Is United Wealth Education A Pyramid Scheme? Best Answers

Meta description: Is United Wealth Education a Pyramid Scheme?  We examine this question by reviewing the publicly disclosed financial report, consumer complaints, industry reports, and on-going legal cases to help you make the judgment.

Is United Wealth Education a pyramid scheme? According to my research, it isn’t, but it skirts dangerously to being one. 

This financial education services company is a Multi-Level Marketing company because it falls short of the Securities and Exchange Commission’s definition of a pyramid for a number of reasons. 

You can make a few bucks from the company, but you need to know that there is a significant priority on recruiting new consumers. Also, you need to pay an activation fee to purchase a service and become a United Wealth Education member. 

However, the company offers a wide range of genuine financial services, the major one being its credit card repair service.

It’s not all about the money, but if you are looking for some extra cash and have some free time on your hands, then United Wealth Education may be right up your alley. It will not be your main source of income, but it can help.

This guide contains everything you need to know about United Wealth Education Service; their business model, history, pros and cons, and everything in between. 

This guide aims to help you understand how the business works and what to expect. 

Who Would United Wealth Education Be a Good Fit For?

United Wealth Education will be a good fit for everyone who’s looking for a side hustle. The best part is that you can work from home.

However, if you are very good at recruiting people, I think you will fare better in the UWE business. Success in this business is largely hinged on your ability to convince or persuade people to join the business. So, you have to be good at sales and marketing.

Also, I believe United Wealth Education can help you understand your finances better through the series of educational resources that will be sent to you. Therefore, the business is a good fit for people who are struggling to make informed decisions about their finances.

This article is written by our Editorial Team at Incomepedia based on our market research, including testimony videos from former United Wealth Education Agents.


My Personal Experience

Is United Wealth Education A Pyramid Scheme

I’m proud to say that after a few months in this business, I achieved regional sales director. 

What does it take? It takes someone who is willing and able to see opportunities when they are in front of you-the ones with full advantage!

When I started out my credit score was at 469 but now thanks largely due to United Wealth Education Education (and their amazing training videos).

I wasn’t taught financial literacy in school, I wasn’t taught anything that has to do with credit and it was not a conversation in my household.  It wasn’t too long before I started realizing how important credit was and how to take full advantage of the system

The company was founded in 2004, and its headquaters is in Michigan, and it provides a list of unique financial services. Two things hat stood out for me were: 

  • The company have had the same executives since 2004
  • The company is completely debt-free

These things tell me that the company is here to stay and we have been able to help over 200,000 customers and have removed over 2 million negative information on credit card scores. 

43 million Americans struggle with a credit score of 5.99 or less and guess what, I was one of those Americans. 

With a good credit score, you get low-interest rates on credit cards and loads of other benefits. You will be surprised at how many doors this business opens.

After 90 days of being in the business, my credit score went up 200 points and I also achieved regional sales director. 

Again, this is not a guarantee. It will be different for everyone. 

Watch the full video:

What is United Wealth Education

Is United Wealth Education A Pyramid Scheme

United Wealth Education (UWE) is a financial and education services company that is based in Farmington Hills, Michigan, USA. They are a service-based company offering several financial education services aimed at providing solutions to economic issues consumers face daily. 

This Multi-Level Marketing company claims to be a wealth management company that provides solutions to financial issues consumers face every day. 

In my own terms, United Wealth Education is a company that tells you to subscribe to a financial education service in order to have a good credit score and presents you the opportunity to become “financially free”  by becoming an agent. 

They tell their agents how much money they can make by referring other people and presenting them with an opportunity for success, but only if those referred individuals subscribe too! 

Watch the video below to learn more:


Parimal Naik has been the founder since the VR Tech days

As emphasized earlier, United Wealth Education was originally founded in 2004 as VR Tech LLC, but it has previously operated under several different names, including, CM Rent Inc., United Wealth Service, Financial Education Service (FES) and Youth Financial Literacy Foundation, according to the FTC. 

