In this current economic crises, most people tend to be easily target by the scammers, of which is the best time because poor people are desperate for quick money as the economy is in the bad shape.
The current trending quick return of investments is the so called WhatsApp Stokvel in South Africa. This stokvels operate in this way; someone open the WhatsApp group and invites people to join with a minimum amount of money for example R100. The group admin promises them the he/she will receive R500 in a week if she/he deposit that R100.
My question to my fellow South African is wherein the banks have you invested R100 and receive 400% returns in less than 5 days? That is my million dollar question to the South African.
The dangers of this stokvels are;
1, This program is not registered with the Financial Services Providers(FSP) of South Africa. Therefore is not legal.
2, There is no contract sign between the two parties(the WhatsApp admin and the clients).
Which mean that the WhatsApp admin will not be accountable for the money that could be lost during that five days waiting period. They are no legal powers that you can exercise as a client against the WhatsApp admin if he/she runs with your money.
3, They is no formal business address and Email or website of the WhatsApp admin that you can use to get hold or trace him/her. What you have is just the Cellphone Number, of which is easy to change it.
4, They is 90% that other members will not pay you back the money is your turn/week to receive the money.
So fellow South African please make sure that you apply your mind before you start entering this kind of investment, check the loyalty of that group and you know the other members of the group. If you know them and trust them is then that you can join the group. Make sure that they are formal contract sign between you and the other members of the Stokvel, so you can hold them accountable if they don’t want to pay you.
This story was shared by one of the citizens, and they were rewarded for doing so. Please share your own story under this topic to stand a chance to be rewarded or visit the Topics page to find the most suitable topic for you to share your own story under, if there isn’t any, you can suggest your own topic and get rewarded for doing so also.