Financially Savvy More Likely to Fall for Scams

access.wa.gov, Mar 22, 2007

Think you're too smart to fall for a scam? That's just what the cons are counting on. AARP and the Washington State Department of Financial Institutions (DFI) used groundbreaking new research findings this morning to launch a unique assault on investment fraud. More than 250 Spokane residents packed the Red Lion Hotel at the Park for the first in a statewide series of "Invest Wise Washington" investor education events. The campaign is the first of its kind in the nation to use detailed insights into the minds of con artists as a way to protect consumers.

Tacoma senior Dick Mansfield is sharing his story as part of the Invest Wise Washington campaign in hopes of protecting others. After spending years carefully planning and investing for his retirement, the teacher of over 31 years was confident he knew a good deal when he saw one. As it turns out, that's just what a con artist was hoping for.

Mansfield was among more than thirteen-hundred investors nationwide who lost a combined $60 to $100 million dollars in a bogus investment deal promising returns of over 48 percent per year. Mansfield alone lost over $175,000 to the scam.  "The promise of such high returns should have set off all kinds of alarms, but our financial advisor was someone that I thought I could trust," said Mansfield. "Not only was he very persuasive, he had also been a teacher. He was like one of us - a friend." Read more ay access.wa.gov.