Watch Out! Scammers Are About
Fake loan companies are out and about, trying to steal your personal details. Here’s how you can spot them and keep your finances secure.
In this article, we'll cover:
Recently, there have been reports of fraudulent companies and con artists pretending to offer people loans to obtain their personal information. Furthermore, these criminals frequently charge an ‘advance fee’ for their services which too many individuals are unfortunately drawn in by.
These criminals often create websites similar to recognised firms. They are unfortunately part of the deception used to persuade victims their offers are genuine.
As a result, we thought we’d help you identify a fraudulent loan provider should you see one:
Never disclose your bank card information
No reputable loan provider will ask for your bank card information straight away – or ask for an advance fee. Granted, if accepted for a loan, they will ask for details so funds can be deposited into your account, but you’ll never be asked for bank details before the loan has been approved.
Don’t accept a call out of the blue
It is extremely unlikely that a lender will contact you through a telephone call or text without you making the initial application yourself. Some criminals make a living just by obtaining contact details and dialling individuals randomly. Unfortunately, this tactic sometimes pays off for them.
Consider your research
Although criminals frequently create websites to advertise their fraudulent loan companies, it’s worth conducting research to identify more information. For example, using Money Saving Expert or Review Centre can give you a good insight as to whether the company is legitimate or not.
Representative Example: Borrowing £7,500 over 60 months, repaying £167.57 per month, total repayable £10,054.20.
Total cost of credit £2,554.20.
Interest rate 12.9% (variable).
The lenders on our panel offer loans for 12-120 months, with rates from 4.4% APR to 49.9% APR.
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