A significant portion of my girlfriend's family have fallen for, what seems to me, an obvious ponziPonzi scheme.
They take money, in cash, to a casino in the area. They give the casino the cash, and one month later get 150% back. This amount is always handed back to them in cash, which they immediately reinvest. Some of them have been doing this for years.
My girlfriend, being a reasonably sensible person, has had no intentions of participating in this until recently. She now needs to save up some money for next year and is seriously considering putting her life savings into this scheme.
What are some strong arguments against participating in something like this?
Edit: This is a 'legal', fairly large casino. The casino has a story about using the money 'invested' as a float for Singaporean billionaire gamblers. No apparent strings attatchedattached to the money. The idea is that you can take it all home straight away.
Edit 2: The guy running the scam took the money and ran after about a year. A lot of people in my girlfriend's family lost a lot of money. Thankfully she didn't put any of her own money in.