I Fell for a ‘Get Rich Quick’ Scheme and Lost $5,500 — Here’s How I Recovered

Conny Gordon is living proof that no amount of sophistication can immunize you from financial scams. The founder of The Simple Adult , a financial literacy platform for young adults, Gordon is savvy and self-reliant. She’s hardly naive to the existence of scammers who spend every waking minute thinking about how to rob people like her of their data, identities and cash.

Check Out: How Much Money Do Americans Have in Their Bank Accounts in 2024?

Read More: 9 Easy Ways To Grow Your Wealth in 2024

However, the promise of a lucrative new revenue stream made her ignore red flags that would have otherwise compelled her to close her wallet.

“Earlier this year, I became the victim of a get-rich-quick scheme that promised financial freedom through Airbnb arbitrage,” said Gordon. “The allure of the lifestyle — financial independence, the ability to provide for my family and achieving my dreams of living life on my own terms — was irresistible, especially after seeing so many success stories from others online .”

Money mistakes the super wealthy never make - that you might be doing now.

An Emerging Scam Is Making the Rounds

In February, CNBC reported on a swindle that ensnared aspiring side hustlers with the promise of “higher returns than the stock market.”

The scam was a get-rich-quick scheme that focused on Airbnb arbitrage — leasing a property long term and then listing it for short-term rentals that you hope will generate more money than you pay for the long-term lease.

It’s a complicated and risky strategy with little room for error, tiny profit margins, legal hurdles in many jurisdictions and no shortage of ways to fail and lose your money.

The scam from the CNBC report was not the one that lured Gordon exactly, but it was similar — and like all get-rich-quick schemes, it preyed on economic optimism.

“The course promised immediate returns with minimal upfront costs,” she said. “With the added pressure of wanting to change my circumstances, I jumped in.”

Find Out: I Rent Out a Home on Airbnb: Here’s How Much Profit I Actually Bring In

The False Promise of Guaranteed Returns

The arbitrage concept is attractive to people who are interested in real estate, but who don’t have the means, time or knowledge to own successful investment properties.

It is possible for skilled and experienced players to make money through arbitrage, but you should run from anyone who says it’s easy or that big profits are likely. Gordon knew all this, but was blinded by dollar signs.

“The program marketed itself as a foolproof way to achieve high earnings by renting properties without owning them,” she said. “I was assured that this would be my ticket to financial success, allowing me to make thousands monthly without having to own property or invest in costly renovations.”

Pay To Play: A Swindle Disguised as an ‘Investment’

Most get-rich-quick scams operate on the principle of spending money to make money — and the one that trapped Gordon was no different.

“To participate, I paid $5,500 upfront,” she said. “It was a huge investment for me, considering I was already laid off and navigating financial instability.”

Only after she paid did she learn about the impossibly unfeasible process she was expected to follow to financial freedom.

“The program required that I call 300 landlords and 200 agents weekly, negotiate contracts, research 150-plus listings weekly and manage properties remotely,” said Gordon. “The terms were overwhelming, with unrealistic expectations and intense time commitments that weren’t disclosed until after payment was made.”

The Ah-Ha — or Uh-Oh — Moment

Nobody wants to admit they got played. But every victim of every scam has an epiphany at one point or another — usually when it’s too late, which was the unfortunate case for Gordon.

“I realized it was a trap when the ‘coaching’ turned into a high-pressure environment with little practical guidance,” she said. “The promises of quick wins were a mirage and the so-called support system was just there to keep upselling me on additional services. Despite following the required steps and spending countless hours trying to make it work, the financial returns never materialized, and my anxiety about losing more money grew.”

Financial and Emotional Devastation, Then Recovery and Advocacy

Ultimately, Gordon lost $5,500, which she calls “an amount that significantly impacted my savings and set back my plans to invest in other areas of my business.”

The emotional toll was just as draining.

“The stress of feeling duped and seeing my savings vanish was overwhelming,” she said.

Gordon, however, didn’t have the luxury of wallowing while the bills piled up. Instead, she went back to what she knew best.

“I’ve been slowly rebuilding, focusing on my core business, The Simple Adult, and investing time in genuine growth strategies that don’t rely on shortcuts,” she said. “This experience has taught me to approach opportunities with caution, do deeper research and not let desperation drive my decisions. My mission now is to educate others on the dangers of these schemes, emphasizing the importance of sound financial planning and skepticism toward too-good-to-be-true promises.”

This article originally appeared on GOBankingRates.com : I Fell for a ‘Get Rich Quick’ Scheme and Lost $5,500 — Here’s How I Recovered