Introduction

Personal loan scams can be devastating, especially when you’re in urgent need of funds. Scammers prey on vulnerable individuals, leaving them in worse financial situations. At O1ne Mortgage, we prioritize your financial safety and want to help you recognize the warning signs of personal loan scams. If you need reliable mortgage services, call us at 213-732-3074.

1. The Lender Guarantees You’ll Be Approved

Legitimate lenders will always verify your identity and ability to repay a loan. If a lender guarantees approval without any checks, it’s a red flag. Preapproval and prequalification are common, but they are not absolute guarantees.

2. The Lender Pressures You to Act Immediately

Scammers often create a sense of urgency to make you act without thinking. They might threaten to withdraw the offer or promise a low interest rate only if you apply immediately. Always take your time to evaluate the offer and consider other options.

3. The Lender Demands an Upfront Payment

Advance-fee scams involve asking for an upfront payment in exchange for loan approval. Legitimate lenders may charge application or origination fees, but these are usually deducted from the loan amount. Be cautious if asked for an upfront fee, especially if other red flags are present.

4. The Lender Asks for a Lot of Personal Information

Scammers may use fake loan applications to collect personal information for identity theft. While legitimate lenders need some personal details, be wary of requests for unusual information like your mother’s maiden name.

5. The Lender Calls or Texts You First

Real lenders may send letters or emails, but unsolicited calls or texts offering loans are suspicious. Scammers often purchase marketing lists to target individuals who have previously searched for loans.

6. The Lender Isn’t Registered in Your State

Legitimate lenders must be registered in the states where they operate. Check the lender’s website for a list of licenses or verify their registration with your state’s attorney general’s office or bank regulator.

7. The Lender Doesn’t Have a Physical Address

Even online-only lenders should have a physical address. Scammers avoid listing addresses to remain anonymous. Verify the address matches the one on the state license.

8. The Lender’s Website Isn’t Secure

A secure website is essential for protecting your personal information. Look for “https” in the URL and avoid sites that your browser warns are unsecure.

What to Do if You’ve Been Scammed

If you fall victim to a scam, act quickly:

• Try reversing the transaction if you paid with a credit card, bank transfer, or P2P app.
• Report the scam to the FTC at ReportFraud.ftc.gov.
• Report identity theft at IdentityTheft.gov and add fraud alerts to your credit reports.
• Secure your accounts by changing passwords.

Get Matched With Legitimate Personal Loans

There are many legitimate personal loan companies. Comparing options from multiple lenders can help you find the best terms. At O1ne Mortgage, we can assist you in finding reliable mortgage services. Call us at 213-732-3074 for more information.