The official website of Federal Stock Bond lacks transparency by not providing necessary ownership and executive information. Registered as “federalstockbondinc.com” on January 14th, 2023, the domain’s private registration raises concerns about the company’s credibility.
Further analysis into the website’s source code finds striking similarities to “crosstrade-uk.com” and “federalstockbond.com,” showing a consistent trend with fraudulent activities in which scammers use themes across several cloned websites. Despite its brief history, Federal Stock Bond fraudulently states on its website that it was founded in 2018, casting doubt on the organization’s integrity.
The lack of regulation or the presence of poor regulation is a huge red flag. It means Federal Stock Bond is a scam and most likely, an illegal operation.
Companies offering investment services or opportunities without having a license can vanish without leaving a trace. Furthermore, the lack of a regulatory license allows them to get away with it and face no legal consequences.
That’s why it’s vital for you to always check a company’s regulation status as well as its license information. The presence of a license allows consumers to reach out to an authority if something goes wrong.
In the case of Federal Stock Bond, victims have nowhere to go due to the absence of a watchdog or license.
You should ask yourself the following questions when you come across a new investment firm or opportunity:
- Does the investment provider maintain transparency about its CEO?
- Do they have a license from a renowned regulatory authority?
- If the need arises, can I reach out to an authority to report this company as a scam?
Federal Stock Bond does not provide tangible retail products or services for affiliates to sell. Affiliates are limited to promoting Federal Stock Bond’s affiliate membership. The reward model focuses around affiliates investing USD equivalents in bitcoin with the promise of predetermined returns over varied periods.
|$500 – $4,999
|$5,000 – $24,999
|$25,000 – $99,999
|$100,000 – $500,000
|Federal Reserve Plan
|$200,000 – $1,999,999
Federal Stock Bonds also pays referral commissions on invested bitcoin over three tiers of recruitment (unilevel):
– Level 1 (affiliates that were individually recruited) 6%
– Levels 2 and 3: 7 percent
Becoming a Federal Stock Bond affiliate is free, but to truly benefit from the revenue possibilities, affiliates must invest at least $500 in bitcoin.
However, it’s worth noting that many scammers disable their payment channels before shutting down their operations.
They might give you multiple reasons including:
- A technical error
- A glitch in their system
- Banking issues
- A “hacking attack”
And many others.
But in 9/10 cases, the scammers actually stop making payments and keep the money to themselves. Hence, the payment methods we discussed here might not work.
If you want to get your money back from a scammer, you’d need to file a chargeback.
When it comes to scammers, you should only measure the quality of their customer service if they respond to your complaint.
In the beginning, scammers tend to remain very accessible.
This means their representatives will keep calling you until you invest with them. Furthermore, they will act friendly and make it seem as if you’re one of their most valuable consumers.
However, they do all this just to win your trust.
Scammers understand that in order to convince someone to give them a large sum, they will need to seem like a friend.
Nevertheless, when you have invested a considerable amount of money and need to get it back, their customer support will become inaccessible.
All of a sudden, their numbers would either stop responding or become unavailable.
Still, they might remain accessible to convince you to invest further. Also, they might begin by making a few excuses regarding your payment.
However, in the end, the customer support won’t resolve your issues and become increasingly unavailable.
It’s worth noting that many scammers tend to purchase fake reviews. Buying fake reviews has become extremely easy and it’s a multi-million dollar industry.
Scammers like Federal Stock Bond tend to purchase fake reviews for their online profiles to make themselves seem more credible.
TIME Magazine investigated the fake review industry and estimated it to be worth more than $150 million. Certainly, there are a ton of scammers who want to seem legitimate and a bunch of fake reviews is the most effective way to do so.
That’s why you shouldn’t trust Federal Stock Bond reviews easily.
It’s easy to identify fake reviews as well. You should look out for 5-star reviews that are posted by temporary accounts (profiles which only posted 1 or 2 reviews on the platform). Also, you should see if the positive reviews share any detailed information about their experience with the firm or not.
In the case of Federal Stock Bond, chances are, you wouldn’t find many legitimate reviews.
Another prominent way scammers like Federal Stock Bond enhance their credibility is by burying negative reviews and complaints under a lot of fake reviews.
This way, when you’ll look up “Federal Stock Bond reviews”, you might not find many complaints. Or, you might find them buried within numerous reviews praising Federal Stock Bond.
You should always look out for consumer complaints. In the case of Federal Stock Bond, the most common complaints I found were about:
- Poor customer support
- Delays in payments
- High fees and charges
- Lack of transparency regarding their leadership team
- Aggressive sales staff
Do you have a similar complaint about Federal Stock Bond? You can share your complaint in the comment section or submit an anonymous tip.
The Federal Stock Bond website looks to be a generic framework with typical financial terms. The information, notably the advertised returns, is judged suspicious. The website’s information, including the promised returns, is most likely recycled across many websites, a frequent method used by scammers.
The alleged source of Federal Stock Bond returns is the trading of “stocks, cryptocurrency, foreign exchange, and real estate.” However, there is no reliable proof proving the existence of external revenue. The conclusion is that the Federal Stock Bond functions as a Ponzi scheme, relying entirely on new investments to generate returns.
The system, like all other MLM Ponzi schemes, is unsustainable. When recruitment slows, new investments decrease, resulting in a lack of funds for returns. This inevitably leads to the collapse of Federal Stock Bond, and as is typical of Ponzi schemes, participants are likely to suffer financial losses.
Federal Stock Bond is an unregulated entity. Although they might fall under the jurisdiction of a watchdog, they don’t have the license to offer financial services to consumers.
The lack of a license means they are not answerable to any regulatory authority. As a result, the people behind Federal Stock Bond can run away with your money without any prior notice. You should be extremely cautious when dealing with an unregulated service provider.
The absence of a watchdog also means you cannot report to them to anyone.
Also, due to the absence of specific regulations, there is no provision protecting you from the insolvency of this entity. If they go bankrupt, you won’t be able to do anything about it.
Can You Trust Federal Stock Bond?
All the evidence suggests that Federal Stock Bond is a scam. If you have lost money to them, there is still a chance you can get it back.
To recover your funds, you’d need to file a chargeback.
Is Federal Stock Bond a scam?
Can I withdraw money from Federal Stock Bond?
Where is Federal Stock Bond Located?
How do I get my money back from Federal Stock Bond?
Launch a website/app with a generic name
A website or app with a generic name allows scammers to hide behind common Google search results. Marketing such names is easier as well.
Pay influencers & social media pages to promote the scheme
By getting influencers and social media pages to promote their brand, scammers make their shady company seem more legit than it actually is.
Send thousands of emails and make cold calls to potential victims
It’s common for scammers to buy the contact details of people and spam them through email, phone calls, social media messages and other means.
Make victims feel safe through “small wins”
Such small wins usually include a few payments transferred into the victim’s account. This makes them seem more legitimate.
Convince victims into investing large sums of money
Due to the small wins, the victim is now convinced that the company is legit. Now, the scammers try to manipulate the victim into giving them larger sums.
Disable withdrawals & take down the website/app
Once the scammers have recieved a signicant sum, they either stop responding or cite a technical error to freeze their victims’ funds.
Repeat the cycle
After making the money, the scam will shut down and the people running it will launch another and repeat the cycle.