Approached by a gold trader

[paulburrows15]

Really weird situation today..

I was at my student property when a student approached me to discuss a business opportunity..

He’s a gold trader and has been for a few years, he’s 20 reckons since 16 he’s been doing it, on demos until 18.

Showed me photos of his merc he bought then sold and some trades.

I then asked to see his bank account, it showed we buy any car paying £22k in to his bank as well and money to and from his broker and his 4 clients.

Now he’s said if I give him 1k now, by feb it’ll be minimum 20k, he’ll take 50% cut. Says it’s a once in a decade trend about to happen.

I’d usually steer clear but he’s a student living in my property till June and it’s only 1k.

Sounds too good to be true right?

[agent006140]

PFE has a vaccine,market is soaring ,gold is down 69 dollars.
If he is so successful,why does he need your $1k?
You can probably do it yourself ,but you wont make 20k,it is up to you

[Hank]

I would be embarrassed to even ask your question, it's so ridiculous it's laughable.

As the poster above said, why would he need a grand off you if he's so clever?

Sometimes I fear for the younger generation, so many seem devoid of a little common sense.

[phaz0rz]

I'd take the money and buy physical gold yourself.

[slokor]

Ill never understand how people can be foolish enough to fall for these scams.
Guess a sucker realy is born every second...

[JamesNorth101]

If he is doing that well why does he need your £1k....

Why make someone else £20k and take a 50% cut when he can just do it himself and have the full £20k

[paulburrows15]

Completely agree with all responses.

I just don’t get why a 20 y/o student living in my house for the next year would want to con me?

Plus all his online banking lined up with what he said, I’m sure he could have some kind of demo account login for this kind of scam but I just don’t get it.

[JamesNorth101]

Maybe looking for a short term loan or he will tell you in Jan that it went wrong and the money is gone. Impossible to guess really just seems very fishy

My guess is he's a degenerate gambler. He'll be trading with leverage to try and win big, but its much more likely he will simply lose the money.

Its a no risk bet for him.

[Hank]

Originally Posted by paulburrows15

I just don’t get why a 20 y/o student living in my house for the next year would want to con me?

So you're not that young, I thought I'd misread the relationship and thought 'an adult could not be that stupid, he must be young himself'.

If it was me I'd be reviewing my relationship with this scammer, he clearly has no issue manipulating you at best, robbing you at worse.

(You're still tempted aren't you )

[paulburrows15]

I’m 24. Ha yeah I totally agree it sounds like a total scam, just when I saw the online banking, photos of him in the car outside my house, webuynycar depositing 21k into the bank etc. I thought I’d at least entertain it whilst my plumber was replacing the boiler 😂

[paulburrows15]

Originally Posted by just_smile

My guess is he's a degenerate gambler. He'll be trading with leverage to try and win big, but its much more likely he will simply lose the money.

Its a no risk bet for him.

He kept going on about leverage. I was taking to him in plain simple terms I.e. if gold = X, then by feb for my money to equal 10X gold must now be worth 10X (he said he’d buy and hold).

Then he said it doesn’t work like this, and if gold goes up by $10 and he gets 1 buy I’d earn $600. I kept saying explain but got no where really so I said thanks but no thanks

[JamesNorth101]

Originally Posted by paulburrows15

I’m 24. Ha yeah I totally agree it sounds like a total scam, just when I saw the online banking, photos of him in the car outside my house, webuynycar depositing 21k into the bank etc. I thought I’d at least entertain it whilst my plumber was replacing the boiler 😂

Sounds a lot like he sold his car. Maybe has debt issues?

[JamesNorth101]

Originally Posted by paulburrows15

He kept going on about leverage. I was taking to him in plain simple terms I.e. if gold = X, then by feb for my money to equal 10X gold must now be worth 10X (he said he’d buy and hold).

Then he said it doesn’t work like this, and if gold goes up by $10 and he gets 1 buy I’d earn $600. I kept saying explain but got no where really so I said thanks but no thanks

Sounds more like spread betting on the price of gold to me.

It goes 2 ways though and he may well have had it go the wrong way and has margin calls to meet, hence the car being sold or trying to get £1000 from you.

Its a risky game that can make a lot of money but also loose a lot of money

[paulburrows15]

His reasoning was now he’s back at uni with the lectures online he wanted to liquidate to now invest in this “once in a decade opportunity for gold”

[james_112233]

Give it to him. If he can't pay you back you can both go on Judge Rinder to solve it.

[agent006140]

consider that $1k is your tuition.
gold crashed today -84 points,you can use that money to buy physical gold.

[DENDEN76]

If he can make that much off 1k he should have been a billionaire by now considering compounding. Surely if his been doing this for 4 years and had a Mercedes he could come up with the 1k easily??