Exactly and that's why most of the mining companies turn into a scam or loss. I am not blaming the model of mining companies but it is something that is out of the understanding level of the average investor. Even saw some advertisements about reselling the cloud mining power/mining contract. Thus if someone is willing to invest in such contracts then I would recommend doing a deep research before taking any such kind of decision.
Yes, it is true. My first start investing in cloud mining, they initially pay and after a month tipped into a scam. now I have no more trust with the site of cloud mining.