It has now rebranded to simply “United Wealth Education” with an emphasis on providing financial education services. 

United Wealth Education’s estimated annual revenue is about $128.9 Million per year. 

Staff and CEO

Parimal Naik, founder and CEO of United Wealth Education (UWE) has been at the helm since the VR Tech days. He is responsible for leading their team through many changes in name to where they are now regarded as United wealth Education. 

Micheal Toloff acts as Group President while Chet Seely handles various responsibilities including vice president organizational growth & development

According to the United Wealth Education LinkedIn page, this organization has 374 employees.

Source: LinkedIn ; Is United Wealth Education A Pyramid Scheme
Source: LinkedIn 

Is United Wealth Education A Pyramid Scheme?

So, you might have been wondering if United Wealth Education (UWE) is a pyramid scheme. To answer this, let me take you through the definition of a pyramid scheme.

According to the Securities and Exchange Commission, a pyramid scheme is:

 “an investment fraud in which new participants’ fees are typically used to pay money to existing participants for recruiting new consultants.”

SEC describes pyramid schemes as having the following traits:

  1. No genuine products or services are sold
  2. Members are promised high returns in a short period of time
  3. Members are told the business model allows them to make easy money or passive income
  4. There is no demonstrable revenue generated from retail sales
  5. Members must make a purchase to sign-up
  6. The business has a complex commission structure
  7. The business model places a high emphasis on recruiting

You can learn more about a pyramid scheme from the video below:

Why Isn’t United Wealth Education A Pyramid Scheme?

United Wealth Education is a Multi-Level Marketing (MLM) company and according to definitions, MLM companies are legal network marketing companies. 

Also, United Wealth Education does not count as a pyramid scheme because it does not meet all the characteristics of a pyramid scheme listed above. 

Let’s look at some of these important reasons below.

#1. United Wealth Education Offers Genuine Financial Services

United Wealth Education offers a wide range of financial services geared towards improving credit card scores, living a healthy life and affording proper coverage. Several individuals who have purchased their services testified that the company provides legitimate financial services. 

Source:; Is United Wealth Education A Pyramid Scheme

#2. There Is No Promise Of High Returns In A Short Period.

United Wealth Education does not promise high returns to individuals. The only thing they guarantee their customers is a change in their financial future. 

As an agent, your returns depend on your effort.

#3. No Easy Money

United Wealth Education does not say anything about getting rich quick or making easy or passive income. 

It is stated on the company’s website that you could reap the “benefits of a traditional business career, but without someone else controlling your income, hours, partners and overall job security

#4. United Wealth Education Has Generated Revenue from Retail Sales.

The company’s estimated annual revenue is $128.9M which is about $344,652 per employee. This is demonstrable revenue that is generated from selling their financial services. 

Why Do People Think United Wealth Education is a Pyramid Scheme?

People believe United Wealth Education is a pyramid scheme for several reasons. This includes: 

Members must make a purchase to sign up

You must purchase one of United Wealth Education’s financial services to become a member. Members will have to pay an activation fee then continue to pay a monthly fee. The company charges as much as $99 per month for their services.

United Wealth Education Places a High Emphasis on Recruitment

If you want to increase your revenues, the company mandates you to recruit new members. They accomplish this by providing you with a percentage of the commissions earned by your recruits.

How Much Money Can You Earn From United Wealth Education?

Unfortunately, United Wealth Education has not in recent times disclosed the income of their agents according to the levels they are. 

One of their agents, a founder at Tier 1 Credit Mastery, disclosed that agents who have been with UWE for a year or less earn $4,963 on average, with the highest income category over $59,000. 

Agents who have been with UWE for longer could have their average annual income jump to about $400,000. 


Based on the information above, you should not be relying on United Wealth Education as your primary income source. 

Now let’s continue!

How to Earn Income Through United Wealth Education?

