Be on Guard Against Affinity Fraud
The evil of “affinity fraud” is that normally savvy or even suspicious people let their guard down when offered an investment by a member of a group to which they belong and with whom they have a common background and interest—whether ethnic, religious, professional, or the military. Your checkbook is simply more likely to open when the approach is made by a member of your own group or when you hear other members of the group are investing.
Unfortunately, con artists and unscrupulous investment promoters often tout a legitimate or fabricated military affiliation to gain your trust. Before you consider investing, arm yourself with some fraud prevention tips: