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  1. Hi Dennis,

    Nice article. However.. what about the 6-7 million (+GST) of T$ transaction fees that Bartercard NZ & Australia take on per year alone. That figure is based on approx 600k of T$ turnover PA.
    In addition there is the 23,000 members (conservative estimate) across both countries contributing another 7 million of administration fees (the T$ portion) PA.

    = T$14,000,000 PA revenue

    I enjoyed your other articles, but regardless of the axe you’re grinding – this current one should probably take this into account.

    Regards,
    Tom

    • Thanks for contributing here Tom. If you’d care to be specific on how to reword the article better, please let me know.

      My focus is primarily on the deception around substantial undisclosed house deficit well in excess of $100m that I KNOW of. I haven’t [yet] dived into Bartercard’s Balance Sheet/P&L deeply.

  2. In addition to all that there is the fact the contract with their members is invalid. This is because there is no equivalent thing of value put up by Bartercard. Simply creating private credit in a computer does not satisfy this requirement of a valid contract. I have been told by an ex trade coordinator that he paid cash for a large amount of trade dollars from the company. These discounted T$ are only for insiders and are not available to ordinary members. At the Southern Gold Coast branch of Bartercard there are some very expensive merc sports cars and I once enquired about how they were purchased. I was told with BarterT$ of course. I contemplated the house account at the time and now see it for what it is. A fraud and a scam of the worst kind. I have a debit balance and it is impossible to trade out of it due to a very low membership in the area I operate in. In addition due to there restrictive rules that compel members to do a full 100% trade I was unable to compromise and they have tried to entrap me by offering unsigned vouchers as to avoid commisions etc until they are deposited. This say you can circulate the T$ around and only the last guy that needs to deposit them pays. They tried this twice on the phone. The second time I heard one staff members talking in the background about bartercard so I knew it was them.

    • Thanks Greg

      > In addition to all that there is the fact the contract with their members is invalid. This is because there is no equivalent thing of value put up by Bartercard. Simply creating private credit in a computer does not satisfy this requirement of a valid contract.

      Natural justice does not always apply to the law, and certainly not with companies like Bartercard who knowingly deceive and defraud as a core of their business.

      > I have been told by an ex trade coordinator that he paid cash for a large amount of trade dollars from the company. These discounted T$ are only for insiders and are not available to ordinary members.

      That’s right and the actual purchase price in cash is the true value of the currency. Anything more than 20c in the dollar is too high. In fact with the current deficit spend, people exchanging Trdae Dollars for cash of any amount are either taking advantage of inside knowledge or they are crazy!

      > At the Southern Gold Coast branch of Bartercard there are some very expensive merc sports cars and I once enquired about how they were purchased. I was told with BarterT$ of course.

      Of course!

      > I contemplated the house account at the time and now see it for what it is. A fraud and a scam of the worst kind.

      Bartercard’s permanent and increasing house account is not only fraudulent practice, it is well known in the industry as well as by all Bartercard management from the top down. It is a tax dodge AND their “creative ways to deal with debt” are well known too.

      > I have a debit balance and it is impossible to trade out of it due to a very low membership in the area I operate in.

      Once you are in debt – to a bank to to Bartercard – you are enslaved, period!

      > In addition due to there restrictive rules that compel members to do a full 100% trade I was unable to compromise and they have tried to entrap me by offering unsigned vouchers as to avoid commisions etc until they are deposited. This say you can circulate the T$ around and only the last guy that needs to deposit them pays.

      This has been reported as common practice in Bartercard UK too.

      > They tried this twice on the phone. The second time I heard one staff members talking in the background about bartercard so I knew it was them.

      Dishonesty and Bartercard go hand in hand eh?

  3. Bartercard is a disgrace. I have thousands of barter dollars that I can’t spend.

    • Sorry that you’ve been suckered too “Feeling Silly” but you are one of MANY who have the same problem. Deception and Bartercard go hand in hand. You will need to get creative, accept anything that someone will offer you and then trade that (whatever it is) for something that you need. Their Members DEBT-CREDIT ratios are ultra high, inflation rampant, self-interest in the stratosphere and the health of the system at a very low level. Their survival depends on continued deception and sales of new franchises/members, thus the apt description of Bartercard being a Ponzi Scheme.

      • I’m seeing that clearly now. We have only been involved for a few months. At the start I thought it was great as so many people wanted to buy our products using barter dollars. Now I realise that’s because they find it hard to use their money and will buy anything. Especially if it’s not twice the cash price like almost everything is. I actually want to take this to the media. Would make a great 4 corners report.

