PSA: Don't swipe recklessly for others

[gozalim]

I know this story but was not aware that this story had anything to do with credit card swiping. This was a straight-up scheme, and most of the investors were wealthy people.

I don't think it involved cc.
I do think it's what he was taking about

[yesitsme]

whats with the latest bad investment/investor?

[gingyguy]

FTR buying groups is not the same thing. Not saying there is no risk or its not high risk even but its not comparable at all.

the only similarity is that people go in to buying groups thinking that nothing can go wrong the same way they swipe their cards for other people thinking nothing can go wrong. but the risk is definitely significantly lower by buying groups

[whYME]

I don't think it involved cc.
I do think it's what he was taking about

+1

[12HRS]

the only similarity is that people go in to buying groups thinking that nothing can go wrong the same way they swipe their cards for other people thinking nothing can go wrong. but the risk is definitely significantly lower by buying groups

agreed with the bold.

risk with buying groups is they don't pay or decide not to take your product or product goes missing with a signature. but I would argue that risk is involved in many different business where you sell a product and send an invoice, client can mess you over in lots of industries. I was actually thinking of buying specialized insurance just for this reason.

[Yehuda57]

agreed with the bold.

risk with buying groups is they don't pay or decide not to take your product or product goes missing with a signature. but I would argue that risk is involved in many different business where you sell a product and send an invoice, client can mess you over in lots of industries. I was actually thinking of buying specialized insurance just for this reason.

The difference is that buying group buyers are not looking at this as a business move or doing any sort of risk assessment. Many are unaware that there is any risk  at all. Some are singles in Yeshivah without income doing it for points, others are people living paycheck to paycheck also looking for a few extra points/dollars wherever they can get them. An article by Dan alerting them to the risks, even if the risks are lower than just swiping for someone, would be very beneficial, IMNSHO.

[YesThatsMe]

This statement is a little too generalized. It really depends on the type of investment.

An investment into an asset such as real estate is generally considered safer. I would argue that it’s safe to borrow money for such an investment, but only if it’s your personal investment, not giving it to someone who claims to be buying a property.

Any investment not backed by hard assets is risky. You should never invest more money than you can afford to lose into stocks or start-up businesses.

Buying groups land somewhere in the middle. Based on posts in this thread, I will definitely agree with you that it’s best to err on the side of caution and only buy what you can afford to lose, or at least what you can afford to pay off within 1 year if something catastrophic were to happen.

+1, although I would also argue that Bonds (debt) are also asset backed (Investment Grade).

Stocks from the S&P 500 are the next tier, safe, but don’t take the margin if you can’t afford the loss.

[chbochur]

http://www.ch10.co.il/news/437550/#.XFOiL1VKiUk

@chbochur was that guy playing the market with it?

To be honest I don't know if anyone is totally sure as to what he did with it.
(This coming from people who lost over a million dollars in that story)

[ludmila]

To be honest I don't know if anyone is totally sure as to what he did with it.
(This coming from people who lost over a million dollars in that story)

The CH10 article in Hebrew claims over $13 million.

[gozalim]

The CH10 article in Hebrew claims over $13 million.

you're talking total he's talking per single investor

[churnbabychurn]

To be honest I don't know if anyone is totally sure as to what he did with it.
(This coming from people who lost over a million dollars in that story)

Article says he's a degenerate gambler

[chbochur]

The CH10 article in Hebrew claims over $13 million.

In talking per one investor

[chbochur]

Article says he's a degenerate gambler

Question is what did he gamble it on

[gingyguy]

Question is what did he gamble it on

why does it matter? gambling is gambling is gambling

[chbochur]

why does it matter? gambling is gambling is gambling

There's gambling in a casino gambling in the stock market and gambling in a bad investment...
Some are crimes while others aren't