Get-Rich-Quick Infomercial Fades To Black

Colorado has teamed with the U.S. Federal Trade Commission (FTC) to obtain a court order pulling the plug on a series of get-rich-quick informercials broadcast on TV.

The state and the feds sued Dalbey Education Institute, formerly known as America’s Note Network, alleging that the infomercials, called “Winning in the Cash Flow Business,” misled consumers to believe they could get rich quick by dealing seller-financed promissory notes or cash flow notes.

Lorrie, of Norristown, Pa., was one of the consumers who bought the program and conmplained.

“I had contacted them numerous time complaining that I am not getting the service I paid for,” Lorrie told ConsumerAffairs.com in February 2010. “And in return they sold me on another product or service of theirs assuring me that this program would work. However that program also was a lie.”

Cease broadcasts

The order, filed in U.S. District Court for the District of Colorado, requires that the companies and their principals cease the broadcast of any infomercials claiming that consumers can get rich quick though the sale of promissory notes.

Under the preliminary injunction, any infomercials the Dalbey Education Institute runs until the case is resolves or a permanent injunction is entered would be required to highlight the low success rate of consumers purchasing its products.

Next big thing?

Buying and selling notes was touted as the next big thing, a way for average investors to parlay a modest investment into wealth in a relatively short period of time.

But according to a survey the FTC conducted as part of its investigation, only 0.8 percent of consumer who purchased less than $500 of the Dalbey Education Institute’s products ever sold a promissory note. The survey found that only 2.8 percent of consumers who paid $500 or more for Dalbey Education Institute products ever sold a promissory note.