You can earn income through UWE in 3 ways:

  • Commissions from sales
  • Weekly bonuses 

Method #1. Commission From Sales 

United Wealth Education allows you to earn a direct commission for each sale you make. This means that you are entitled to a certain percentage of the revenues from every sale you make from the credit repair service or any other service. 

The higher the sales, the higher the commission you earn.

Method #2. Weekly Bonuses

United Wealth Education provides its sales agents with the opportunity to build a team and earn weekly bonuses when their downlines subscribe to united wealth services. 

Key Advantages of Becoming a United Wealth Education Member.

Pro #1. Financial Solutions 

United Wealth Education aims to provide solutions to several financial issues consumers face every day. They create programs that can offer assistance to various pieces of financial puzzles including bad credit scores. 

Pro #2. Exclusive Benefit Program

This is a production-driven program. You must have risen to the high ranks in the business to be qualified. 

When you have recruited many donlines, you could be eligible for an Audi car payment, a house payment, and significant cash bonuses. This unique program is designed for motivated individuals who want to earn more than just a weekly paycheck and is a way of rewarding the top agents.

3 Key Disadvantages of Becoming A United Wealth Education Member.

Con #1. Sign Up And Subscription Fees 

To engage in service, United Wealth Education requires you to make a purchase (up to $199). To continue enjoying the service, you’ll need to pay a recurring monthly subscription fee. 

Con #2. Ineffective Financial Services

Several people have speculated that UWE’s financial services are ineffective. According to complaints, UWE’s techniques are rarely effective, and in many cases harm consumers’ credit scores.

Major United Wealth Education Controversy

This company has been involved in a number of controversies. The most notable one is when it was still considered to be Financial Education Service (FES), and then shut down for bilking More Than $213 Million from Consumers

See the details below:

Financial Education Services shut down by FTC

Source:; Is United Wealth Education A Pyramid Scheme

The FTC took legal action against FES and its owners, as well as a number of related companies, for running a scam company that deceived consumers into paying for “worthless” credit repair services. 

The FTC’s complaint alleged that the company targets consumers with bad credit scores and lures them to join financial education services that will improve their credit scores.

According to their investigations, the FTC found that the company hard sells the “worthless” credit card repair service to consumers cajoling them to join a pyramid scheme that consists of recruiting others. 

Is United Wealth Education A Pyramid Scheme

FES violates the FTC Acts, the Credit Repair Organizations Act, and the Telemarketing Sales Rule. 

In summary, FTC alleged that FES:

  • Charged consumers upfront for credit repair
  • Operated a pyramid scheme
  • Deceived consumers about credit repair
  • Sold ineffective rent payment products

Frequently Asked Questions

How Many Services Does United Wealth Education Offer?

United Wealth Education offer the following service:

  • My Healthcare2GO
  • My Care Plan
  • Secure Card
  • Smart Credit
  • Merchant services
  • Ultrascore
  • Rent Reporting

Does United Wealth Education Give Bonuses for Recruitment?

Yes, United Wealth Education gives bonuses for recruitment.

Can You Lose Money As  A United Wealth Education Agent?

You can lose money as an agent if you fail to keep recruiting members. Generally speaking, around  72.5% and 99.9% of all MLM representatives lose money as well.

Final Thoughts

So, is United Wealth Education a pyramid scheme? In my opinion, no, but it skirts dangerously close to being one. However, if you’re sure of your marketing prowess and looking for a way to make a few bucks on the side, the company might be worth checking out. 

Just keep in mind that the average annual revenue of a UWE agent in the first year is only $4,963 – so don’t expect to get rich quick by working for this company. Taking on a minimum wage job would be better than working for this company if you’re desperate for cash. 


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Our Editor-in-Cheif works as a strategist at a Fortune 500 financial institution. He brings depth into our content with 10+ years of experience in managing businesses and evaluating deals. He loves the combination of boring business concepts and interesting pop culture snippets. This site is run by a team from major financial hubs in New York, Hong Kong, and London. Find out more about us.

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