SCAM LIBRARY · MONEY & PAYMENT
The predatory loan-app trap
Scammers pose as loan companies and use urgency and easy approval to trick you into paying upfront fees or sharing personal information.
Documented by the FTC & FBI IC3 · reviewed 2026-07-07
How it works
You receive an unsolicited call, text, or email offering a quick loan with little to no credit check. The caller creates pressure by saying the offer expires soon or that you're pre-approved and just need to act now. They may ask you to pay a small 'processing fee' upfront or share personal details to 'verify' your eligibility.
What it can look like
You get a call saying you've been selected for a personal loan with guaranteed approval and low interest. The caller pressures you to pay a $300 upfront fee 'to unlock' the funds, which will reportedly be deposited within hours. Once you pay, the funds never arrive and the caller stops responding.
Red flags
- Guaranteed approval with no credit check required
- Pressure to act immediately or the offer disappears
- Request for upfront payment (fee, deposit, or insurance) before any money is lent
- Unsolicited contact from an unknown lender
- Vague details about the lender's name, address, or how the loan actually works
What to do
- Hang up and call your bank or a licensed lender directly using a number you find yourself—never use contact information from the unsolicited message
- Do not pay any upfront fees or share personal information with the caller
- Report the scam at reportfraud.ftc.gov so authorities can protect others