’s. The common payment processors for HYIP’s are: Liberty Reserve, Perfect Money, Solid Trust Pay, Global Digital Pay, a few are accepting AlertPay (now Payza) and others have an option to do Swift Wire/Bank WireTransfer.
Payza is a bit similar to PayPal in terms of buyer protection as they suspend most HYIP payment accounts for investigation i.e. when they receive complaints/disputes from members or maybe when they detect unusual activity coming from the HYIP owner’s AP account – hampering all transactions and causing anxiety to all members, until AP decides to lift the suspension (if that’s gonna happen at all). Look at what happened to Earn Groups. They had to replace Payza with Solid Trust Pay as a new payment processor leaving members obligated to claim refunds straight from Payza. See: How to File Disputes and Return Money at Payza.
So how do you play the HYIP game?
- As always, invest ONLY what you can afford to lose. Well if you’re already filthy rich to begin with, feel free to invest whatever you feel like throwing away but think as if you’re dealing with the devil. This is not a strong investment as you stand to lose everything if an HYIP suddenly turns scam.
- Don’t get carried away when you get paid the first time. Take off your money as soon as possible and DO NOT reinvest the principal amount, at least for the first few rounds of payments. Play with your profit instead. This way, you can minimize the risk of losing all the money you’ve invested.
- Study the HYIP site. Do you feel comfortable with the design/layout? Is it an HTTP Secure site? Does it have DDoS (Distributed Denial of Service) Protection? How strong is their support system (i.e. phone, email, chat, forum)? Also utilize the WHOIS tools available online to verify other information about the site like the domain registration and expiry, hosting provider, etc. If they’re offering a daily profit rate of over 10% or maybe doubling your investment in 24 hours and huge referral commissions — plain unrealistic and an obvious Ponzi Scam.
- Safest to join multiple user-rated “paying” HYIP programs and invest small amounts on each site instead of signing up for the most popular HYIP and firing all your bullets in there. Remember: Don’t put all your eggs in one basket.
Do some more reading. Try HYIP monitoring programs, specifically those that offer lists or stats that can be rated by actual users of the HYIP. People won’t keep their mouth shut if they spot a scam, it’s all over the world wide web so get Google-ing.