        • The media could embarrass Bartercard but one disgruntled member won’t cut the mustard. You should also clear your balance before acting. There are many people around the globe who would like to assist you expose the company for its corrupt practices including competitors, upset members, ex-members, franchisees, ex-franchisees and ex-staff. Contact me offline if you are serious about exposing their conduct. There will come a time when serious concerted action is likely to occur and I can guide those pushing for such exposure to be effective. USA and UK are historical weaknesses followed by Australia and their recent IPO, a jacked-up BS story if ever there was!

    • Hi,
      I am a current bartercard member and would like to buy some points of you if you would please agree. I joined as I was going low in cash but desparetely needed to get a few things done, so went for this service without understanding the full concept. Now that i have used up the points I want to get out of it. So would like to settle that out wiith any existing bartcard member if possible.

      Regards
      Iffat

  4. Agree with the post. I have purchased trade dollars from a house account! Owned by the three directors Trevor / Tony/ Brian. They sold me $5000 trade dollars for $1000 cash. I have retained the transactions for evidence and was the only reason I made the transaction. The truth needs to come out!

    • Hi,
      I am a current bartercard member and would like to buy some points. I joined as I was going low in cash but desparetely needed to get a few things done, so went for this service without understanding the full concept. Now that i have used up the points I want to get out of it. So would like to settle that out wiith any existing bartcard member if possible.

      Can you please e-mail me the details of the persons you bought the points from? it will be very helpful

      Regards
      Iffat

  5. A client of mine is considering some fairly sizeable deals through them and your report is giving obvious cause for concern.
    It is almost two years since your report why hasn’t the whole thing come tumbling down yet?

  6. Fascinating that this site is owned and operated by someone in Samoa.

    Fascinating that there isn’t one positive statement about Bartercard.

    Fascinating that the host talks about corruption and ex everyone; staff, franchisees, members and more.

    Why is it then that there are thousands of businesses that are 100% happy with Bartercard and they continue to do business?

    Methinks people here need to come clean and tell others what and why they have such prejudices.

    I have been a member for 12 years and have found it fantastic in terms of growing my business and getting cash referrals. I’ve never had problems in spending it and always respect $1T = $1 cash. fees are the same as you would pay as a referral commission.

    Come on; what’s your agenda here?

    • Thank you for bothering to comment here James. I don’t accept a lot of what you say/imply but I do appreciate you bothering to write.

      > Fascinating that this site is owned and operated by someone in Samoa.

      Fascinating that you write from Queensland, the country of Bartercard’s inception. Neither of these facts however has any merit or bearing upon the skulduggery at Bartercard. Fascinating that you either didn’t know or didn’t consider it relevant that I am New Zealand-born – a New Zealand citizen and chose to immigrate to Samoa in 2009. What’s the significance of my location (or nationality or race), apart from the fact that I live on the smell of an oily rag and have a lifestyle the envy of half the developed world?

      > Fascinating that there isn’t one positive statement about Bartercard.

      You really are a shallow reader James because there is. Fascinating that you don’t see the credit given where credit is due. I work VERY hard to bring balance to an issue and to acknowledge (like all truthseekers do) ALL factors. Bartercard is an incredibly successful company in certain areas. Integrity is not one of them though!

      > Fascinating that the host talks about corruption and ex everyone; staff, franchisees, members and more.

      Fascinating that you (who will know the tricks of the insiders VERY well) don’t take issue with what they say but instead shoot the messenger! Ignoring real feedback from insiders indicates a hidden agenda, and is NOT indicative of a truthseeker. I am that however and I use information gained from the disenfranchised, many of whom have lost out at the hands of others’ deception and greed. I use it for the purposes of establishing a thorough and accurate investigation and then reporting my ‘take’ to the public. You may have an issue with this (as will the spin doctors at Bartercard) but I don’t, and dare I say it, probably most of my readers who will appreciate my insights from this inside information.

      > Why is it then that there are thousands of businesses that are 100% happy with Bartercard and they continue to do business?

      And tens of thousands who are decidedly not . . . you conveniently forgot to mention! The answer though is the same reason that Obama, Hilter, Caesar and every leader of societies immemorial were able to fool people into being happy with their lot, until of course the truth outed and the SHTF. They’re suckers – got fooled and used. Just like the ones that you use in Bartercard to make your money.

      > Methinks people here need to come clean and tell others what and why they have such prejudices.

      Methinks you have failed to read much of the one million words on this blog that demonstrate VERY clearly that I am opinionated because I care; I seek only the truth; I actually have something between my ears; I think; I dare to ask the right questions and then have the b*lls to share my findings with the world, including people like you who either actually DO have an agenda or can’t be bothered to dig and ask questions and just accept the words of, yes . . . crims, crooks or crazies.

