The Lived Experiences of victims of Pyramiding schemes

ABSTRACT : This study focuses on the lived experiences of individuals who have fallen victim to pyramid schemes, a prevalent form of financial fraud impacting people globally. Focused on Region 11, Davao City, Philippines, the study engaged seven participants selected through purposive sampling. Through in-depth interviews and thematic analysis, the study shed light on the factors contributing to their victimization, their experiences, and their advice to prevent others from becoming victims, drawing from lessons learned. Results revealed that while participants generally understood the fraudulent nature of pyramid schemes, their willingness to take risks led them to invest, resulting in financial losses. The main factors contributing to their victimization included the pursuit of larger financial returns, excessive trust in family and friends, and joining out of individual necessity. The victims offered valuable advice to prevent others from falling into similar traps, such as utilizing government resources and scrutinizing whom and what to trust. Victims emphasized the importance of government intervention and regulatory measures to safeguard against pyramid schemes, advocating for educational initiatives and stricter enforcement of existing laws. These insights deepen our understanding of pyramid schemes and provide actionable strategies to protect individuals from financial exploitation.

KEYWORDS – criminal justice, pyramiding scheme, investment scam, phenomenology, Philippines