You might have lost money in the stock market, and it might be a terrible feeling. But, do you know what’s even more terrible than that? Well, losing your money again in a stock loss recovery scam! So, what can you do to avoid making such losses?
Here are a few ways that can help you to avoid doubling your losses!
Explore the Internet
Before trusting any company, it is important to research them. For example, Cold Spring Advisory Group spouts amazing results for their clients. Yet the only place you’ll find that is on their site, articles on 3rd party sites that they have written, and or press releases they’ve written that are redisplayed by 3rd party sites.
Research the owners and operating team
In the case of Cold Spring Advisory group Michelle Ottimo is listed as the chief executive. But if you search ‘Louis Ottimo’ you’ll find articles that alleged that Michelle has absolutely no experience in the securities industry and is really just the front person for her husband, Louis, who really runs the company. Further research will uncover why he is not listed as an officer; he was barred for life from the securities industry by FINRA for fraud, among too many other things to list, and in 2016 filed for personal bankruptcy.
Check out what others say
Louis Ottimo and Cold Spring advisory Group are mentioned on many complaint site and message boards. And, not in a good way. According to some complaints, they not only paid Cold Spring advisory Group fees up front, but Cold Spring Advisory and the representatives/ lawyers they selected lost the case causing their client to incur an additional $50,000 is mediation and compensatory costs.
Get multiple opinions about your case
If you have a real case with a chance of winning in arbitration, any legitimate stock loss recovery firm or lawyer will take the case on contingency — if you don’t win, they don’t get paid ether. If several firms tell you that you have no case, then another firm tells you that you do, they’re setting you up for … upfront fees. NEVER PAY UPFRONT FEES! According to the alert page at FINRA, upfront fee requests is a big red flag to walk away.