No one really wants to bear losses. But, in case you have had a stock loss, then going to a stock loss recovery firm may come up in your mind as one of the things to do next. While you do so, it is important to be aware of such stock loss investment recovery firms that make troubled investors bear more losses than what they did before. Although investment recovery scams are not new, but their development and the tactics employed to trap investors are witnessing constant evolution with each passing day.
Here are a few red flags that you may want to be careful about, while putting your trust in a stock loss recovery firm.
- They may make claims that don’t always stand true – Browse the Internet and you will find various claims made by companies that offer help to those who have experienced a stock loss. They claim to bring back their lost money, on the payment of an upfront fee of thousands of dollars. So, they lure investors and take more money from them, without recovering the amount due to them in several cases.
- They have a shady background – A bit of research on the web will bring many complaints in front of you about the companies that appear to be working shrewdly. Find the details about the background of their owners and see if they are barred by the NSDA or FINRA, or sued by previous clients.
- They resort to self-promotion – If a company provides good services, its services get automatically promoted. But, that’s not the case with such companies which deliberately try to come into the limelight with self-published press releases. This reveals a lot about the honesty of such companies and the legitimacy of the services that they provide.
One such company that seems to have been operating in the manners listed above is Cold Spring Advisory Group, especially with the shaky background of its owner, Louis Ottimo working with the backing of his wife, Michelle Ottimo. Allegedly, this firm and its members are ripping off people with their scams and fake promises, and have left many troubled investors much more distressed than what they were before.
Thus, be cautious when you rely on a stock loss recovery firm and remember the above-mentioned warning signs when dealing with one such company that claims to bring back your lost money.