We have all seen them. Personal and business loans for 4%. No security needed. Send your details to a Gmail or Yahoo email address. But have you noticed that it’s never from a recognized company advertising the loans?
I guess the two biggest reasons are: the ad is free and there must be enough desperate borrowers out there to make the effort of stealing money from them all worthwhile.
People need to step back for a second and look at the details and put themselves in the place of the lender. Would you lend your personal money to a business that has no security for 4% a year in interest? Of course you wouldn’t. So why do you think someone is going to lend you the money that you wouldn’t lend yourself at 4% interest?
Again, ask yourself if the bank is charging 3-6% on personal and business loans how can a private company offer them at 4%? The answer is they can’t! If you are lucky and it’s not a complete fraud, you will find yourself borrowing at a much higher rate than advertised. They will reel you in with something you can’t qualify for and sell you something at a much higher interest rate and generally with fees attached. You see this kind of selling on the side of the road where you see mortgages at 2.99%. Yes they can get you the mortgage at 2.99% but you need to qualify for it, which you don’t. Because if you did, then you would already be at the bank.
There was one of many fradulent loan companies the other day offering 80% financing for companies with at least 60% security for the loan. All you had to do was forward the idea to the lender. If the lender liked the deal, then the lender would direct you to open a bank account in a bank of the lender’s choosing. At which point you would deposit 20% of the loan into the account. Once the 20% was in the account then you would be wired the 80% loan. The 20% you deposited was to pay their fee and 2 years interest on the loan. The amortization of the loan was 30 years at a fixed rate of 5%.
If there is anyone that received a 30 year amortized loan with a fixed rate for the 30 years, please contact the writer and provide the name of the institution. I would be able to provide them with a lot of business. But alas, you and I will be waiting a long time for this offer to be legitimate.
There are people on LinkedIn ready to help you with every alternative financing need imaginable. They will charge a fee for their services. Some will charge the borrower and some will be paid a commission by the lender. However, the reputable ones will not charge you a fee to look for the financing, they will only charge you if they are successful in obtaining the financing for your business.
Lenders do not ask for you to deposit in a bank account of their choosing as a condition for receiving the loan.
One last point. I believe it is up to administrators of the site to start removing these posts. We have all been in the financing business for a long time and know that no legitimate loan company has ever been involved with private financings at bank rates.
Stay away from fraudulent loan companies, trust only those who can disclose realistic market rates. Call Money Consultants for your confidental and free consultation. No deposit required!