Personal Loan Scams – Don’t Be Too Desperate to Avoid Scammers!

Good morning everyone!

I am so eager to write down this post because it’s timely. Scammers / Fraudsters are here making a business out of our desperation to get approved for a personal loan fast.

We want fast loan approval here in the Philippines, right? And so they are here — they will promise us a fast loan approval without a credit check.

And they will tell us they are offering a much bigger amount of money than any lending institutions could afford.

How to avoid personal loan scams - fraudsters prey on desperate people

Stop right there!

Do not proceed and go back to your senses! Is the offer sounds too good to be true?

I am online for a decade, and scammers have a tactic in common for so many years — and they are still using that until now:

  • they offer something big
  • something easy
  • something that irresistible to a desperate person

So, if a loan offer sounds too good to be true — then think it could be a fraudster that grins behind your back — ready take to advantage of your innocence!

Personal loan scams seem to be an answer to our financial problem — fast!

We want fast cash and so they will present themselves as lending companies who can give that — without a credit check!

The quick cash loans phenomenon is here, desperate individuals are now checking online for any possible offer! These fraudsters will mix themselves with the legit companies out there — and they will make sure they will sign brighter!

Wake up kababayan!

Don’t be their next victim!

Resist that offer!

Call a friend.

I know someone can help you right now — do not always resort to loans! Especially quick cash loans online! If they are not a scam, they will take advantage on you by imposing an interest rate that is not reasonable anymore (30% and higher).

Legit lending companies are registered companies with a physical address

Even if they operate online — a physical location is a must. For example, if you are registered with SEC as a corporation, you will have a physical address.

Similarly, if you file a business permit, you should have a physical address…

So now, take a look at that lending company — can you trace its physical address or are they just a nomadic people on the internet?

One more thing, check the person who promotes it.

Is that person real?

That person might be using a dummy facebook account (with a professional look, so you’ll have that nice first impression).

Check if that person has other activities on Facebook, or just spent his entire life promoting that business!

A real person behind a facebook account does personal activities, as well… post pictures, etc.

Is the lender or agent seems urgent?

Is that person trying hurry you? Like saying the offer is very limited and someone could take it if you don’t decide right now?

They either ask you for two things in advance:

  • credit card information
  • upfront fee

That’s a big NO! Say no and go away and never look back again!

If you have a credit card and you give the info — they could hack it.

Otherwise, if that lender asks you to give an upfront fee to process your application, and ask you to give that money to a direct individual — then that’s a signal number 2!


What to do when you are in a financial crisis?

Be honest and call a friend. Do not always resort to loans!

Loans could further bury you to debt.

If that’s just a fancy stuff you want — save for it — do not hurry.

If you are an active SSS member and has a contribution of at least 36 months, you can apply for an SSS salary loan instead. It has the lowest interest rate of 10% per annum on a diminishing scheme. That is only 0.83% per month.

Recommended reading:

Can you be charged with estafa if you fail to pay a debt? Know your rights! Read it now.

If we can recommend an online lending company right now — it’s Tala Philippines.

Tala also disburses loan proceeds almost in real time even on holidays!

FYI: I am not affiliated with Tala, I am just a happy borrower.

But don’t expect too much — they may approve you for only 1,000 to 1,500 for your first application.

Help us spread the word and kindly share this to your dear friends!

I am also inviting you to join our Facebook group below!


Image source: (with text additions)

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Prime Aque is the back-end guy of Self-Help. He is a blogger and WordPress front-end designer. Importantly, he is a husband and a father of three wonderful kids. His firstborn are twin girls. He loves writing and sharing.

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