Learn from mistakes-Top 10 HYIP Mistakes

#1
Just found this article which I believe will help a lot
http://www.hyipmistakes.com/hyip-mistakes.html

Mistake 1: Spending too much too soon
This is probably the biggest mistake I've made in HYIP land, and the one that taught me the most.

I'd been in HYIPs for around 9 months. Things were going strong, my confidence was growing and one of the programs had just paid out a very nice profit.

In my excitement I invest all of this profit into a single HYIP that I found in the top of one of the rating sites. It's been rated in the top 3 for the last 6 months. Everyone was writing rave reviews about it. It looks and smells like a sure thing, so why waste time making a small spend?

Not even 7 days later and the warnings started to come. By that stage I could see my investment drifting away.

That investment had taken me over 4 months to earn. Within a few hours of receiving it I was able to give it away. That's a pretty good effort eh.

The experience gave me a real good wakeup call. Up to that point I'd been putting large chunks of my investments into individual HYIPs.

That's when I realized what people meant by "test spends"... ahhh. So you spend a little bit, and if they pay you, THEN you spend the rest. What a novel and practical idea.

After gaining more experience with HYIPs I realized that a single test spend isn't enough. Some HYIPs will pay you for small spends, but when it comes to real (larger) spends you won't see a cent of profit.

And you can't rely on rating sites feedback because sometime they get better treatment from HYIP admins!

So now a days I spend a little at a time gradually building my active balance.

Mistake 2: Not testing the withdraw function
Has this ever happened to you: you've invested in an attractive HYIP, your profit is growing day after day, everything is going nicely ... until you decide to withdraw some of your profit.

Either the withdraw function doesn't work at all, or your withdrawal is forever pending.

After I make my initial test spend with any HYIP I do a test withdrawal. I don't invest any more funds until the withdrawal is successful.


Mistake 3: Focusing on individual programs instead of the overall plan
I think everyone (including myself) have their favorite HYIPs. Those HYIPs that pay us regularly and we feel comfortable with.

Maybe their web site color is our favorite color! Or they've worded things in a way that sings for us.

But every time I find myself focusing my spends on one particular HYIP I remember a piece of advice that I once got: "Focus on the overall plan and not on individual HYIPs".

To me this is a fantastic philosophy for managing a HYIP portfolio.

When you think about it, putting our faith in one, two or three individual HYIPs doesn't make any sense given the nature of these businesses.

So taking this philosophy I would much prefer to have 10 programs paying me $100 each to a total of $1000 than having 2 programs paying me $500 each.

It would be even better to have 30 programs paying a little bit each.

Obviously it's a lot harder to find 10-30 solid programs instead of focusing on 2 beloved HYIPs. But to me focusing on the overall picture and building multiple income streams helps me sleep at night.





Mistake 4: Not getting your original spend back quickly
I'm sure you've heard this a number of times before. Always get your seed money back as soon as possible.

Given the fact that most HYIPs tend to fold within 6 months, this does make sense.

Figuring out when to start withdrawing your profit is more of an art than a science.

For example, should I deposit a large amount and start withdrawing straight away? Or deposit a small amount and start withdrawing after one month?

This really depends on how long you think the HYIP is likely to last and how long it takes to get your original spend back.

To date, all HYIPs tend to either slow right down: like one of the original cyclers that has been around for 2 years and now has a 200 day+ cycle time; or they go out of business within 6 months.

Side Note: I believe some HYIPs have good intentions but fail to manage the business side of things correctly so they close shop. I don't believe all HYIPs that disappear are scams.

Given the empirical evidence it's best to plan your strategy based on the worst possible scenario.

A rule of thumb that I've heard thrown about is to withdraw your original investment as soon as possible then from there on keep half the profit and reinvest half.

I believe having a clear monthly plan is key to being successful with HYIPs. At the start of every month I ask myself the following question:

"What If one of my main investments goes under this month... will this be a problem for me?"

Based on the answer I can decide how much I should withdraw, how much I should reinvest and what new HYIPs I should join.

Mistake 5: Getting greedy
Making money with HYIPs isn't really the problem. It's keeping the money in our pocket that becomes difficult.

The temptation to reinvest every single cent to keep our profits growing is so great...

I remember a program that was paying 5% a day for 30 days. Every day I would wake up, check my egold account to find a nice little deposit. A couple of weeks pass and things are looking good, so I reinvested all of my profits. This goes on for about 3 months. By this stage I've grown my investment with this program by reinvesting all the profit. Now I can sit back and reap the rewards.

