How to Prevent Illegal Fundraising? China Life Insurance Gives You a Hand!

If someone recommends you an investment plan for elderly services, agricultural organizations, debt settlement services, or other related financial projects, please be highly vigilant. If someone sells you low-investment, high-return investment plans with buzzwords like "technological innovation," "green transformation," "One Belt One Road," "rural revitalization," etc., or "metaverse," "NFT," "virtual currency," and "digital collectibles," then you should be very cautious, don't fall for it! If you receive a strange sales call or text message, or see a promotional flyer claiming that thousands of dollars can participate in private equity products, don't doubt, it's definitely a scam!

In recent years, there have been many risks in the fields of civil investment, market retail, and elderly care. Scams disguised as "technological innovation," "green transformation," "rural revitalization," etc., are constantly emerging. How can you protect your "piggy bank"?China Life Insurance (601628) Limited Liability Company, a subsidiary of China Life Insurance, gives you a hand.

What is illegal fundraising?

According to the Regulations on Preventing and Handling Illegal Fundraising (Order No. 737), illegal fundraising refers to the act of raising funds without obtaining a license from the National Financial Regulatory Department or violating national financial regulations, by promising returns on investment or other benefits.

Illegal fundraisers often disappear with large sums of money after they have obtained it, leaving their companies or individuals in financial difficulties. After the criminals squander, waste, and transfer funds or occupy them illegally, investors often find it difficult to recover their investments, suffering severe economic losses.

How to identify illegal fundraising?

To identify illegal fundraising, you need to remember these four common tactics:

1. Promising high returns; 2. Fabricating false projects; 3. Using fake promotional materials; 4. Utilizing emotional manipulation.

How to prevent illegal fundraising?

If you encounter any of the following situations, please be highly vigilant:

1. Promotional materials claiming that watching ads can earn extra income; 2. Investment plans disguised as foreign investment in stocks, options, foreign exchange, or precious metals; 3. Investment plans promising high returns for elderly care services or "free" elderly care; 4. Private equity investment products without company registration; 5. Investment plans promoting virtual currency and blockchain technology; 6. Promotional materials using concepts like "poverty alleviation," "mutual aid," and "charity"; 7. Flyers distributed on the street, in shopping malls, or supermarkets; 8. Organization of inspections, tours, or lectures to attract seniors; 9. Investment companies or websites with servers located overseas; 10. Requests for cash payments or direct deposits into personal or overseas bank accounts.

When purchasing insurance products, please ensure that you do the "three checks" and "two coordinations." The "three checks" refer to checking the personnel, product, and certificate. The "two coordinations" refer to coordinating with the salesperson and conducting follow-up reviews.