Have you ever gotten a message on Facebook that looks something like this? “HEY GIRL, I HAVEN’T SEEN YOU IN A WHILE, YOU LOOK AMAAAAZING. DO YOU WANT TO LOOK EVEN BETTER AT YOUR NEXT EVENT? BUY MY MASCARA AND I’LL THROW IN A FREE GIFT. BUT HURRY, SALE ENDS AT MIDNIGHT.” Yeah…those messages. While it may be easy to brush these off, roll our eyes, and hit delete, a surprising number of women in America are caught up in these businesses, known as multi-level marketing schemes, or MLMs. In today's episode, Jean talks to Jane Marie, author of Selling the Dream: The Billion Dollar Industry Bankrupting Americans about why MLMs target women specifically, the signs to look out for to know if you’re being targeted by one, and what to do next if you’ve already lost money. In Mailbag, a listener asks how to find the best low-cost brokerage account, and we do the math on whether ‘becoming a millionaire by retirement’ is feasible for everyone. In our news of the week, we talk about Donald Trump’s new stock, the end of swipe fees on Visa and Mastercard, and the passing of behavioral economist Daniel Kahneman. Takeaways: MLMs often target women, offering them the opportunity to work on their own schedule and make money from home. However, the vast majority of participants in MLMs make little to no money and end up losing money. The Federal Trade Commission (FTC) is responsible for regulating MLMs, but their resources are limited, and MLMs often fly under their radar. It is important for individuals to report their negative experiences with MLMs to the FTC. MLMs continue to evolve and adapt, with new schemes constantly emerging. It is crucial for individuals to be vigilant and skeptical of any business opportunity that involves recruiting others and promises easy money. Chapters: 00:00:00: Introduction to the podcast and the topic of MLMs 00:10:03: Introduction of guest Jane Marie 00:15:23: The nature of MLMs today 00:18:49: The appeal of MLMs to individuals 00:21:17: The cycle of investment and loss in MLMs 00:23:59: The reality of income in MLMs 00:25:49: Why MLMs target women 00:30:51: The role of the FTC in regulating MLMs 00:32:51: Current trends and "flavors of the month" in MLMs 00:34:37: Jane Marie's hopes for the impact of her book "Selling the Dream" 00:37:13: Mailbag Join us! Snag all the latest episodes, savvy budgeting tips, investing advice and even giveaways via the HerMoney Newsletter at Hermoney.com/subscribe! The HerMoney with Jean Chatzky podcast is sponsored by Edelman Financial Engines. The podcast team and its host are neither employees nor clients of EFE, however, the show does receive fixed compensation and is a paid endorser and therefore has an incentive to endorse EFE and its planners. To learn more about the sponsorship, please visit PlanEFE.com/HerMoney. Please contact [email protected] if you would like to advertise on our podcast, and to learn more about Airwave, head to www.airwavemedia.com. Learn more about your ad choices. Visit megaphone.fm/adchoices