This is a scam isn’t it?

If it helps, she's you, just a bit more naive. She got roped in by someone else, paid her £800, and has made absolutely bugger all in return. So now the only way she's ever getting any of the money back is to do what was done to her and rope in 4 more idiots.

That's how these MLMs / pyramid schemes work, they con some poor vulnerable idiot, who then has to con 4 more idiots, and lose most of their friends in the process. The next four idiots then have to con another 16, who then have to con 128, who then fail miserably at conning anyone else because all the idiots are already involved. So they're stuck actually trying to flog the candles / financial advice / aloe Vera crap that the business is supposedly actually about.

@Offloadontome @inappropriateraspberry @Endofyear @Steeleydan @Arregaithel Utility Warehouse doesn't ask for money up front from anyone,or at any time bar £10 a year to register and £3 a month thereafter.

No, I don't work for them, but we do pay our utilities through them. We get a stonking 74p a unit Feed in Tariff because we have solar panels, and so far this year they have paid more into our bank account than we have paid out. We are £780 in pocket so far this year due to all the bright weather we enjoyed in spring and summer.

But they are an MLM, and incredibly shady.

@PoliteSquid as a utility supplier they really aren't - see above. They are also recommended by Which?

@Namechabgeforthissss Pyramid schemes are illegal in the UK and people who establish, operate or promote them can be prosecuted under the Consumer Protection from Unfair Trading Regulations 2008.

I had a few people asking me if I'd like to become my own boss and make some easy extra money. They were quite taken aback when I told them I already was my own boss and made a good living from it. Being a freelance book-keeper has its uses and I did in the end get one of my MLM friends to see the light. She asked me to show her how to do her own accounts, and she eventually realised that she wasn't making all the profits she thought she was, and she was, in fact, making pretty much nothing for all that effort and time. All those products she was buying to show at parties, and the free gifts and discounted items she was offering were costing a lot of money (and were expenses paid out of the business) and it finally dawned on her that she was her own best customer.😂

sounds really iffy, just say 'no thanks, I'm not interested smily face bye...'

You're asking if is scam. You're asking if you should ignore her.

You clearly do need it pointing out to you.

Usual advice, only invest or pay up front, money you can afford to lose. If it’s not explicitly clear what it’s for and the terms and conditions, it’s probably a scam. I would definitely walk away.

we had friends years ago where the husband was trying to pull all of us into an investment scheme he had invested heavily in. I think he genuinely believed in it, but there were major red flags for me and I didn’t invest. Within 5 years it was exposed as a scam and everyone’s money gone.

Don’t tell her you don’t have time right now or ask for details to be polite. Just tell her you have a job and don’t want to do anything else on the side. Then swerve her unfortunately. If it sounds like you are a bit interested or might be in the future then she won’t give up

When Ds was in Reception I dropped him off and another Mum who I didn't know at all popped up next to me and said "I will walk back to the car park with you". I said Ok and she started talking about work and how great it was to be able to do the school run etc and within seconds I realised what was going on. I told her I had no interest in "another income stream" and she never spoke to me gain

It's Utility warehouse. I've done it before myself, it's not a scam as such, it's a marketing thing but it relies on people becoming "partners" and then selling their utility bill products - gas and electricity, internet, phone / SIM cards, they also include home insurance etc. the more you sign up to with them, the more of a discount you get. They get you to "practice" the sell on people you know, then once you've run out of people to switch their bills, they will want you to sign up other partners. You can earn money but it's commission based. I have a friend who did very well on it and signed up loads of other partners. I gave it a go and I hated it, nobody signed up (probably because I'm not very good at selling things!) and I wasted loads of time for nothing.
I did not have to pay anything up front though - so I don't know what that's about. I wouldn't be parting with any money! If you want all the details I'd go on their website and see what it's all about yourself. The girl will want you to do it through her, because she'll get money for signing you up.

Absolutely a scam.

I don't entertain such people. They only use your friendship for their business purposes. They aren't real friends.

It's obviously a scam although maybe she doesn't realize it? Anyway, you just have to politely say No Thanks - and keep repeating that. You don't even have to give a reason.

Maybe she does not quite realize its a scam yet herself? Perhaps she paid someone else 800 and now needs to get 4 people to do the same. I would politely decline and mention to her that it sounds like a pyramid scheme and to be careful with it.

definitely not UW - they do not ask for money up front

Definitely a MLM pyramid scheme. To be very blunt, it's not worth being friends with her because she's too stupid, desperate or greedy. You cannot be friends with someone who lacks core critical thinking skills and a basic level of intelligence.

The problem is that some women are being heavily pressured and manipulated by their "upline" and they end up doing things that go against their normal common sense. They are being told by their "mentor" that they are fantastic and they are just one or two recruits away from reaching the next level of success.

I actually know someone who did hit the impossible jackpot and makes an eye watering amount of money every month. So it's not truly a scam but a lottery where the chances of winning are so tiny that it's really not worth it. The problem is this "friend" makes all her money by duping other women they can be as successful as she is and doesn't sell any products anymore. She started off hustling with product samples, parties etc but the real money only comes from recruiting others. Around 2 years into the game, she pivoted to showing off her lifestyle, constantly travelling to events, workshops and seminars and basically selling her own success story as the product.

On a personal level I'm happy for her because she didn't come from a wealthy background and had to struggle for many years juggling kids and work. Though I met her recently and she's become a hard-nosed, con artist type of person and you can tell by the way she talks. Using a lot of business-speak jargon, always on the lookout for new recruits and she doesn't seem truly happy.

The other issue is that even if you DO succeed on a financial level with a MLM, you do not have any friends. Most people you meet are scammy, transactional types who only care how much money you can potentially bring them. All the friends you used to know have been burned by false promises and tend to drift away. People in the same income bracket like doctors, lawyers, talented creatives, tech employees etc don't want anything to do with MLM types.

Network marketing is a huge circle-jerk industry that doesn't earn any respect from people who made their money honestly. So you either join and fail or join and succeed but never find your true place in society. Not worth it.

FYI, - “Martin Lewis does not officially recommend Utility Warehouse (UW) and has cautioned against it. While UW offers bundled services, the most competitive rates require taking on multiple products, and the network marketing model means sales pitches can sometimes be exaggerated..”

With these things there is no actual product or service. The only 'product' is what they are selling you - the opportunity to join in and find out what this lucrative way of making money is. All you have to do is sell the same opportunity to the next people in line...

Exh and I were once targeted by some friends who had fallen for the Amway thing decades ago. Must have been the early 80's. We saw through the whole thing and these 'friends' never spoke to us again. No loss really.

If I stumbled on a genuine way of making easy money the last thing I'd do is tell other people about it. I'd simply rake in all the lovely lolly for myself. Why would I want to reduce my customer base and decrease my own income by telling other people about it and setting them up as my own competitors?

Just send back "no and please don't ask me again". If she does then block her.

unfortunately the sort of people who fall for scams are told to do a hard sell on others.

Just say this, but not the bit about funds. That's not the point. The point is that you don't want to be involved with her business idea. So "I am not interested, thank you" is sufficient.

From experience, the best way to get rid of a scammer is to try to scam them back. You won't see them for dust.

Here you go. A Wikipedia page.
https://en.wikipedia.org/wiki/UtilityWarehouse

Just say No. Or word of your choice to that effect.

It’s a £10 joining fee then £3 a month. £800!! Yeah, your neighbour is a shyster.

MLM hun bot.

They’re rife with the recruiting this time of year. Luring hard up mums in to make money for Xmas.

Someone like this is not capable of being your friend.
She values making money from people over making friends with people.
Don't be fooled by her friendly demeanor, it's all a con.
You'll find other friends, proper friends who don't just see people as cogs in their money making scam.

@Namechabgeforthissss Your DH is correct - it is a pyramid scheme (sometimes known as a multi-level marketing - MLM - scheme) and you shouldn't get involved. Oh, and your new neighbour is a CF - I'm sorry she has turned out to be such a disappointment for you.

Remember "No" is a sentence!

But they are an MLM, and incredibly shady.