Boiler Room Definition

A boiler room is a place or operation usually a call center where high pressure salespeople call lists of potential investors sucker lists to peddle speculative sometimes fraudulent. A room equipped with telephones used for making high pressure usually fraudulent sales pitches. In business the term boiler room refers to an outbound call center selling questionable investments by telephone it usually refers to a room where salespeople work using unfair dishonest sales tactics sometimes selling penny stocks private placements or committing outright stock fraud the use of falsified and bolstered information along with verified company released information is.