OT: The NetWorth Club

[chalkeater]

Moderators, feel free to move this subject.

I know the old saying, "if it looks too good to be true, it usually is."

However, I have a very close friend of mine, who is very well educated, has a house, his own business, and several hunting camps. He is very caught in The NetWorth Club.

To sum up what The NetWorth Club is all about, you continue to pay your mortgage note (the same as what you are paying now) after another bank buys your mortgage and after 12 months, you will own your home, free and clear. Supposedly, no catches or strings attached.

It's what they call fractionalize banking. He just had his application processed and everything went through as expected. All he has to do is now sign the paperwork and in 12 months, he will own his own home. I know, I know, sounds too good to be true.

That's why I am asking for some insight. I know there have been other programs like this in the past than have been a scam or have failed, so what makes this program any different?

See what I am talking about at www.thenetworthclub.com and click on home mortgages. Right now, they are just doing home mortgages, but they are planning on dealing with commercial mortgages in the very near future.

I'm skeptical, but optimistic. It cost $2500 for the application fee, which $2000 is refundable, if you do not qualify. I risk at least 5 to 6 K a day, so the money isn't really an issue, if indeed it is a scam.

My friend has been to several of their meetings and has taken many conference calls, and he says everything appears to be on the up and up.

Comments, please!

Chalk

 

[hanover00]

Why would you think that somebody is going to pay your mortgage off for you?

The web site is vague and very general. It looks to me like another scam to collect fees from suckers .

 

[chalkeater]

Fractionalized banking, is the reason why your mortgage supposedly will be paid off.

The web site is very vague, by no accident I am sure of. However, my friend is taking applications for them and when he says it appears to be legit, I have no other reason to doubt him.

Chalk

 

[Soothsayer]

Chalk eater:

What is the risk involved, losing the house?

Good luck in whatever you decide to do.

 

[UberTout]

Dude, read their disclaimer. I would file this under "there's no free lunch".

Most trusts go out of their way to state that they don't engage in Fractionalized banking practices.

Your mileage may vary, but I'd ask a few hundred more questions.

UT

 

[ElIguana]

Ditto. A mortgage can't just disappear. My guess is that after you quite making payments after the first year, you will have 1 year's equity in your home, and the networth outfit will own the rest...doesn't sound very good to me. If this is legitimate, why wouldn't every home buyer in the country be doing it?

 

[JudgeWapner]

Call me a sceptic,but no f*cking way.

 

[chalkeater]

Agree with all the comments. As I have said, I am very skeptical, but I really do trust my friend.

The mortgage will disappear after a year and you will own the house. That's the plan. The NetWorth Club will NOT own your house.

My friend even had his attorney read the paperwork and now he says his attorney is looking to do the same for his mortgage.

If you pay $1000.00 a month to XYZ mortgage company, you will continue to pay the same amount to the new bank, but after one year, you own your home. That is the benefit of becoming a member. I know, I know ...

But this is what has been told to me ...

Just looking for feedback.

Chalk

 

[packer2012]

Has to be some sort of ponzi scheme.

Has to be!

 

[IDENTITY]

scam.

 

[D2bets]

If you don't understand HOW it works then you probably can't understand how it works and if you can't understand how it works then it probably doesn't work. Mortgages don't simply disappear without paying them off. If someone is paying it off they are not going to do it for nothing. This shit is dangerous, possible more dangerous than the $2,500. Stay away.

 

[D2bets]

Just looked on their site and I see they're touting the "Pure Contract Business Trust". Well-known scam. Just because it has a nicely designed, fancy website doesn't change the fact that this is a SCAM. STAY AWAY!!!

I think what they're selling is that you transfer the title of your home to the trustee of this Pure Contract Trust and the trustee of that trust becomes the debtor. Then they're going to say that the trust has all kinds of term by which you don't have to pay but they can't sue you. It's garbage, total BS.

I implore you, please run away from this stuff. It won't just cost you money, it can also be criminal.

 

[casinghand]

I think you have way too much respect for your friend's opinion. Don't let common sense get away from you.

Are you really serious about believing this? Please say no.

 

[clevfan]

The networth club is currently being investigated by the OCC Department of Treasury for reported fraud

 

[pokerr]

i would say to you GO FOR IT!! JUST DO IT!!

if after a year all is well, i may consider it

 

[hanover00]

Clevfan, nice job looking into this. I just found the same thing.

 

[pokerr]

I would say take a wait and see approach with them. When they were one of our sponsors, I had a continuous dialogue with their main guy... Whenever there were forclosures, they always did the right thing.

Now, we don't talk as much, but we are expecting them back soon..

If they come back, then hell YES, they should be as safe as it gets...

 

[DrunkenHorseplayer]

I can't believe that a person as seemingly intelligent as yourself is even considering dealing with these slimeballs. If you do follow through with this at least insist on contract language giving you the unconditional right to cancel all arrangements at anytime, for any reason and with no notice whatsoever.

 

[Skyweasel]

http://forum.offshoregamblersdigest.com/index.php?showtopic=21122&st=0&#entry147187

don't get scammed.

 

[oscar]

Chalk eater, people like your friend is why these and other types of scams flourish. When they fall for a ponzi, stock or some other swindle and because they are well liked and trusted by their friends they unknowingly recruit new victims to bring in to keep these types of scams going. RUN AWAY FROM THIS and tell your very well educated, has a house, his own business, and several hunting camps to FRIGGIN think!!