Customer Alert: Scammers Claiming to Express Advance America Target Maine People

Business provides strategies for avoiding pay day loan and business collection agencies frauds

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Nov 13, 2014, 05:50 ET

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SPARTANBURG, S.C., Nov. 13, 2014 /PRNewswire-USNewswire/ — Advance America, a provider that is national of loans as well as other monetary solutions, has become alert to a unique revolution of frauds focusing on customers in Maine. These scam designers, posing as Advance America representatives to collect cash from naive customers, have been in no method associated with the business. As a result of state laws, Advance America doesn’t presently provide payday advances to Maine residents.

Within the last couple of weeks, in specific, scammers have actually contacted Maine residents claiming they’ve been pre-approved for the loan,

After which asking them to get a prepaid debit card or cable cash as a “processing cost” or “good faith deposit. ” In other situations, scammers seek to gather on “unpaid” pay day loan financial obligation, usually threatening arrest or appropriate action or demanding individual economic information within the phone. Scammers went so far as sending residents fraudulent loan papers making use of the Advance America logo design.

“Scammers often utilize the trustworthiness of the best, respected company to con victims from their cash, ” stated Patrick O’Shaughnessy, president and CEO of Advance America. “Legitimate payday loan providers such as for instance Advance America are very controlled at both hawaii and federal degree and will not utilize the variety of fraudulent and unlawful techniques utilized by scam music artists. “

Advance America urges customers to determine the caution indications of financial fraud and follow these methods for avoiding loan that is payday commercial collection agency frauds. If people suspect being scammed, they ought to report it straight away to law that is local also to the financial institution that the scammer claims to express. If you have been contacted by some body claiming to express Advance America, please phone 888-310-4238.

Discover signs and symptoms of a scam

Federal law strictly regulates just how genuine bill enthusiasts and loan agents can perform business. The Fair that is federal Debt methods Act (FDCPA) particularly forbids loan companies from being abusive, unjust or misleading in attempting to gather a debt. Regulations especially states debt collectors cannot threaten customers with arrest or prison time when they do not spend their bill. If somebody claims you will definitely face unlawful prosecution them money, it’s almost certainly a scam unless you immediately wire.

Scammers could also claim which you have already been pre-approved for the loan, after which need you to buy prepaid debit card or cable cash as a “processing cost” or “good faith deposit. ” Others may actually be identification thieves off to ensure you get your individual or information that is financial.

How to prevent Scams:

As well as focusing on how loan providers and bill collectors can run, customers should additionally do something to protect on their own, including:

  • Never ever offer information that is personal as your Social Security number or banking account information online or higher the device without confirming that you will be working together with a genuine loan provider or bill collector. To confirm, phone the establishment straight straight right back using a understood number, for instance the quantity noted on your declaration or in the straight back of one’s credit/debit card.
  • Be dubious of any e-mail with urgent demands for individual information that is financial. If a message demands action that is immediate makes upsetting or exciting false statements, it really is most likely a scam.
  • Verify business licenses whenever trying to get a loan on line. Genuine loan providers will show state licenses on the sites to confirm that they’re full-service, certified lenders complying with state and laws that are federal.
  • Never ever wire cash or offer debit that is prepaid information up to a loan provider claiming you have got been pre-approved for the loan and must make a short re re re payment being a “show of great faith. ” Genuine loan providers usually do not offer approvals ahead of application and never need good faith deposits.
  • Keep anti-virus, anti-malware, and spam e-mail security computer pc pc software as much as date on your entire computing products.
  • Preserve an archive of all of the debt that is outstanding and consist of loan provider email address.
  • Frequently look at your bank, credit and debit card statements to make sure there are not any unauthorized deals. Likewise, always check your credit file (using Equifax, Experian, or TransUnion) every four months on a rotating foundation; credit history tend to be one of the primary places where indications of identification theft or fraudulence will show up.
  • If somebody draws near you claiming you borrowed from them a financial obligation, need they offer written evidence of your debt because the legislation calls for – particularly when it is for a charge a fee don’t recognize.