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  2. It’s okay to hang up

It’s okay to hang up

Page last updated: 14 Nov 2016

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Fraud takes many forms. You may get a scratch-and-win card offering you the chance to win an exciting prize, an email requesting money or personal information, or a cold call from an investment company promising phenomenal returns.

The incidence of cold call boiler room scams is increasing, so we want you to know that in New Zealand it’s illegal to sell financial products by cold call. If you receive a call from a stranger about an investment opportunity, hang up.

If you’re targeted you will usually be:

  • contacted by phone, but you might also be contacted by text message, email or post
  • promised a great return – much better than similar investments
  • pressured to invest quickly to take advantage of the offer.

Read our steps to protect yourself before you invest.

Learn more

  • Listen to the FMA’s Paul Gregory talk to Duncan Garner about cold calling.
  • Read our avoid scams content to learn about the different types of investment scams and steps you can take to protect yourself.