Offers of high, guaranteed returns with little or no risk are a classic sign of fraud. Learn the warning signs and check that any firm taking your money is licensed by the Central Bank of The Gambia before you pay.
The Gambia Bankers’ Association is advising the public to take great care with investment offers that promise unusually high or guaranteed returns. Schemes of this kind often spread quickly through social media, messaging groups and personal recommendations, and those who join late are the most likely to lose their money.
How these schemes work
Many fraudulent investment schemes are pyramid or Ponzi schemes. Early participants may receive payments, but these are usually funded by money from newer participants rather than by genuine business activity. When new money slows, the scheme collapses and most participants lose what they paid in.
Other scams present themselves as foreign-exchange or cryptocurrency trading, agricultural or property ventures, or “wealth clubs”. Some show fake account balances or trading screens to persuade people to invest more.
Warning signs
- Returns that are guaranteed, or far higher than those offered by banks and other licensed institutions.
- Pressure to pay quickly, before an offer “closes” or the price rises.
- Rewards for recruiting friends and family, or a requirement to bring in new members.
- Vague or confusing explanations of how the money will be made.
- Requests to pay into a personal account or mobile wallet rather than an account in the name of a licensed institution.
- Difficulty withdrawing money, or new fees demanded before a withdrawal can be released.
- Testimonials from people you do not know, or claims of endorsement by public figures.
A professional-looking website, a registered business name, an office or an active social-media presence is not proof that a firm is licensed to take deposits or manage other people’s money.
Check before you pay
The Central Bank of The Gambia licenses and supervises banks and other financial institutions in The Gambia. Before handing over money, check whether the firm is authorised by consulting the Central Bank’s website at https://www.cbg.gm or by contacting the Central Bank directly. If you cannot confirm that a firm is licensed for the activity it is offering, do not proceed.
You can also ask your own bank for general guidance on whether an offer looks genuine.
What to do
- Pause. Do not let anyone rush you into a decision about your money.
- Check whether the firm is licensed by the Central Bank of The Gambia.
- Ask for written information and discuss the offer with someone you trust.
- Never share your PIN, password or one-time passcode as part of an investment.
- If you have already paid, contact your bank at once, keep all receipts and messages, and report the matter to the police.
- Warn others in your family and community, particularly if the offer is circulating in a group you belong to.
Remember. If an offer sounds too good to be true, it almost certainly is.