Unfortunately (you guessed it) the program stopped paying.

Obviously I got a bit greedy and wanted to multiply my profit quickly. As mentioned before a better approach might have been to reinvest half of the profit and take the rest to invest elsewhere.
 
#2
and more

Mistake 6: Doing what everyone else is doing
It's very interesting to watch some of the rating sites and how their Top Rated programs seem to fall one after the other. Maybe it's because all HYIPs have a limited life-span? or is it because of all the rumours that start floating around once a HYIP gets in the spotlight? Or maybe, too much money coming in is too hard to resist!

I've learnt to mix my program selection with some well known HYIPs and some more obscure (yet established) programs.

My ideal HYIP is one that isn't in the spotlight but has been paying successfully for a while (4 months or more).



Mistake 7: Saving up for one big withdrawal
Some HYIPs seem to struggle when making large payouts. I recall a HYIP that became very popular all of a sudden after being rated high on one of the rating sites. Within 3 weeks a number of large investors had started requesting withdrawals. It quickly became apparent that the admins didn't have the funds available to make the payments.

It's possible that they were scammers who weren't really investing the funds, but it's all possible that they'd invested all the funds and didn't have enough liquid funds to honor the withdrawal requests. Either way rumors flew and things spiraled badly. They were out of business within a couple of weeks.

I find that making small, regular withdrawals is often better for everyone.



Mistake 8: Investing without doing any research
If you're like me, the last thing you want to do when you find a promising HYIP is to do a whole heap of research. I'm usually hitting the spend button before you could say "google"!

But then came that time when I made a deposit only to find out 10 minutes later on one of the hyip discussion sites that they haven't been paying for the last 5 days. Oops!

I mean, seriously, how can these programs stay online even after they've been proven not to be paying! Someone must have forgotten to press the off button on many of these hyip scripts.

So here are a couple of HYIP blacklists to check against before making a new spend:

http://www.hyip-navigator.com/black.php

http://www.stochasticsoccer.com/kakarukeys

It's even better to do a quick search on some of the big hyip forums or even Google.

A few minutes research can make a big difference to the end profit.


Mistake 9: Investing big at the end of the year
Let me take you back to the end of 2004 ... A hand full of solid HYIPs started to come out on top. More and more people invested big into these "safe, established, sure things". Including yours truly.

Things were looking good.

It wasn't until mid December that things started to fall apart, in a big way. One after one these established HYIPs started falling.

It's true that online marketing hits rock bottom around Christmas time. People don't have as much money to throw around. In fact, many people probably start withdrawing their HYIP profits around this time leading to a mini-HYIP-recession as it seems.

This is an established trend that seems to appear online year after year. I know I won't be making any big investments coming into December.



Mistake 10: Not tracking your returns clearly
Six months into HYIPs I realized that I was tracking the wrong things!

I was keeping track of all my individual deposits and withdrawals, which is great. But I didn't have an overall picture of how my portfolio was performing.

I wasn't able to say exactly how much I'd put in, what my portfolio is worth, my overall returns to date and my project returns for the coming month.

After experimenting with a few different Excel spreadsheet designs I realized that for me the key is to keep my tracking sheet very simple so I can see the big picture.

Here are some of the main things that I track for each HYIP:

- Name
- Web Site Address
- Investment (amount invested from egold, etc)
- Worth (what's the current investment worth in this HYIP)
- Earnings (how much I've withdrawn from this HYIP into my own egold account, etc)
- Earning vs Investment ratio (what's my profit/loss)
- Projected profit for next month
- Any comments, interest rate, concerns, etc.

This way I can list all the HYIPs on a single page with a total at the bottom.

By focusing on these high level numbers as opposed to the individual deposits/withdrawals I'm able to see the big picture, where I'm over exposed, where I'm having success and a lot more.

Putting together a suitable spreadsheet makes the daily task of tracking your HYIPs a pleasure.



Summary
So here is a summary of my top mistakes:

Mistake 1: Spending too much too soon
Mistake 2: Not testing the withdraw function
Mistake 3: Focusing on individual programs instead of the overall plan
Mistake 4: Not getting your original spend back quickly
Mistake 5: Getting greedy
Mistake 6: Doing what everyone else is doing
Mistake 7: Saving up for one big withdrawal
Mistake 8: Investing without doing
Mistake 9: Investing big at the end of the year
Mistake 10: Not tracking your returns clearly

At the end of the day, making money with HYIPs is as much an art as it is a science. By setting and following your own rules you can dramatically reduce your risk of losing money and hopefully significantly tip the balance in your favor to make some serious returns.