      > I have been a member for 12 years

      I have been a member a lot longer than you sir, off-and-on for decades AND every other non-cash trading system in my country of operations including BBX and others. I first used Green Dollar and was a member of New Zealand Barter even before Dwayne & Co established Bartercard. Not only that but I did due diligence on Bartercard and even purchased a country license for Fiji (when Bartercard New Zealand only had 300 members!). I STILL use Bartercard as a currency and you would spew with envy if you knew my personal situation in regards to my account with Bartercard.

      > and have found it fantastic in terms of growing my business and getting cash referrals.

      I’ve never said that an experienced, lucky or skillful operator cannot use a corrupt system like Bartercard to do well. This though is actually a logical fallacy for anyone who is in ANY such system can use it, game it, or benefit from it. That doesn’t change the nature of the core system – it’s a Ponzi scheme as I have revealed continually and in this post.

      > I’ve never had problems in spending it and always respect $1T = $1 cash. fees are the same as you would pay as a referral commission.

      Total BS. You can tell me what you think and do until the cows come home but the Bartercard fees are and always have been the highest in the industry and EVERYONE in the Bartercard system (including the Bartercard insiders like staff and Directors) has trouble spending it. It is hard work and the reason it’s this way is because of inflation – debasing of the currency. This is a little tricky for many to understand but when you have theft from the currency by the issuers of that currency it results in more people with the coinage than what can be provided. The balance between Debts and Credits within the currency gets out of kilter and creates this problem. It is a VERY serious situation for Bartercard now after decades of corruption.

      Even if I believed you that you personally have found suckers ready and willing to give you real goods and services in return for a debased, grossly overly inflated currency shows that you know how to game the system but most others don’t. The US government is bankrupt – by their own figures. That people still accept the USD in return for real assets shows that humans as a rule do not ask the right questions and think. Likewise Bartercard members. Thinkers though within the system keep their balances very low and avoid large credit balances which they will likely eventually lose, and some of those with consciences or who can’t game the system get out.

      The core Bartercard currency/system operates like a Ponzi scheme. Member churn is huge as you will know and they have been squeezed more over the years. Bartercard’s hidden Trade Debt is the largest in the entire global industry by a factor of MANY and I stand behind EVERY word I have written.

      > Come on; what’s your agenda here?

      My ‘business’ is to expose crims, crooks and crazies. My agenda is to do this openly and I seek to be seen as the thought leader that I am – fearless to speak it like it is in the chosen areas of my investigations. Alternative Currencies is one of these topics. What’s yours?

      You James present yourself as an innocent writer – a member of Bartercard totally happy with the system. But you are not. You are a businessman who apparently receives good income from the Bartercard currency and have the experience to cash out which of course comes at others’ expense at the end of the day. Good on you for being smarter than the small guys and the newbies. You are welcome to continue to use the system for your own benefit – after all that is what the Bartercard Directors have done and continue to do to you!

      The truth James is that Bartercard trade dollar is only ‘worth’ cents in the dollar and with its Trade Debt in the hundreds of millions AUD the only way that Bartercard continues is through deception. You ‘supposedly’ suspect the wrong people for the wrong reasons. You suspect a straight-shooting investigative blogger who has the potential to undermine your revenue streams using a corrupted debased currency. If you are so gullible as to believe the Bartercard story, dream on. I’ll continue to speak facts and apply logic though.

      My agenda is to not only shoot straight but to be seen to do so. It is in the open and always has been. I’ve now also revealed YOUR agenda which is a little more hidden – basically simple self-interest or you are more gullible than I thought.

      Note for readers, James’ is in the adult business, an industry that uniquely suits barter (such as Bartercard) as a marketing tool and an ‘alternative’ form of payment.

  7. I would say there is a flaw in your perception. Companies have been doing barter between each other since beginning of time. What BarterCard does is help to increase the choices they and charge a fee for the service.

    So lets take a look at a straight barter scenario.Indian food restaurant owner goes to a dentist and offers the dentist a $1000 gift certificate to his restaurant in exchange for a root canal because he is cash poor. The dentist had some time at the end of the day and figured its better than nothing and accepts the deal.

    The restaurant owner pays with a gift card which in reality is an alternate currency. Its his own money that only can be spent in his restaurant. The dentist cant spend it at the grocery store, printer or at the mechanic etc.

    So if the dentist doesn’t like Indian food the deal is dead for the restaurant owner.

