Additional Information for Cash Retirement Plan

Recently, a consumer shared information with BBB regarding a chain letter flyer they received that claimed they would make a profit of $1,000 a day, every day for the rest of their life. The premise is that the reader would have to sign up by filling out the order form on the bottom of the flyer. In addition, the reader is asked to mail $10 cash to each member listed on the flyer along with a copy of the flyer; then, the reader's name would be placed on the same list and sent to 100 opportunity seekers.

BBB offers the following advice in regards to chain letters:

Some chain letters promise to make you rich if you just make a small investment. Yet, most people who participate in these chain letter schemes don't make any money, and in fact, may lose their original investment. Not only that, but chain letters are a form of lottery and may violate federal mail fraud laws.

A typical chain letter might ask you to send a certain amount of money to 6 people along with a copy of the letter. Eventually, in this case after only 13 mailings, the scheme would require more participants then there are people in the world!

The originators of the letter may receive some money; however, chain letter schemes that involve the mailing of money or any other items of value are illegal. While all participants are criminally involved, the originators are generally the only ones who are prosecuted.

Remember chain letters that only promise good fortune, but do not require an investment, are not illegal. Do not be afraid to break the chain because of implied threats of personal loss or injury - simply throw the letter away.

Some letters may even be disguised as multilevel marketing plans. In these marketing plans, investors make money in both selling products and recruiting other investors. However, chain letters may not be legal even though they promote selling products, not winning money.

Watch out for chain letters that state they do not violate the law. If you think you've received an illegal chain letter, turn it over to the nearest office of the U.S. Postal Inspection Service.