FTC Issues Urgent Warning: Scam Robocalls About Fake Loan โขApplications โAre Surging
By Priyashah, World-Today-News.com -โ November 8, 2023
(Washington D.C.) – โThe Federal tradeโฃ Commissionโค (FTC)โ is โalerting โฃconsumers nationwide to โขa dramatic increase in illegal robocalls falsely offering loan applications. These scams are designed to stealโ your โmoney or personal information, and are becoming increasingly sophisticated, according to experts.
Reportsโ indicate individuals are โreceiving โข multiple calls โdaily – betweenโ five and twentyโค from different numbers – regarding โคloan applications they never โข submitted. โคScammers create โa sense โofโ urgency, claimingโ the “loan” isโ pending butโ requires furtherโ information to finalize. โ
Don’t Engage: The Goldenโ Rule
“According to the FTC, people all across the country are getting callsโ andโข calls and calls aboutโ their supposedโข loan application that they haven’t applied for,” explains โHerb weisbaum, a contributingโฃ editor wiht Consumers’ Checkbook. His advice is โblunt and crucial: hang up instantly.
And โcritically, never, ever pressโค any numbers prompted by the robocall, even ifโ offered as โขan option to be removed from theirโค call list.
“don’t press the โขnumber to unsubscribe,” Weisbaum warns. “That only confirms to the dishonest company that your number is active and they will likely call you more โ often.”
How theโ scam Works โ& What’s at Risk
scammers leverage urgency and a pretense of helpfulness to keep you on the line. One recent example, received by a WTOP staffer, stated: โ”The (loan) approval window is closing soonโฆโค I’d like to help you get it โขwrapped up now while everything is still inโข motion.”
Onceโ engaged, scammers have two primary โgoals:
Financial Theft: They will attempt toโ obtain your creditโ card โnumber or other financialโ details.
Identity โคTheft: They will steal โyour personal information for fraudulent โpurposes.
“They’re trained, and theyโค know the โlonger they keep you on the โขphone line, the moreโข likelyโข you are to do what they want,” weisbaum emphasizes. Heโ cautions against providing any information,โ even if youโฃ simply want to endโ the call. “You don’t have to give them informationโฃ to get off the phone. Just hang up!”
Understanding Robocalls: What’s Legal and What’sโ Not
A robocall is defined โคas aโข call delivering a pre-recorded message, โoften used for sales โขpitches or โto solicit personal data. According to the FTC, โคrobocalls are illegalโค unless โthe company has your explicit written permission to contact you โขfor salesโฃ purposes.
Legal robocalls are permitted โคin specific circumstances:
Surveys: Callsโค conducting legitimate surveys.
Informational/Charitable: Calls providing purelyโค informational updates or โขsoliciting charitable โขdonations.
Political Campaigns: Calls related to political โคcampaigns (without a sales pitch).
Debt Collection: Calls from legitimate debtโข collectors if โyou actually owe the debt.(You have โthe right toโ demand they stop calling.)
“If you haven’t given the company permissionโ to โcall you,โ and โฃthe robocall is not purelyโ informationalโฆ that call is illegal,โ and it’s probably a scam,” Weisbaum clarifies.
The Doโข Not Call Registry: A Limited โฃDefense
while registering for the โฃNational โคDo Not Call โคRegistry โ(https://www.donotcall.gov/) can โฃreduce calls from legitimate businesses,โค it โwon’t stop scammers. โ
“The scammers don’t care about that,” โคWeisbaumโ states. “It’s significant to be on the Do Not โCall โขlist, but it won’t prevent โขillegal robocalls from bad actors.”
Key Takeaway: Protect yourself โฃby being vigilant and remembering: **if youโ recieve โฃanโ unsolicited call about a loan