Iraq Money?

Question

I live in the UK and my boyfriend's best mate has just bought quite alot of the Iraq currency for about £150 and apprantly their is this theory that once the war calms down and the pound is getting more equal to the iraq currency with the amount of it they have now they could be sitting on about £350,000.. now my boyfriend is really taken in by this and so are alot of other people who all seem to be cashing in on it.. wat do all you think? has anyone done this themselves and thinks that they're seriously going to make money off it? or is it just a scam that's going to leave my boyfriend without any profit on what he puts into it? please help coz he is driving me mad asking me wether i think he should invest in this or not! thanks!

Answer 1

Absolute mandatory reading for anyone thinking about investing in Iraqi Dinars (You are in for a very nasty surprise if you think you can make money doing this):

http://www.xe.com/iqd.php

I don't know anyone that has actually made money doing this. In addition, here is a challenge for you: Find a bank or currency exchange that actually buys Iraqi Dinars when you are ready to sell. Chances are that you won't find one.
And even if you do, how much does the Dinar have to appreciate before you break even? Compare their buying rate with the rate you would be paying.

Answer 2

This has happened over the years: buying alot of cheap currency from a war-torn country in the hopes that one day it will rise and you will make tons of cash. This is very very rarely the case. The best thing you can do is try to pass the currency off on someone else and sell it for as much as possible. This is practically a scam. If you ever invest in currency, you do it in industrialized countries (US, UK, EU, etc).