Most of the big HYIPs (I talk about programs which manage to seem real and run for over one year) are operated by groups of professional criminals. Sometimes when new scammers try to enter the market they will try to buys them out. If they donâ€™t accept the offer they will DDoS the new site until it is gone. This ensures that the business is not taken away from the veterans.
Bribed HYIP Monitors
Some admins of the biggest and "reliable" HYIP resources take money from the HYIP admins to display the paying status while the program already started to pay selective or stopped payments to regular investors at all. Money can buy you pretty much everything on most HYIP resources.
No real address
Most HYIPs display some address in their contact data to create the false illusion that they own a real office. However if it is not a fake address then it is a virtual office in 99% of cases. A virtual office is some served office which can be used by hundreds of companies at once. There is actually now one of the companies, but just a representative who takes the phone.
Do you know that most of the HYIPs use fake documents of incorporation? They actually do not own any company. These documents can be purchased on the black market for around 200 bucks. Same goes for identities and necessary documents for payment processor verification. Never trust any of these documents, they mean nothing.
Some of the bigger HYIPs sometimes provide their members with a support phone line. But if you call it you will either just listen to some recorded message of some representative of the virtual office will answer the phone. They might be able to answer you basic questions based on a script they got, but if you go into details they will most likely take your contact details and promise a call back â€“ this will of course never happen. Again just a trick to make people think they are looking at a real company.
Many HYIPs will close in November or December. Admins perfectly know that people need money during Christmas time. This means that they most likely will withdraw most of the money from the program. Of course admins also want some Christmas cash â€“ so they just close down the program.
The bonus trick
I have watched this again and again in the past. If the ponzi of some admin does not perform very well they often announce some kind of bonus for new deposits. Because most people are greedy they will fall for it and deposit fresh money into the program. So, if you see a program offering bonuses for larger deposits, consider the program is oin its last days and the admin is planning to run away with your money.
The principal back trick
Do you know that the principal back option often is used as a scam tactic? Imagine if I offer you 20% monthly plus your principal back after 6 months. You give me $1k and I pay you $200 each months. Even if you were the only person investing into the ponzi scheme I would have no problem to pay you for 4 months.
Then when the 5th month comes I will run away with your money and made $200 profit. Now imagine this trick with hundreds of people. There were hundreds of fast scams in the past which used the same strategy. The bad thing: You never know what the intention of some admin really is â€“ thus playing HYIPs will always remain gambling.
A real business will never advertise by sending out spam. Yet you will still receive daily mails advertising some HYIP. These mails are mostly sent out by admins who operated programs before. They use the database of their previous program to advertise the new one. Some admins even sell the contact data of HYIP investors to other admins and HYIP monitors.
Some HYIP admins hire people to cheerlead their programs on HYIP forums, chats, blogs and other informational resources. Sometimes they even create fake HYIP monitors to control the paying status themselves. Testimonials and "Iâ€™ve been paid" posts on forums can be easily faked by the people running the scam. They keep being undetected using a range of IP addresses or proxy servers in different locations so that "paying" votes appear to come from around the world.