Investopedia explains pyramid schemes, how they work, their different forms, and how people can avoid these fraudulent money traps.

A pyramid scheme hooks consumers with promises of big money, but often leaves them holding the bag in the end. Pyramid schemes are an especially notorious form of “get rich” scams perpetrated by a small group of individuals who stand to gain the most ...

One question I get asked frequently by potential clients who come in suspecting that they have been scammed is whether they might have been the victim of a Ponzi scheme. Ponzi schemes derive their name from Charles Ponzi, a prominent promoter of such a ...

Ponzi and pyramid schemes are both forms of financial fraud that share many characteristics. However, there are distinct differences in how they operate.

On March 12, 2014, the United States Federal Trade Commission (FTC) launched an official investigation of the nutritional supplement company Herbalife, based on allegations that the company was running a pyramid scheme - a fraudulent investment scheme ...

Charities say employers will still be able to certify themselves without employing "a single disabled person".