    So what could he do? He could take the gift certificate to a mechanic and offer the gift certificate as payment to him but that’s when it gets complicated and pretty much wont work.

    Remember the restaurant owner simply didn’t have the cash to pay and needed the root canal. So he offered the deal as a take it or leave it, and the dentist said alright why not I GOT TIME (spare capacity)

    So how do we solve that problem? If we create a gift certificate that works in several places we can then give the dentist more options. It will still be a debt owed so all the certificate money is an “I owe you” i.e a promissory note same as the original gift certificate or all gift certificates work that way. Any and all Trade dollars are existing as a debt to the entire community of businesses. The way Bartercard keeps the their trade dollar safe is they have a slush fund that is funded in each transaction. If a business goes out of business and owes the community trade dollars and cant pay it back, the fund will pay the balance and bring that account back to zero. All the ledgers are always in balance that way. If there was no credit given you could have no money. When you think of it it is exactly how money works. But Bartercard never prints trade-dollars out of thin air like they have been printing FIAT currency Although the trade-dollar is tied to FIAT so I guess it will be losing the value at the same rate as FIAT currency.

    So when a business get started they get a credit line against the community of other businesses who participate. It says I am paying with the guarantee I will honor trade dollars in my business for any member who comes to me. If you have trade dollars in your account you can use it at any place that is active with Bartercard. The customers who walk in through your door from BarterCard are customers you wouldn’t have its new opportunity new business BUT they are bartering with you if you where not a member they would be spending at another place not yours.

    The question is are you willing to take trade with them or not? An empty chair in your business will remain empty and you would make zero dollars or you could make trade dollars, The two questions you should have is 1. do you have a good margin. 2. Can you handle more business? If it is two yes then Bartering will help you make more money if it is a no then bartering is not a good solution for you.

    The trade dollars is nothing more than a way to keep track of the credits that companies use with each other.

    So the dentist gets business he wouldn’t have he would go home early and make no money Instead he made T$1,000 and spent maybe $300 in cost. He turns around and gets his car serviced for T$1000 and which cost him $300 so he saved $700 getting his car serviced.

    Hope that offers a different viewpoint for the readers.

    Its not for everyone but it has been a tool for thousands of businesses to help fill in that gap called spare capacity.

    • Thank you for responding here ‘David’.
      > I would say there is a flaw in your perception.
      Sorry, but you are wrong. I understand barter and Bartercard a lot better than you appear to.

      > Companies have been doing barter between each other since beginning of time.
      Of course and if you read my blogging properly and understand me you will know that I ALWAYS state that commercial barter as a concept is fine. The problem is what the exchange owners get up to behind the scenes. I know not only what they do and don’t do but I also know the significance of this. Unfortunately you appear not to. YOu should read the post again, and all the others I’ve written too!

      > What BarterCard does is help to increase the choices they and charge a fee for the service.
      Yes, and they do a LOT more than this too! Believe me!

      > So lets take a look at a straight barter scenario.
      [Redacted] The post wasn’t about how trading works. The subject of the post was hoe Bartercard is OPERATED like a PONZI scheme, requiring new blood to feed the needs of old blood and the devaluation of the currency forcing more and more people into credit with less in debit.

      > The question is are you willing to take trade with them or not?
      No, my question relates to the value of the currency.

      > An empty chair in your business will remain empty and you would make zero dollars or you could make trade dollars, The two questions you should have is 1. do you have a good margin. 2. Can you handle more business? If it is two yes then Bartering will help you make more money if it is a no then bartering is not a good solution for you.

      Sure . . . and my question is, “What is the backing of that currency? Does it have real value or not?” The answer to that is increasingly, “No it doesn’t!” when it comes to Bartercard.

      > The trade dollars is nothing more than a way to keep track of the credits that companies use with each other.
      A trade dollar is exactly that – a record of a half completed transaction. When you sell something tangible into the Bartercard economy you have a record of a credit. If that record though has no backing (i.e. there are more people wanting to buy to get value back from their devaluing currency) then you have got sucked into a Ponzi scheme!

      > Hope that offers a different viewpoint for the readers.
      I doubt it. My readers generally read my words and understand the point. You haven’t, sadly. I suggest you read it all again with the possibility in the back of your mind that I know what I am talking about and that you have missed the point.

      > Its not for everyone but it has been a tool for thousands of businesses to help fill in that gap called spare capacity.
      Trading by way of direct barter, commercial barter and contra has always existed. Look at Greece and any country with wartime presures of any other financial squeeze. People will always find ways to trade. You should be listening to those who warn you against using debased currencies operated by crooks and fraudsters in it for themselves.

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