The study examined the effects of Ponzi schemes on students of University of Port Harcourt. Five research questions were formulated to guide the study. Descriptive survey design was adopted for the study. The population of the study comprised 37,628 students of the University of Port Harcourt. The sample size is 396 obtained from applying Taro Yamene’s sample size selection technique. The instrument used for data collection was questionnaire titled Effects of Ponzi Schemes on students Questionnaire (EPSSQ). The reliability of the instrument was determined using test re-test method. Pearson Product Moment Correlation was used for analysis which gave a reliability coefficient of 0.81. Mean (x ̅) statistical tool was used to answer the research questions. At the end of the analysis, it was found that some University of Port Harcourt students who participated in Ponzi Schemes were so negatively affected that they could not only pay their accommodation and tuition fees promptly but also could not progress to next levels. Some became so depressed and took ill, while some others dropped out of school. Based on the findings, it was recommended among others that the government agencies such as the police, EFCC (Economic and Finance Crimes Commission) etc should be proactive; the policy of “no fee, no exam” initiated and implemented in University of Port Harcourt should be reviewed; guidance counselors should be made to counsel students periodically.