I spoke with my father, and he asked me to check out a company he located on the internet while searching for oil and gas well investing.
http://firstchoiceoilandgas.com/
I looked at the website, and not only is it unprofessional looking, but the information provided was very suspect.
He was told that he would receive 1800.00 a month for the next 20 years on a 45,000.00 dollar investment!
My parents are not rich (live on SS and Retirement Account)
I cannot locate any information about this company.
Can anyone provide any insight?
Thanks
There is no way that could be legit. It would have to make 45% + A year.
Unless your parents net worth is 1 Mil plus they likely should not be investing in the oil and gas. If of an age where they are are on Social Security, they need safer investments for shorter term. Anything of any risk should be less than 5% of the nest egg.
Invest in good mutual funds based on solid companies that pay dividends and have a very long track record.
Paying out $400 a month (on the $45k investment) over 20 years is a more likely expectation. Anything with much more potential is too much of a risk. Even this would be better left alone for several years before pulling from it.
The thought your dad is even considering it really scares me.
Good Luck!
When you hear an oil man say "Guarantee" as many times as that website does, you know he's a liar. It's just not that simple.
Thanks for the insight. I knew this was a scam, now I just need to convince my father that this is crazy...
Oil & Gas investments are for people who have to much money and don't care if they lose it. It's a great tax right off and once in a great while, you may make a little on your investment. But, you are more likely to lose it.
I am interested in investing too, I have my eye on Cunningham Energy, any thoughts on this company? I take it that if one has over 1 million they should think about investing in oil.
If you only have a million I wouldn't invest in oil. You may be lucky, but it's going to take you a few years to get your money back. I lost over 300,000 in less than a month and it didn't end there.
As far as I'm concerned, you would need to have double to triple figures million before you invest.
Everything looks good on paper, but when you get down the hole on a rig, it changes real fast. Always ask where are they drilling and then check that out for yourself. Oil business have some of the best con artist around. Their may be a well drilled with in a quarter of a mile that is making several hundred bbd and the one you just invested in is dry. To bad, cry in your milk. Then you can't write it all off on your taxes in one year. I have lost so much in oil and stocks that I will have to live to be 1,000 years old to get all the write off.
Thank you Virginia, that is some great information.
Bob
Heard the old saying "how to leave Vegas with a small fortune.......carry a large one with you", this somewhat sums up a new and unkowing investor in the oil and gas industry. If you must invest, look at some stock options on some very good companies but do your homework on their background.
Charles is right on comparing Vegas to oil investments. You will hit a few good deals, but a lot of bad ones go along with it.
Just look at Cheakeape stocks, a good investment??? when? Do your home work. If you feel you need to invest in Oil/Gas. Ask the investment company for at least 20 reference, then call half of them. Ask about the big returns and their loses they have made and received. I have always done this and I still have had a big lost in the 80's and probably will with in the next year if oil prices go down. Remember big money comes with big gambles, don't do it unless you can afford to lose it.
Charles and Virginia,
Mother always said the best way to double your money was to take a dollar bill and fold it double and put it back in your pocket. You haven't made anything but you certainly haven't lost anything either. Thank you Mother. Mother had grey hair. Grey hair is the sign of wisdom I have been told.
Clint Liles
Please restrain your father at all costs!!! While O&G investing can be very profitable , it is also very very risky , especially to the average citizen.
Oil investing and stocks seem too risky..... oil is a gamble and stocks are rigged from wall street,
I am out,