How to Spot a Crowdfunding Scam
Assess how plausible the idea sounds., Analyze the creator’s Facebook page., Ask the creator for their credentials., Read the comments section.There should be room on the crowdfunding page for people to leave comments., Check other crowdfunding...
Step-by-Step Guide
-
Step 1: Assess how plausible the idea sounds.
Does the invention or business idea sound like something that could be successful? Or is it crazy? Look at how much detail the creator provides.
If the idea is too sketchy or comes out of left field, then trust your gut and decline to contribute. , Some crowdfunding sites verify creators.
However, all they do is look to see that the creator has a Facebook page.
Because anyone can create a Facebook page, you need to analyze it closely.Check how long the page has existed.
Was it created recently, or does it span back several years? Does the person have many friends? And do they look authentic or are they bots? Check for real time comments and discussions that relate to something other than the creator’s business. , You wouldn’t make a business loan to a stranger who walked in off the street.
At the same time, you shouldn’t give money to a creator without learning about their business background.
Look for a way to contact the campaign’s creator and ask about their experience.
Also search online.
You can check their LinkedIn profile page. , Read them and check whether anyone has raised concerns about the authenticity of the campaign.
It’s easy to make an accusation online.
Accordingly, take comments with a grain of salt.
However, if you have any concerns based on the comments, reach out to the creator and ask them to address your concerns.
Also remain a little skeptical of glowing comments.
Many campaign creators hire PR firms to flood the page with positive comments., Be suspicious if someone has the same request on multiple crowdfunding sites.Make sure the information is the same on each page.
Someone who is lying might slip up and get details confused.
The most common sites include the following:
Kickstarter Indiegogo GoFundMe YouCaring Experiment , Scammers inevitable try to cash in on tragedies, such as natural disasters or school shootings.
For this reason, you should be generally skeptical of any campaign that springs up to raise money for victims of a tragedy. -
Step 2: Analyze the creator’s Facebook page.
-
Step 3: Ask the creator for their credentials.
-
Step 4: Read the comments section.There should be room on the crowdfunding page for people to leave comments.
-
Step 5: Check other crowdfunding sites.
-
Step 6: Be wary of campaigns started after a tragedy.
Detailed Guide
Does the invention or business idea sound like something that could be successful? Or is it crazy? Look at how much detail the creator provides.
If the idea is too sketchy or comes out of left field, then trust your gut and decline to contribute. , Some crowdfunding sites verify creators.
However, all they do is look to see that the creator has a Facebook page.
Because anyone can create a Facebook page, you need to analyze it closely.Check how long the page has existed.
Was it created recently, or does it span back several years? Does the person have many friends? And do they look authentic or are they bots? Check for real time comments and discussions that relate to something other than the creator’s business. , You wouldn’t make a business loan to a stranger who walked in off the street.
At the same time, you shouldn’t give money to a creator without learning about their business background.
Look for a way to contact the campaign’s creator and ask about their experience.
Also search online.
You can check their LinkedIn profile page. , Read them and check whether anyone has raised concerns about the authenticity of the campaign.
It’s easy to make an accusation online.
Accordingly, take comments with a grain of salt.
However, if you have any concerns based on the comments, reach out to the creator and ask them to address your concerns.
Also remain a little skeptical of glowing comments.
Many campaign creators hire PR firms to flood the page with positive comments., Be suspicious if someone has the same request on multiple crowdfunding sites.Make sure the information is the same on each page.
Someone who is lying might slip up and get details confused.
The most common sites include the following:
Kickstarter Indiegogo GoFundMe YouCaring Experiment , Scammers inevitable try to cash in on tragedies, such as natural disasters or school shootings.
For this reason, you should be generally skeptical of any campaign that springs up to raise money for victims of a tragedy.
About the Author
Harold Sanchez
Harold Sanchez specializes in engineering and technical solutions and has been creating helpful content for over 1 years. Harold is committed to helping readers learn new skills and improve their lives.
Rate This Guide
How helpful was this guide? Click to rate: