7K Metals Lawsuit: Scam or Legit Investment? Review Inside!

Posted on 07-06-2023 01:10 PM

Have you heard of the precious metals company, 7K Metals? If so, you may be aware of the controversy surrounding the company's practices. Negative reviews from customers have led some to accuse 7K Metals of being a scam or pyramid scheme. The situation has escalated to the point where a lawsuit has been filed against the company. However, if you are interested in purchasing physical gold or silver, 7K Metals offers gold bars, silver bars, and silver coins.

Despite these allegations, it's important to note that 7K Metals is a legitimate business that sells physical gold and silver bars to investors. However, some customers have expressed complaints about their experience and have taken to online platforms to voice their concerns. This has led to an ongoing debate about the company's practices and reputation.

If you're interested in learning more about the controversy surrounding 7k metals, keep reading. One question that may come up is who are the founders of this multi level marketing program? We will address this as well as provide information on their training and the silver coins they offer throughout our discussion.

Is 7K Metals a legitimate business and investment opportunity?

If you're looking to invest in precious metals, you may have come across 7K Metals, a multi level marketing (mlm) 7k metals reviews and complaints and network marketing company. But is it a legitimate business and investment opportunity? Let's take a closer look and see if it's worth adding to your wallet. Read some of the 7K metals complaints here.

Legitimate Business Opportunity

Firstly, it's important to note that 7K Metals is indeed a legitimate multi level marketing (mlm) business. The company offers its members the opportunity to earn income through the sale of precious metals such as gold and silver, utilizing network marketing strategies. Members can also earn commissions based on their rank and the sales they generate, making it a potential source of income for those interested in joining a wealthy affiliate program.

One of the unique aspects of 7K Metals is that it offers a level income opportunity within its MLM business. This means that members can earn commissions based on their rank within the company, rather than solely relying on sales volume. Additionally, through its membership package, members can access marketing tools and resources to help them succeed as a wealthy affiliate. This provides an equal chance for all members to earn income, regardless of their sales experience or network size.

Research and Due Diligence

As with any investment opportunity, it's crucial to do your own research and due diligence before investing in 7K Metals. While the company is indeed legitimate, there are still risks involved in investing in precious metals. Additionally, it's important to note that 7K Metals operates as a multi level marketing (MLM) company, meaning that you may need to recruit others to earn money. Make sure to keep track of your investments and earnings through a secure wallet.

It's important to consider factors such as market volatility, storage fees, potential scams, time, and money when investing in precious metals. It's also recommended to consult with a financial advisor before making any investments. Additionally, when investing in digital real estate, it's crucial to read reviews from other investors.

Income Opportunities

So how exactly does one earn income through 7K Metals? As a multi level marketing (mlm) company, members can earn commissions based on their rank within the organization and the sales they generate. By becoming a part of this mlm, you have the opportunity to make money and even become a wealthy affiliate.

There are several ways to generate sales within 7K Metals, including utilizing the multi level marketing (mlm) system to increase income and partnering with wealthy affiliate marketers.

Direct Sales: Members can participate in multi level marketing (mlm) by purchasing precious metals at wholesale prices from 7K Metals and selling them directly to customers at retail prices. This can be done online, creating a digital real estate for their business.
Network Marketing: Members can also recruit others into the mlm business and earn commissions based on their recruits' sales, generating income and making money online.
Affiliate Program: Members can earn income through multi level marketing (mlm) by promoting 7K Metals products online and receiving commissions on resulting sales.

Understanding 7K Metals Compensation Plan for MLM Business

Multi-level marketing (MLM) is a popular online business model where people members earn commissions not only on their sales but also on the sales of their downline. One such MLM company is 7K Metals, which offers its members opportunities to earn money through its online compensation plan.

What is 7K Metals?

7K Metals is a multi level marketing (MLM) company that offers silver and gold products to its members. The company was founded in 2016 by Josh Anderson and Zach Davis with the aim of providing people with a way to invest in precious metals while earning money through an MLM business opportunity.

How Does the Compensation Plan Work?

The compensation plan of 7K Metals is based on a multi level marketing (mlm) binary structure, which means that each member has two legs or downlines. Members earn commissions based on the sales volume generated by their weaker leg or team, allowing people to earn money through this mlm model.

To become eligible for commissions, members must first purchase one of three membership levels: Basic ($249), Silver ($499), or Gold ($999). Members can then earn commissions through various ways, including marketing to people, reviewing metals, and earning money.

Retail Sales - Members can participate in multi level marketing by purchasing products at wholesale prices and selling them at retail prices to people for a profit, making money in the process.
Fast Start Bonus - Members can earn a marketing bonus and make money when they enroll new people who purchase one of the three membership levels.
Binary Commissions - Members can earn money through commissions based on the sales volume generated by their weaker leg or team of people.
Matching Bonus - Members can earn money through a percentage match of binary commissions earned by the people they personally enrolled.
Rank Advancement Bonus - Members can earn money bonuses when they achieve certain ranks within the company's leadership hierarchy. This motivates people to work harder and attract more people to join the team.

The compensation structure of 7K Metals is designed to reward members with money who recruit new people and build a strong downline. However, success in 7K Metals, as with any MLM business, depends on the ability to recruit new people and build a large and active downline that can generate more money.

Membership Requirements and Exclusive Products for Members

Membership Requirements for 7k Metals

7k Metals is a membership-based company that offers people access to exclusive precious metals products. To become a member, you need to pay a one-time membership fee of $249, which includes your first month's membership fee. After the first month, you will be charged $97 per month as a basic membership fee. This is a great opportunity to invest your money in something valuable.

To join 7k Metals and start investing your money, you need to be at least 18 years old and have a valid email address. You also need to provide your full name, phone number, and physical address like many other people have done. Once you sign up for the basic membership package, you can start buying products from 7k Metals.

Premium Membership Packages and Benefits

Apart from the basic membership package, 7k Metals also offers two premium membership packages: Gold and Platinum. The Gold package costs $497 per year or $47 per month (billed annually), while the Platinum package costs $997 per year or $97 per month (billed annually). Investing in these packages can help save money on precious metals purchases.

The Gold package includes all the benefits of the basic package plus access to exclusive gold products and discounts on all purchases. The Platinum package includes everything in the Gold package plus access to platinum products and higher discounts on all purchases.

Exclusive Products Available Only to Premium Members

One of the main benefits of being a premium member is access to exclusive precious metals products that are not available to basic members or non-members. These exclusive products include limited edition coins, rare collectibles, and other unique items that are highly sought after by collectors.

Premium members also get early access to new product releases before they are made available to non-members or basic members. This gives them an advantage over other buyers who may miss out on these limited edition items.

Limited Market for 7k Metals Products

One thing potential members should keep in mind is that there is a limited market for precious metals products. While there is always a demand for gold and silver, the market can be volatile and prices can fluctuate rapidly.

Not everyone is interested in collecting precious metals products, which means that 7k Metals' customer base may be limited. However, the company has a network of team members and affiliates who promote their products to potential buyers.

Pros and Cons of Doing Business with 7K Metals

Pros of Doing Business with 7K Metals

Affordable membership fee and access to discounted precious metals.
Opportunity to earn commissions through their referral program.

One of the main advantages of doing business with 7K Metals is the affordable membership fee. For only $250, members can gain access to discounted precious metals, which can be a great way to diversify one's investment portfolio. Members also have the opportunity to earn commissions by referring others to join the program.

Another advantage is that members can purchase precious metals at prices lower than market rates. This means that they can potentially make a profit when they sell them later on. Members have access to a wide range of educational resources on investing in precious metals, which can help them make informed decisions.

Cons of Doing Business with 7K Metals

Limited selection of products and lack of transparency in pricing.
Reports of delayed or incomplete deliveries and poor customer service.

One major disadvantage of doing business with 7K Metals is their limited selection of products. While they offer gold, silver, platinum, and palladium coins and bars, there are many other types of precious metals that are not available through their platform. This may limit the options for investors who want more variety in their portfolio.

Another issue is the lack of transparency in pricing. Some customers have reported that they were charged higher prices than what was advertised on the website or were not given clear information about fees and charges associated with their purchases.

Reports have also surfaced regarding delayed or incomplete deliveries as well as poor customer service from 7K Metals representatives. These issues can cause frustration for customers who expect timely delivery and prompt communication from the company.

What I Like About 7K Metals

While there are certainly some drawbacks to doing business with 7K Metals, there are still some things that I appreciate about this company. For one, the opportunity to earn commissions through their referral program is a great way to make some extra money on the side.

I also like that they offer educational resources for members who want to learn more about investing in precious metals. This can be especially helpful for beginners who are just getting started with this type of investment.

Potential scams and pyramid schemes related to 7K Metals

Accusations of running a pyramid scheme

7K Metals has been accused of running a pyramid scheme, which is a business model that relies heavily on recruiting new members rather than selling actual products. The company's representatives are encouraged to recruit others to join the program and earn commissions from their sales. This type of business model is often unsustainable and can lead to financial losses for those at the bottom of the pyramid.

Promoting physical gold as a sound investment

One of the main selling points of 7K Metals is its promotion of physical gold as a sound investment. While investing in precious metals can be a legitimate way to diversify one's portfolio, it's important to do so through reputable companies with transparent pricing and storage policies. Some customers have reported difficulty in accessing their Sound Money Wallet, which is used to store precious metals purchased through 7K Metals.

Concerns about relying on recruitment over product sales

There are concerns that 7K Metals' business model relies too heavily on recruitment rather than actual product sales. This can create an environment where profits are only made by those at the top of the pyramid while those lower down may struggle to make any money at all. The Federal Trade Commission (FTC) has warned consumers to be cautious of pyramid schemes and multi-level marketing programs.

Scamming vulnerable people

Some critics have accused 7K Metals of preying on vulnerable people who may not have much experience with investing or understanding how these types of businesses work. Pyramid schemes often target individuals who are looking for quick ways to make money or who may be desperate for financial security.

It's important for consumers to do their research before investing in any company or program, especially if they're being asked to recruit others as part of their earnings potential.

Our top recommendation for making money online in 2023

While there are legitimate ways to make money online, it's important to be cautious of any program that promises quick and easy profits. Our top recommendation for making money online in 2023 is to explore opportunities in the gig economy, such as freelance writing or graphic design, or through starting your own e-commerce business.

These options allow individuals to work on their own terms and build a sustainable income over time without relying on recruitment or pyramid schemes. It's important to do your research and invest time and effort into building a successful business rather than looking for shortcuts that may end up costing you more in the long run.

7K Metals Lawsuits and Response from the FTC

Background of the 7K Metals Lawsuit

7K Metals, a Utah-based multi-level marketing company that sells silver and gold coins, faced lawsuits from the Federal Trade Commission (FTC) due to complaints about their metals product. The FTC decision required 7K Metals to stop making misleading claims about their silver and gold coins and JD Premium, a wallet for storing precious metals.

The lawsuit was filed in the United States District Court for the District of Utah. The FTC alleged that 7K Metals had falsely claimed that their coins were worth more than their actual value based on fractional ounces instead of whole ounces. They were accused of misleadingly marketing JD Premium as a safe storage option for precious metals.

The Decision Against 7K Metals

In response to the lawsuit filed by the FTC, 7K Metals agreed to settle with them. As per the settlement agreement, they are not allowed to make any false or misleading statements about their products' value or benefits. They also need to disclose all relevant information regarding their products before selling them.

Furthermore, they are required to pay $1 million in consumer redress as part of this settlement agreement. This means that anyone who purchased silver or gold coins from 7K Metals between January 2017 and August 2020 may be eligible for a refund.

Impact on Customers

The impact of this lawsuit on customers is significant. It highlights how important it is for consumers to research companies before purchasing any products or services from them. It also serves as a reminder that just because a company has been around for some time does not mean that it is legitimate.

Customers who have purchased silver or gold coins from 7K Metals should review their purchases carefully and consider filing a complaint with the FTC if they believe they were misled by any false claims made by the company.

Future Implications

The lawsuit against 7K Metals has far-reaching implications for the multi-level marketing industry. It serves as a warning to other companies that may be engaging in similar practices, and it demonstrates that the FTC is taking a more active role in regulating these types of businesses.

Should you invest in 7K Metals?

In conclusion, investing in 7K Metals requires careful consideration. While the company is a legitimate business opportunity with exclusive products and a compensation plan for MLM businesses, there are also potential risks involved. It is important to weigh the pros and cons before making any investment decisions.

It is worth noting that there have been lawsuits filed against 7K Metals by the FTC regarding allegations of pyramid schemes and misleading marketing practices. This should be taken into account when considering investing in the company.

Ultimately, it is up to each individual to decide whether or not investing in 7K Metals aligns with their personal financial goals and risk tolerance.

FAQs

Q1: Is 7K Metals a scam?

A: While there have been lawsuits filed against 7K Metals by the FTC, the company is still operating as a legitimate business opportunity. However, it is important to do your own research and carefully consider all factors before making any investment decisions.

Q2: What are the requirements to become a member of 7K Metals?

A: To become a member of 7K Metals, individuals must pay a membership fee and maintain an active monthly subscription. Members can then purchase exclusive products at discounted prices and participate in the MLM compensation plan.

Q3: How does the compensation plan for MLM businesses work?

A: The compensation plan for MLM businesses at 7K Metals involves earning commissions on product sales made by members within your downline network. The more successful your downline network is, the higher your potential earnings can be.

Q4: Are there any exclusive products available for members of 7K Metals?

A: Yes, members of 7K Metals have access to exclusive precious metals products at discounted prices.

Q5: What are some potential risks associated with investing in 7K Metals?

A: Some potential risks include market volatility affecting the value of precious metals, potential legal issues related to lawsuits filed against the company, and the possibility of not being able to recoup your initial investment. It is important to carefully consider these risks before making any investment decisions.

Q6: Can I make a lot of money by investing in 7K Metals?

A: While it is possible to earn money through the MLM compensation plan offered by 7K Metals, there are no guarantees of financial success. It is important to approach any investments with realistic expectations and a thorough understanding of the potential risks involved.

Q7: What should I do if I am considering investing in 7K Metals?

A: If you are considering investing in 7K Metals, it is important to do your own research and carefully weigh all factors before making any decisions. Consult with financial professionals and seek out unbiased information from reputable sources.