5 tips to avoid online payday loan scams – your checklist
Ever since the economy has crumbled down, it has been hard for people to find a stable job to support their needs. So when there are instances that you need that extra cash before your next pay day, payday loans are readily available. You can conveniently find a payday lender online. However, due to the high demand for payday loans, scams are sprouting up as well.
Everyone is concerned on how to avoid these scams. You need not worry though, as there are some things you will be able to do to take precautions.
Beware of unsolicited emails from posing lenders. These people will attempt to give you great offers for some quick fix cash. In return, they will need some personal information. This is poses a great deal of danger. Being a victim if identity theft is highly possible. When you need a payday loan, seek them out and not the other way around.
When checking out the online lender’s website look for security seals marked somewhere in the webpage. Make sure the security seals link DIRECTLY to an active certification of validation for that domain and that the domain address matches the one on the ACTUAL certification. Some common security seals are VeriSign, TRUSTARC, Thawte or MacAfee Verify.
Never pay any amount upfront. No reputable lender would ask you to pay any fee so they can lend you money. These people know you need money. So asking you to pay a certain fee is incomprehensible. These lenders will just get your money and flee away. You will end up in a bigger dilemma.
Take caution when dealing with Electronic Funds Transfer (EFT). EFT directly goes to your savings account. As soon as you open money, people you are dealing with that process to send you money can at the same time request for an amount. In so doing, these lenders can actually send you money through EFT or request money through EFT. If in any case they do the latter, all of your money will go straight to them. Do not consent to EFT. You can opt to use trustworthy and safe online payment methods such as PayPal or Western Union.
If you are very cautious, you can also check the lending company with the Better Bureau Business (BBB). BBB collects and accounts for information on business reliability, makes the public aware to frauds against consumers and businesses, give information on ethical business practices, and act as mutually trusted mediators between consumers and businesses to resolve disputes. If in any case you find yourself interacting with any suspicious online lender, you can do your share and report it to them immediately.
Payday loans aim to help people with financial needs. So do not hesitate if you badly need one. Just take precautions and you will be okay.