Happy HYIPing!
 

peterg

Senior Investor
#4
So informative

Jekyll, that's a really informative post and should be read by all - newbie or not.

I'm going to add to it with "Warning Signs" that I have just stolen from "hell of Hyips" site - Hyip Farm.
My thanks, acknowledgements, and apologies to him for stealing this page. If anyone would like more useful information please go visit the Farm from his sig.

WARNING SIGNS/ SCAMMERS TACTICS

If you are asking which HYIP is not a scam, our answer is simple, we don’t know. Scammers dress up to look like real investors while the real investors are always hiding and not dressed up. All we know is that no program last forever. However, here are some warning signs/guidelines for you to identify that scammer.



Pay the small fish and the big fish will come
The HYIP has being paying daily for few months without fail. Their membership growth rate is healthy.

Suddenly they announced a new plan, which is more much more attractive than the current plans. This new plan is usually on a compounding basis whereby you can only withdraw only after a month or so. The new plan also requires you to invest a higher spend than the other plans.

People will fall for it because the HYIP had gain much public trust after months of consistent payout.

Example: Global-E-Bank



Voting Madness
The HYIP pays non-investors to vote on monitoring sites. These non-investors keep voting on varies monitoring site and in the end they get more than the real investors.
This is a sign of a ponzi scheme. That HYIP need more new money to pay the old investors. A non-investor voting : “I got paid! Super! Best HYIP!” is the joke of the year. They are paid to be a liar. These liars are no different from scammers and to us, they are in the same barrack as those scammers in the jail.

Also watch out for sudden increase in good votes. Yesterday there were 10 good votes and today there are 100? Someone is behind this and you should know who he is……the SCAMMER!

Example: ImpexInvestments



FAQ/Plan Structure Rip Off
Many HYIP are so lazy to do their own FAQ and even their pay structure that they copy others. If they are so lazy to do their own, they will also be lazy to pay you!

Example: onvest.co.uk is identical to syninvest’s FAQ and xgoldx is identical to C-Investment's pay structure.



Programs offering High ridiculous returns
This is so easy to identify. “45% daily!” Ya right, my ass.

Example: siriusinvest



Re-Investors
Some HYIP that claim to be forex traders are just re-investor. They reinvest your money into higher paying HYIPs.

During the DOS attacks, some big players went down. How many smaller players went down with them? The ratio is as bad as 1:10. When one top paying program shutdown, 10 will follow.

So be on a look out for top paying programs that are having trouble.



Dishonest Blogs/Monitoring Sites
These blogs/monitoring sites claim to be honest investors. They will list the biggest and most well known paying programs and give professional reviews. After scrolling through the listings, you discover a stranger inside the top list! A program you never heard of before. But the site claim that it is best program and they have already invested a huge sum of money in it.

Obviously, the monitoring site has some “relationship” with that HYIP or vice versa.



Fake Documents
Someone discovered the documents posted by the HYIP as fake. Why a need to display fake documents?? Obviously this is a ponzi!!

Example: ImpexInvestment



HYIPs claiming to be a division of a group
It’s so easy to check out on these idiots. Just call the main group. Usually, the main group will claim that no such division exists!

Example: Mineral Investments



THE 3% CURSE
Over the years, theres a payout trend in the HYIP world:

1% daily - usually goes with 365 days/life
2% daily - usually goes with 365 days
3% daily - usually goes with 90 days
4% daily - usually goes with 50 days
5% daily - usually goes with 25 days or 30 days
variable% usually goes with 6 months to one year

The best part is the 3% curse. HyipFarm.com started this term!
Believe it or not, programs offering 3% is cursed to close down!

Example:
widegold.com - 3% daily for 200days
impexinvestments - 3% daily for life
oneinvest.co.uk - 3% dailyfor 180 days
And of course, Sonic Investments at 3% also cursed to close....

Jambutty, maybe this whole thread should be a sticky, with the title "Read me
First?"
 
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#6
thanks a lot jekyll and peterg.....very helpful and useful.....i hav been doing some of the mistakes tht u hav given...i will be careful nxt time and always keep ur information in mind
 

sus

Active Member
#7
Jekyll THANKS
I copy the post and putted it in a word dokument....i woll always look it when i feel unsecure. The december thing is really useful, the excel i have since my start in this. Almost the same simple and clear.
Again
grazie
 
#9
thanks jekyll and peterg ( although you'd take it from hyipfarm ! lol) , i will use your both information add to my site and will launch soon... thanks a lot guys, good works!
 
