I REFER to the report, "MLM Act to be reviewed" (my paper, Oct 3).

The review of the multi-level marketing (MLM) trade Act is welcome news, as unethical and bullying hardsell tactics employed by unscrupulous salesmen are becoming more common these days.

Based on what I have heard - including from a friend who was a victim of an MLM scheme - these salesmen normally target the elderly or gullible consumers.

I have the following suggestions for those who wish to avoid falling prey to such salesmen:

• Consumers who invest in complex direct-selling schemes should exercise extra caution before entering into such transactions.
• The decision to invest should be based on your own judgement and not solely on advice given by the salesperson.
• Before investing, you should consider whether the products fit your financial goals, risk appetite and personal
  situation.
• Be wary of promises of high returns and too-good-to-be-true offers.

Ultimately, it is your responsibility to protect your own interests.

If you do not understand how the product works, seek clarification from anyone who has the knowledge or experience of direct-selling investment chemes.

Don't buy or invest in anything that you do not understand.

Mr Sebastian Tan

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