Credit Cooperative V Financial Pyramid

Ponzi scheme – a financial scheme in which the income on borrowed funds paid at the expense of their investments into profitable assets, and by bringing all the new investors and funds. The main criterion when choosing a co-op for investment is the quality of work, it is no secret that the timely turnover of funds directly to the reliability of the deposit. Pay attention to how the one or a co-op with its debtors, both spend their checks to pay, to a main category refers to the bulk of the borrowers of the cooperative. The cooperative must soberly aware of their real possibilities. The easiest way to a rapid assessment of the reliability of the cooperative – it is his age. Pyramid inherently can not exist long. Therefore, if a kpkg there are more than 5 years, then this is a good assurance that its financial policy is quite balanced. True real age of the organization can be difficult to discern.

In a number of reasons co-ops are often re-register. And the last certificate of registration may be enough fresh. That is, to calculate the actual age of the cooperative may have to thoroughly look through his papers. However, if some co-op you say have been operating, for example, age 8, but did not confirm this no papers, then you can safely get up and leave. This is a pyramid. Attention is drawn to the place of registration of the cooperative. Typically, the cooperative has been operating in the city where it is registered.