Loanfinder UK Scam: How to avoid the scammers

 

Finding a loan can be a difficult and exhausting process, especially if you have a poor credit rating. Getting credit will always depend on many factors, such as your credit record, your income/outgoings and even your postcode. However, getting a loan can be made even more difficult by the number of scam loan companies which are being set up, taking advantage of the banking industry’s current reluctance to lend to people. They are being caught out by sham loan companies, who have no funds to offer and who simply set up websites to con people out of their money.

 

So who are these companies and how do they work? A typical fake loan scammer will target people who are struggling to find credit or who are already in debt. The fake loan company will place adverts in the papers, set up a scam website, or make illegal cold calls, offering ‘guaranteed loans.’

 

They then convince borrowers to pay an ‘set up fee,’ or ‘upfront fee’ which can be anything from £35 to £2,000, but the loan they have promised is never received by the customer. The customer is often persuaded to pay a second fee, to ‘unlock’ a loan that does not exist in the first place. This is often called a ‘loan completion’ advance. But the money promised to the customer is never received, and the customer is left even further out pocket. This results in numbers of people frustrated, dissatisfiedand and raising numerous loanfinder complaints.

 

To avoid this, we recommend using a trusted loan broker such as loan finder UK. A good broker, will search across many different lenders to find a suitable loan for you, for a fee. This can save you loads of time and money, and filter out those companies who are not legit. Loanfinder don’t charge up front fees, allowing you to have confidence in the service by giving you control over when you want to pay.

In the meantime, we have also put together a guide to show you how you can protect yourself from the fake loanfinder uk scam companies.

 

Most fake loan companies will charge an upfront fee for their ‘service.’ A trusted Loan broker, such as loanfinder will search first, charge later.

 

Be wary of cold callers ringing you up and offering you a loan. No reputable loan company or broker would ever do this, so always say no. It’s almost certainly a scam loan business. Always check any loan company name on the internet to see if they have ever been involved in any sort of scam.

 

Be wary of a guaranteed amount
The loan amount will always be determined by the lender, not a broker. Avoid any broker that says otherwise.

Legitimate lenders will nearly always base their decision on whether you'll be able to repay your loan. Always take care with loandfinder uk scam companies that claim to offer low cost loans to those who can't get credit elsewhere.

Legitimate loanfinder companies do not charge money up front so if you are asked for money upfront, processing, repayment fee or something similar you should be suspicious that this is a loanfinder scam.
 

Don’t pay a non-independent broker
A non-independent broker will only search for lenders who provide a commission, so you are very likely to get a loan that’s best for the broker, not for you.

 

Always give your correct contact details
Always make sure that a loan provider has your correct contact details. Otherwise you may pay for a service you never received.

 

If you respond to a loan scam, some loanfinder scams ask for further payments – giving a range of excuses from the first fee not arriving to admin charges for releasing the loan cash.

 

If you need a loan, make sure you shop around. Use a trusted loan provider or broker. A reputable loan provider or company will: