Another victim of Scott Carson, We Close Notes and Inverse Assets

Another victim of Scott Carson, We Close Notes and Inverse Assets

Flipper · Clermont, FL · Member since 2015 · 6 posts · 30 votes

Like Gerry's earlier post, I was very reluctant to share my story.  But now the time has come for me to share like Gerry so that no one else gets themselves in a bad deal with Scott or anyone else.  I specifically waited 2 months from Gerry's post and started a new feed because I want this to be fresh and I want everyone to read it again to hammer home the message about investing with Scott Carson, We Close Notes, or Inverse Asset Fund

My story is very similar to others who have posted and shared. I followed Scott for a very long time. I did his online workshops, notecamps, joined his Note Crew, and etc. I flew to DME in California where I met him in person. I believed him to be a genuine guy. I loved his message of integrity and to always take care of your partners before you took care of yourself. I really thought this was the JV opportunity I was looking for. A professional who knew what they were doing and would keep my investment safe with good returns and also give me an opportunity to learn.

After I wired the money the true story began. It now has almost been 24 months and I have yet to receive any of my funds or stated returns back. I have had to hire an attorney to take it to the next level. In those near 24 months, I have watched Scott continue to take in money from his coaching, masterminds, and online workshops. He has continued to take some of the longest and most luxurious vacations imaginable while my inquires as to where our JV deals are headed go unanswered and ignored. I terminated the deal per the agreement and still have not received a dime. On a few occasions, I did get responses from Scott I feel they were disingenuous and a delay tactic. I have deals come across my desk every day where I can be putting this money to work but instead, I have had to invest more money in the dead deal by hiring an attorney.

I am most disappointed in Scott because I believed in him.  I promoted local events in Orlando for him to my local investor community.  I invited my friends and family to come see him and listen to his podcasts.  I referred everyone to Scott if they wanted more note training.  I've had drinks and socialized with him.  Every conversation started with "we are cashing you out next month".  Then it was next month and next month and any day now.  All this time I continued telling myself surely this is not really happening.  Surely he would not take advantage of me of all people.  Then I went to the Travis county courts and started doing a public records search.  Go look for yourself.  You will find me and many other people with similar stories.

I wouold not recommend anyone invest with Scott or any of his entities.  If you already have I would recommend you start working on getting your money back now because it will be a long journey.  Before you invest with anyone do your due diligence on the partner and the underlying security of your funds.  Don't do it just because they seem to be a nice guy with charisma!

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Chris SeveneyBusiness Member
Moderator
Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
7y

@Todd LaPierre

If he is not returning calls maybe you or your attorney could visit him when he is in Orlando in November at his NOTE MASTERMIND November 15th, 2019 – November 17th, 2019.

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  • Attorney · Katy, TX · Member since 2014 · 397 posts · 215 votes
    7y

    Not legal advice but the law helps those who help themselves is something I heard in law school.  I would love it if a couple people can get organized and pull resources to take him down. It’s very unfortunate that small to medium sized financial fraud is incredibly underprosecuted and the economics of proper legal action are decidedly against the investor.  It’s an incredible shame.

  • Specialist · Member since 2018 · 12 posts · 5 votes
    7y

    THAT should be interesting. Can't wait.

  • Chris SeveneyBusiness Member
    Moderator
    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    7y

    @Tyler S.

    Curious if you are soliciting questions from the public for the interview?

    Will it be live for people to watch?

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  • Don KonipolBusiness Member
    Investor · The Woodlands TX / Avon, CT · Member since 2009 · 6k+ posts · 10k+ votes
    7y
    Originally posted by @Ethan G.:

    Not legal advice but the law helps those who help themselves is something I heard in law school.  I would love it if a couple people can get organized and pull resources to take him down. It’s very unfortunate that small to medium sized financial fraud is incredibly underprosecuted and the economics of proper legal action are decidedly against the investor.  It’s an incredible shame.

     so true...

    Private Mortgage Financing Partners, LLC
  • Rental Property Investor · Tarpon Springs, FL · Member since 2014 · 32 posts · 22 votes
    7y
    It will be recorded.  My intent is to interview those who have done business with him and lost money or are owed money.  

    if you have questions and have not done business with him directly please email those over.  I can’t promise I will use them because my intent is more tailored to uncover the facts around what happened here.

     Originally posted by @Chris Seveney:

    @Tyler S.

    Curious if you are soliciting questions from the public for the interview?

    Will it be live for people to watch?

  • Specialist · Denver, CO · Member since 2017 · 14 posts · 50 votes
    7y
    My second concern would be for the privacy of the victims. I mean, obviously they would be volunteering to be interviewed, but that almost seems like forcing them to add injury to insult.  Having said that, I really appreciate you trying to educate the public about it.
     
