Scam library
Pay-first loan scams
A supposed lender guarantees a loan, then demands money before releasing funds that never arrive.
What it looks like
Fictional example: Your $5,000 loan is approved regardless of credit. Send a $250 insurance deposit to release it.
Fictional example: Final step for your loan: pay the activation charge at example.com/loan-release. Funding is guaranteed.
How it works
A fake lender promises financing and then adds processing, insurance, or release charges. After payment, another fee appears or the lender disappears. Real lending can involve disclosed fees, but paying a fee does not guarantee approval.
Warning signs
- Approval is guaranteed without assessing your application.
- Unexpected fees appear after the loan is supposedly approved.
- Payment must go to a personal account or crypto wallet.
- The lender cannot be verified with your financial regulator.
If you got one of these
- Check the lender with your state financial regulator.
- Get the full loan terms and fees in writing.
- Do not pay a stranger to unlock guaranteed credit.
- Ignore unexpected approval texts for loans you never requested.
If you already paid or shared something
- Ask your bank or payment provider to stop or recover the payment.
- Tell your bank if you shared account access; address exposed identity information at identitytheft.gov.
- Keep the offer and payment records and report at reportfraud.ftc.gov.
Who gets targeted
People seeking emergency funds, debt consolidation, or credit after financial setbacks.