Personal loan ads: Legit or scam?
in Banking, Insurance & Loans ·
Lisa Rogers said:Man, this sounds terrible!
I know it’s probably awkward to talk about, but would you mind walking us through how this actually works? A friend of mine is currently in the middle of negotiations with a broker, and the guy handed her some paperwork from a bank—it all looks legitimate on the surface, but I can't help feeling there's a catch somewhere.
The broker asked for a full breakdown of her debts and which banks she uses, then used that info to pick out a lender where she could qualify for a loan. They landed on Chase. Apparently, the loan comes bundled with mandatory insurance (likely life insurance, though I didn't dig into the specifics). On paper, it seems fine, but it makes zero sense to me. Why would a bank approve her through a middleman when they’d reject her instantly if she walked right into a branch asking for the exact same thing?
It’s frustrating that there isn't more transparency regarding this stuff.
What I’m really trying to wrap my head around is how he could potentially scam her. I mean, at the end of the day, the bank should be depositing the funds directly into her account since the form only lists her details, right?
The whole situation just feels shady.
you should definitely share all the details
how big is the loan
what's the monthly payment and how many years is the term
what's the point of the life insurance?
does that mean part of the cash goes toward the actual loan amount she gets in hand, while the rest covers the life insurance portion?
what did they tell her when she went down to the Chase branch in person to ask for that same loan?