| Click on our Advertisement |
|
|
Fraudulent loan brokers and lenders who offer credit and credit terms easily are known for the ¨advance-fee¨ loan scam which guarantee you a loan or any type of credit only if you pay before you apply.
Recognizing an Advance-Fee Loan Scam
These false loans appear in advertisements in local and national dailies, on the Internet, radio, local cable stations, and in flyers distributed in residential areas, malls and military bases. They only give ¨900¨ or toll free numbers ¨800¨ which do not have their addresses. What´s worse is that media houses or the Internet does not guarantee authenticity of these companies. In addition, these companies post ads via courier service in order to avoid being tracked.
You will be guaranteed a loan if you´re willing to pay an advance fee, which starts from $100 dollars going up to thousands of dollars. Loans are offered to both individuals and small businesses. Beware of these con artists or bid your money goodbye.
Don´t get confused between legitimate pre-approved credit offer and a legitimate pre-qualified offer from mortgage brokers, banks, savings and loans, and credit unions. The former requires a verbal or written acceptance while a pre-qualified offer suggests that you´re selected to apply. However, it is essential to go through the normal application process, where you could get turned down.
Protecting Yourself from Loan Scam
Never get lured by a Tele marketer who guarantees to arrange a loan or other credit for you, in exchange for a fee. It is illegal for any lender to charge payment prior to getting your loan or credit.
Some points to beware of before you respond to such misleading ads:
A ¨guarantee¨ for a loan or credit prior to applying, is a sure sign that the lender is a fraud especially if he guarantees one if you have bad credit, no credit, or are bankrupt, as it should be more difficult to get you a loan. An advance fee is allowed only when applying for a real estate loan, which lenders charge for a credit report or appraisal and never charge you for processing your application. Never disclose your credit card, social security number and bank account details over the telephone or Internet unless you are absolutely sure of the company and if it is necessary.
Always ask for the offer to be confirmed in writing.
If You have been a cheated in an advance-fee loan scam, inform your local consumer protection agency, state Attorney General or local Better Business Bureau (BBB)about the fraudulent company.
Finding Low-Cost Help for Credit Problems
When you´re sinking in debt and unable to resolve your credit problem on your own, seek help from your creditors. Get counseling from nonprofit organizations which are located in every state. They educated people on debt problems, budgeting and how to use credit wisely. They negotiate directly with your creditors for a repayment schedule that you can afford and one that is acceptable to them and charge minimal or no fees for this service.
Low cost counseling programs are also offered by universities, military bases, credit unions, and housing authorities and can be contacted through a telephone directory.
|
