(11-06-2010, 02:01 AM)Fallenour Wrote: Ok so Ive heard a lot about this, and So I was curious and decided id look into it so I could help people transfer back and forth and make a penny myself in the process, and as I was looking into everything, the further I looked, the blacker things got. Ok so heres what I found:

LR does NOT sell its own credits, leaving that SOLELY up to the "third party vendors"

Of the third party vendors, LR claims no association, and states that they have nothing to do with them, and cannot gaurantee transactions with them from you and them to your lr account (the only available way to acquire lr credits)

LR IT and OF itself, does NOT sell its own credits, thus making the ONLY way to get credits is from a third party site (very fishy by itself)

They leave you with only two locations, BOTH IN THE SAME CITY IN COSTA RICA, with only two pictures of buildings, neither of which CLEARLY show the actual logo of LR on the building, a LIBERTY RESERVE sign, and one building looks like an apartment complex.

Also, if it doesnt handle money, why does it NEED a tax registration number? They dont SELL ANYTHING, or do they? If they DO sell their credits, why ONLY to a "third party"? why not sell it like paypal?

Another thing I noticed, they have no routing numbers on the accounts, which means that its SOLE PROPRIETARY, meaning you HAVE to buy from the third parties to get credits, meaning you never "bought" anything from LR, meaning all you have is an account that they say since you have "x" amount of credits translates to x amount of money, but its not "actual" money.

LR terms of service states they can terminate an account at ANY TIME.

Summary:

They can terminate an account at any time with or without reason, or evidence.

They neither directly buy or sell their own products DIRECTLY to a consumer, only through 3rd party vendors that they claim they have "no affiliation" with.

Since they only store credits, and dont directly touch cash, they cant be held legally liable for ANY reason if they close your accounts, you bought their credits, being a cyber credit, and not a cash value currency, legally, they can say you have no credits at any time, or close your account at a whim.

All it would take is one person to be sole owner of LR, and one person to own the "third party" sites, and your sol without a paddle if they decide to skip town, and all your money is theirs legally, and theres nothing you can do about it.

(11-06-2010, 03:17 AM)Xander Wrote: I'm going to ask this before everyone else does, what the hell is LR?

(11-06-2010, 03:29 AM)Fallenour Wrote: Liberty Reserve is a Company, NOT A BANK, that sells credits to third party companies to sell to consumers to buy to use at the lr site, while lr itself doesnt sell to individuals.