How to Find Out if Installment Loans Are a Scam or Not

Learn if the Installment Loans Online for Bad Credit Are Fake

Nowadays, you never know when you would be signing a document just to get scammed out of your money. There are so many fake companies and websites today that it is hard to know which one to trust. You don’t want to lose money or get in more debt just because you didn’t know any better. We don’t want to let you lose anything just because of a lack of information.

This is why we have a compiled a list of tell-tale signs that will help you learn if the loan installment loans that you are looking at are a scam or not.

  •     Money Before the Loan

One of the biggest warning signs that you should look out for when you are getting installment loans no credit check is if they ask you for things such as processing fees or a fee for the application before they give you the actual loan. Almost all lenders will never do that, because they will just add up the total costs once they give you the loan.

A scammer will want money just for you to be able to apply and to pay them before the loan gets to you. If you find yourself talking to a lender who wants money upfront before you get anything, you better walk out because they are frauds.

 

  •     Questionable Interest Rates

Some people might feel like the interest rates are high because of their credit scores, however that is not always the case. Look at the loan amount and the interest rate before you agree to the lender. You should use a calculator and use your credit score to see if the interest rate is actually fair. If you noticed that there is a high interest rate, then there is a high chance you are dealing with a scammer.

Always make sure the interest rate is fair when compared to your credit score to know if the lender is actually legitimate.

 

  •     Fake Companies

Some websites or people will pretend that they work for, affiliated with, or even ARE the large and well known financing company. They might seem like the real deal at first, but you better do your research first before jumping into anything.

Take a look at their website and look at their terms and do heavy research regarding the company and what their real websites and contact numbers are. You can easily get fooled into giving your bank account and other personal information to a total stranger!

 

  •     They Don’t Look at Your Credit History

There are many lenders that specialize in installment loans online for bad credit, but that doesn’t mean that they won’t ask you what your credit history. Moreover, they will be particularly interested in your payment history.

If the lender specializes in bad credit loans, he will want to see some recent payment history to see if you have been making up for past mistakes. That will help them know if the borrower will be trustworthy enough.

However, you will want to be careful around “lenders” that don’t seem to ask you about your credit history or payment history at all. That is one of the most important things that lenders will ask you about, otherwise they could lose money by lending money to the wrong person.

In fact, fake lenders target people who are considered as risky borrowers, because they can easily charge you with penalties such as fees for when you pay late or charge you a very high interest rate (as mentioned earlier).

 

  •     They Don’t Have Any Proof of Being Registered

An incredibly HUGE warning sign that you want to look out for is if the lender is registered in the state or not. It is basically required that all lenders should be registered whenever they do work in whatever state they are working in.

If the lender that you are talking to seems to be lacking in proof or you visit the Federal Trade Commission and find out that they aren’t registered, then it’s time to get away from them. A state attorney general should be able to tell you whether the lender is registered or not and you can also check the lender’s website to see if they have been registered.

 

  •     Strange Advertising

Any real lenders will not force their loans upon you. They will do normal forms of advertising, such as television commercials, billboards, or online marketing techniques. However, if you get a call from a lender offering you a loan or get a knock on your front door, it’s best to say no right away.

Real lenders will know that they have to take a look at their borrowers before giving them a loan, so directly offering people loans might be a waste of time. However, scammers often use that method to avoid getting caught and to reel in their bait.

 

If you want to find out even more information about how to spot scammers, PushButtonFor.org has tons of helpful information to help keep you from getting scammed. There are loads of reliable articles that you can read on their blog and main website.

Additionally, they can help you with helpful guide and information regarding installment loans and help you get started on your loan! You can easily make an inquiry by using their contact information on their website to get a quick reply to find out if you qualify for installment loans!