  • Specialist · Denver, CO · Member since 2017 · 14 posts · 50 votes
    7y

    My first concern would be that the "Ponzi pod cast" would give more publicity to the very machine that has caused so much financial pain to so many.

  • Rental Property Investor · Tarpon Springs, FL · Member since 2014 · 32 posts · 22 votes
    7y
    What is a Ponzi Podcast?

    Originally posted by @Beth Hale:

    My first concern would be that the "Ponzi pod cast" would give more publicity to the very machine that has caused so much financial pain to so many.

  • Investor · Austin, TX · Member since 2015 · 27 posts · 32 votes
    7y

    Tyler, I just started my own thread with my experience investing with Scott Carson.

    https://www.biggerpockets.com/forums/79/topics/758907-is-scott-carson-weclosenotes-inverse-asset-defrauding-investors

    I feel like the investor side of the Story has been been told. I would love to hear Scott's side if you can get it. I'll go on your podcast if that is what it takes. Although from my experience, I wouldn't hold your breath waiting for Scott Carson to do something he said he would do...

  • Real Estate Agent · Cape Canaveral, FL · Member since 2016 · 6 posts · 3 votes
    7y

    Two things to consider... protesting outside the hotel where he is having the Mastermind will not work. The Coronado is on Disney property and Mickey would diffuse the situation so as not to take away from their other guests.

    Regarding the book...it was offered as a 1,500 word chapter (essentially a blog). As a published author, I can give you a rundown on the process. I wrote my book in about 3 months. I took 2 family trips so it boils down to 2.5 months roughly. Three weeks back and forth with my editor. Less than a week to format it to be uploaded to Amazon. All told was less than 4 months to a finished product. 

    If someone is taking all the prewritten content and giving it to a professional editor, that should take no more than 2 months for 50 very short chapters.

    Pick out a book cover and then you are in business.

    No one considered they would be just a "chapter blog" in said book. All proceeds (up to 70% on Amazon for a self published author) would not go back to the contributors. They would be buried in the credits.

  • Specialist · Dallas, TX · Member since 2014 · 900 posts · 392 votes
    7y

    Here is Carsons side of the story; 

  • Specialist · Member since 2018 · 12 posts · 5 votes
    7y

    @Christopher Winkler
    Weird, I only get the link when I try to reply!

  • Specialist · Dallas, TX · Member since 2014 · 900 posts · 392 votes
    7y
    Originally posted by @Roger DeReu:

    @Christopher Winkler
    Weird, I only get the link when I try to reply!

    Yeah, BP does not like the link https://www.youtube. com/watch?v=KnbQFVxiSmk 

  • Attorney · Katy, TX · Member since 2014 · 397 posts · 215 votes
    7y

    Doesn't look like youtube link works

  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    7y
    Originally posted by @Christopher Winkler:
    Originally posted by @Roger DeReu:

    @Christopher Winkler
    Weird, I only get the link when I try to reply!

    Yeah, BP does not like the link https://www.youtube. com/watch?v=KnbQFVxiSmk 

    does not work.

  • Specialist · Member since 2018 · 12 posts · 5 votes
    7y

    @Ethan G. @Jay Hinrichs

    take out the space between the "." and the "com" in the link - he did that so BP wouldn't remove the link

  • Attorney · Katy, TX · Member since 2014 · 397 posts · 215 votes
    7y
    Tessio lost the money

    https://www.youtube. com/watch?v=RIJIXMX2zw8



    Originally posted by @Roger DeReu:

    @Ethan G. @Jay Hinrichs

    take out the space between the "." and the "com" in the link - he did that so BP wouldn't remove the link

  • Specialist · Dallas, TX · Member since 2014 · 900 posts · 392 votes
    7y
    Originally posted by @Daniel Flores:

    I have a similar story. Scott is not a good person and I would stay away from doing business with him. I have been trying to get him to answer my emails and phone calls to no avail he just continues to ghost me. I was warned about him but I didn't see it. The way he uses the Veteran thing is also Not good. Giving free membership into his virtual boot camps in hopes that you invest with him only to take your money is a crime. Morally, ethically if not legally. Scott Carson if you read this contact me and do the right thing.

    Daniel, please start a fresh thread if you don't mind and go into whatever detail you can. Also a ripoff report should be filed by everyone defrauded.  

  • Rental Property Investor · Saint Paul, MN · Member since 2019 · 12 posts · 6 votes
    6y

    Sorry to hear about your current situation.  I have began to listen to that same podcast and based on the current situation where is there a good, reliable place / source to get educated on notes?  I am excited to start down this path, but when I hear of these types of situations I naturally hesitate to jump in.  Additionally, I want to start small and invest in a piece of a note, so I can learn the process and protect myself just in case the situation goes bad.

  • Real Estate Coach · DE · Member since 2013 · 64 posts · 85 votes
    6y

    Best way to do this. I always teach my students the same. Use your own money first to learn the ins and outs before putting anyone else money at risk. Wish you all the best. 

  • Member since 2019 · 7 posts · 5 votes
    6y

    Hi all. I'm so sorry to hear some of you have been scammed. I am based in Orlando and a former news anchor with connections in the area. If anyone is truly interested in taking this to the media, I can guide you in the right direction. 

    I am a newbie in this arena and I certainly would want to know about situations like this. Very newsworthy with the proper documentation for a fair story. 

    Let me know if I can help.

  • DFW, TX · Member since 2018 · 41 posts · 20 votes
    6y

    @Todd LaPierre, @Daniel Flores, @Wylea Griggs, @Jim Workman: I heard Scott Carson speak two years ago, and got on his mailing list. The part of his spiel that I'm most interested in, is actually the "how to set everything up in 30 days" / "daily email with to-do list to actually get you started". 

    I'm not interested in sending Scott Carson any of my money (he's currently offering stuff for the discounted price of $800). I'm looking to develop the systems to invest in notes--not necessarily be on the Junior end of a Joint Venture.

    Do any of you have recommendations for how to get started in Note Investing? (i.e. the concrete steps) I'm really just interested in the content (and the scripts), not the whole JV thing.

  • Real Estate Coach · DE · Member since 2013 · 64 posts · 85 votes
    6y

    @Amy Fulbright What steps exactly are you looking for? How to set up your appearance on Social networking? How to find asset managers? How to raise capital, partners, etc (Which I never recommend until you learn with your money), etc. 

  • Investor · Orange County, CA · Member since 2014 · 19 posts · 44 votes
    6y
    Originally posted by @Eric Cybulski:

    Sorry to hear about your current situation.  I have began to listen to that same podcast and based on the current situation where is there a good, reliable place / source to get educated on notes?  I am excited to start down this path, but when I hear of these types of situations I naturally hesitate to jump in.  Additionally, I want to start small and invest in a piece of a note, so I can learn the process and protect myself just in case the situation goes bad.

    Hi Eric. Check out Note Investing Academy. (link is the same as the name) 100+ videos on everything you need to know to start, supported by a private Facebook group and monthly members-only webinars. We are three actual investors that still focus on investing but we love to educate the community. And we DO NOT raise funds from our students or sell assets to them as both are conflicts of interest. 

    As for "a piece of a note," be careful where you find that. Obviously, don't invest with a "guru" for all the reasons in this post and more. (see conflict of interest above too lol). But if you find an investor that will let you partially fund a deal, make sure you know where the rest of the funding is coming from. Pooling money without being anointed by the SEC is illegal so obviously not the business person you want to do a deal with. They would need to fund the rest of the deal themselves. This is still iffy, depending on how you interpret the definition of a security but it's at least moving in the right direction. If you are allowed to weigh in on decision making, all the better. 

    If they've set up an LLC to buy notes and you buy shares of the LLC, that type of pooling funds is legal but it's a bigger operation so watching over his/her shoulder could be more difficult. Make sure to let the person running the deal(s) know that you intend to watch and learn how it's being done. If they aren't expecting that, they are going to get annoyed and you are going to get annoyed and, well, you get the idea. It's always best to manage expectations.

    Good luck! 

  • Investor · Orange County, CA · Member since 2014 · 19 posts · 44 votes
    6y

    Originally posted by @Amy Fulbright

    Do any of you have recommendations for how to get started in Note Investing? (i.e. the concrete steps) I'm really just interested in the content (and the scripts), not the whole JV thing.

    When I first started out, I found it very difficult to put all of the "free" materials together and come up with a cohesive picture of the process from end to end. I needed to be able to ask someone more experienced questions about what came first, what to focus on most, how to decide what type of notes business I wanted to create, all of it. Plus, I knew there was a lot I didn't know -- and probably still wouldn't know when I finally invested because every deal is different. Because of all of that, I chose to invest in my education and selected a class with smart students I could mastermind with outside of the course. Best decision I've ever made.

    There are a lot of educators out there to choose from. If you provide more details on what might appeal best to you (eg one educator vs a team, in-person classes or online education, an "in your face/kick you in the ***" type teacher or more of a "here are your tools -- if you have any questions, let me know," maybe even if you want to start with 1sts vs 2nds, etc), I'm sure many of us can give you a little insight into which ones might be best for you.

    Just make sure you never invest with an educator as it's a conflict of interest. If they are fine overlooking that HUGE issue, what else are they OK with overlooking?

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