The Senate Special Committee on Aging is holding a hearing today to examine deception associated with retail precious metals investments and their effect on people’s retirement nest eggs. The FTC, which has a track record of stopping deceptive practices in the marketing of precious metals as investments, will testify.
According to the FTC, the deceptive practices have included telemarketing operators posing as “brokers” and offering precious metals as purported high-profit, low-risk investments. By failing to disclose key information about the investments’ terms and high costs, these brokers deceive consumers into believing that the investments provide a safe and secure vehicle for savings. Sadly, many Americans have lost their life savings to these unscrupulous operations.
The FTC is committed to protecting consumers from deceptive or unfair practices, including investment schemes that swindle money from people and often prey on older Americans' concerns about the security of their retirement savings. In fact, the FTC recently filed three law enforcement actions involving precious metals investment schemes. In addition to stopping the alleged scams, the agency expects to return approximately $5 million to victims.
If you’re looking to invest in precious metals, the FTC has some free information you can bank on to help keep those golden years from turning to rust: Investing in Gold, Investing in Bullion and Bullion Coins, and Investing in Collectible Coins.
