Online loan scams are becoming more common…and more convincing. Scammers often pose as legitimate lenders, targeting people who are applying for loans or looking to refinance. Knowing what these scams look like and how to avoid them can help protect your money and personal information.

The Scam

Online loan scams typically promise fast approvals, guaranteed rates, or “too good to be true” terms. Fraudsters may ask for upfront fees, request sensitive personal information, or pressure you to act quickly before you have time to verify their legitimacy. These scams often come through emails, text messages, or fake websites designed to look credible.

How to Protect Yourself

• Never pay upfront fees to receive a loan. Legitimate lenders do not require payment before funds are disbursed.
• Verify the source before sharing personal or financial information. Contact the lender directly using a trusted phone number or website.
• Watch for pressure tactics, including urgent demands or guarantees that sound unrealistic. Take time to research and ask questions.

Stay Safe with Trusted Lenders

Staying informed is one of the best ways to avoid online loan scams. If something doesn’t feel right, trust your instincts and pause before proceeding. When in doubt, work with a trusted financial institution and don’t hesitate to ask questions—protecting yourself is always worth the extra step.