Financial Safety

Loan fraud

Scammers will post a loan offer on social media with a very good interest rate. To apply for the loan, they will ask the victim to give them their online banking access details or payment card information, under the pretence that this is necessary for evaluating the victim’s creditworthiness or verifying their identity. Loan fraud is also often committed without access to online banking or card details, because the victims themselves transfer money to the scammers’  account. In this case, the scammers will ask the victim to make various payments in order to process the loan, for example, as a contract processing fee or loan insurance payment, or as a deposit for the loan. These transfers are most often made to a private individual’s overseas bank account, rather than to a business.

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