#10
and the biggest mistake is

The ONE Mistake :

NOT taking a look at the WEB SITE DESIGN. Poor design always means
good scam. Most hyips are just $3 copycat thing.
Take a look at Fastmarke (just an example) you will understand what good design is.

Plus no address or no phone number/chat online: just run and don't look back.

It's that simple.

Jeff Muro
 

jambutty

Geriatric Moderator
#12
Hello simon! Glad you could join us.

Whether you are an experienced HYIP investor or new to the HYIP world a very warm welcome to you from our happy band of forum members. That doesn’t mean that we set fire to you.

I’m jambutty (the ancient one) and over there sleeping in the corner is akuma99. Sssh! Don’t wake him he’s on night shift. jeFF is around here somewhere and if you see a shark swimming around don’t panic, it’s only the boss. He doesn’t bite! All that lot out there are the members. In the Indonesian section we have NDA corp to keep an eye on things.

We have few forum rules, mainly don’t be rude or use foul language – no referral URL’s except in the Advertising section and personal signatures. Anywhere else the basic site URL would be useful so that the reader knows what site you are writing about. If your discussion about the site reads more like an advert than a discussion it will be moved. Please do not refer to your own signature – you can refer to signatures in general though. No multiple or duplicate posts, they will all be deleted. Try to put your posts in the proper section. If you are not sure post it anyway and someone will move it if necessary. Before posting have a look around to see if your topic already has a thread and join it. In the “I Have Been Paid By ….” and “Scam” sections please make the title of your thread the name of the site being discussed – it makes it easy for others to find.

We look forward to you being an active member of this forum and reading what you have to say. We hope that the information and advice that you find on here will be useful to you.

If you are new to HYIP then these threads may just help you not to make mistakes.
HYIP Investing Strategy. Part I. http://goldentalk.com/t5214.html
HYIP Investing Strategy. Part II. http://goldentalk.com/t5327.html

If you have some time to spare maybe you would consider having a read of the following threads.
http://goldentalk.com/faq.html
http://goldentalk.com/t563.html
http://goldentalk.com/t2504.html
http://goldentalk.com/t2510.html
http://goldentalk.com/t2270.html
http://goldentalk.com/t2413.html

You should find them useful.
Jim
(jambutty)
 
#16
Jekyll Zi

I now have to call you by the title Zekyll Zi!
Or Jekyll Sifu!!!
Wow man ain't this a classic ....
what are you goung to call it?
HYIP BING FA?
Or the Tentagramm of HYIP?
This was a fab piece of info and i will rank you among the classical scholars of our day, along with Wang Tsung Yueh!....(was HE THE MAN!!!!!).....
JAMBUTTY , YOU HAVE A NEW WISE ONE HERE!
This place does lift my spirit................
ai and qi....................feng xilaren! :love: :alien: :song:
 
#17
Thank you jekyll, jambutty, and peterg for informative and useful reads. It seems
to me though that following all this advise does not really help us with the biggest problem - namely the Dishonesty Factor in the hyip business. I want to avoid dishonesty, not develop a plan to enable me to live with it.
1. If most hyips are dishonest then diversification is no salvation. It only permits us to get shafted in a diversified manner.
2. Test spends are no help because con artists are infinitely resourceful in making us feel comfortable with their scams.
3. Small spends are no help because we have only a finite time on this planet and I want to make some serious money.
4. Canadian chartered banks consistently post profits in the billions and they don't invest in ponzies. I'm looking for access to the sorts of things they invest in.
5. Statistical analysis may be interesting but its more appropriate for gambling. I don't want to gamble.
6. Finding a top player in trouble and then being beware since several smaller players may have invested in it is not much help either. How can we know what investments small players have invested in?
7. I also develped and follow a rule list. It doesn't protect against deliberate dishonesty.

I'm willing to lose my money because of business factors but not because a con artist out witted me. I have to work for my money.

Therefore, thank you very much akuma99 & Co for your work on GIG. I wish I had a concrete skill to help you with but I am too new to this so all I can offer is moral support. I look forward to participating in GIG. I see you are thinking of screening the participants based on their number of posts. I hope you make exceptions. I don't post much because I am still learning and only want to post when I have somethilng worth reading.
Regards from Ernie Canuck.