Beware of predatory loan scams

To be blunt, I need some cash. Because of a massive mortgage payment in CHF, my credit score is shot and banks won't touch me. I spotted an ad offering loans up to $16667 based on a notary agreement—no employer verification, no payroll deductions, none of that nonsense. I want to know if anyone here has actually used a service like this and what the reality is. Or, if you have a solid recommendation, just slide into my DMs...

Has anyone actually dealt with Progressive before? They claim to be the first licensed broker in America on their site. Supposedly they’ve got all these contracts lined up with major banks and insurance providers.
What's the deal here?

Rebecca Green7, did you end up pulling the trigger on that loan? If so, anyone you’d actually recommend?

Lately, there’s been a sudden surge of rather peculiar offers popping up everywhere:

"FAST and easy access to $8.25—no need for notarization, Red Cross background checks, or blacklists. Just call or send a text."

Where did this pop up?

Morgan Evans83 said:Where did this pop up?

Just Google the description.

Ashley White said:Just Google the description.

Results:
HTTP 503 Service Unavailable

It’s getting impossible to find an honest lender these days. I posted on a forum looking for a $3,000 loan, even offering my condo as collateral, and this one guy reaches out with a contract stating that if I don't pay back the $3,000 plus interest by the deadline, he becomes the legal owner of the property. Look, I get it—he wants some form of security—but who in their right mind would sign away a home worth over $300,000 just to cover a three-grand debt? I wouldn't mind if he placed a lien on it, but this doesn't exactly scream "good intentions."

What exactly does he have to list as an asset? And then you’re actually surprised when nobody will even give you a loan...???

I have to admit, signing paperwork stating the entire apartment belongs to him feels a bit nerve-wracking. If I get hit by a car or something and end up falling behind on payments for even a few days, I could lose everything. It’s not that I don't intend to pay it back, but there is this lingering, uncomfortable feeling that I am essentially at the mercy of the lender's goodwill.

Bradley Wilson5 said:What exactly does he have to list as an asset? And then you’re actually surprised when nobody will even give you a loan...???

I guess it's totally normal for you to think he’d drop $3,000 on an apartment? If things ever got that desperate, I’d be heading straight to a payday loan shop in a small town in Ohio—interest-free, obviously—just hoping my luck turns around enough to maybe flip some property down the road...

Trading ownership of a $100k apartment for a mere $3k loan seems like an incredibly lopsided guarantee. I guess it’s highly likely the lender—basically just some predatory shark—would "vanish" once they have the cash, leaving you with no way to settle the debt.
Soon enough, that same "lender" would probably resurface claiming they own the place, turning you into a tenant who’s stuck paying them overpriced rent.

Borrowing money definitely comes with its own set of risks, but you're paying a massive premium in interest for that privilege. Of course, he wants to hedge his bets and protect himself, but he can't just offload all that liability onto me. For him, it’s a perfect win-win scenario—he either walks away with a hefty interest payout or he ends up with the house itself.

Morgan Evans83 said:Borrowing money definitely comes with its own set of risks, but you're paying a massive premium in interest for that privilege. Of course, he wants to hedge his bets and protect himself, but he can't just offload all that liability onto me. For him, it’s a perfect win-win scenario—he either walks away with a hefty interest payout or he ends up with the house itself.

And how exactly is he supposed to take on any of that risk himself? 🤷

Charles Ramos7 said:And how exactly is he supposed to take on any of that risk himself? 🤷

Think about the interest rates, the notary fees, and the fact that the car's value plummets by X% the moment you drive it off the lot; then there's the grace period for payments—if everything goes according to plan, the contract is cleared, but if someone misses their mark, the lender simply shows up, repossesses the vehicle, and sells it off. 🤷

Ashley White said:Think about the interest rates, the notary fees, and the fact that the car's value plummets by X% the moment you drive it off the lot; then there's the grace period for payments—if everything goes according to plan, the contract is cleared, but if someone misses their mark, the lender simply shows up, repossesses the vehicle, and sells it off. 🤷

But what happens if you sell the car, wreck it, or it breaks down before then?

Morgan Evans83 said:Rebecca Green7, did you end up pulling the trigger on that loan? If so, anyone you’d actually recommend?

No. Every single one of those ads I've seen so far has been a total scam. The moment you ask for specifics or try to vet them, they just ghost you. They only want your social security number and some upfront "security deposit" or fee immediately. Avoid them at all costs.
Someone slid into my DMs recently offering private loans, but after that initial message, they went completely silent...🤷

Rebecca Green7 said:No. Every single one of those ads I've seen so far has been a total scam. The moment you ask for specifics or try to vet them, they just ghost you. They only want your social security number and some upfront "security deposit" or fee immediately. Avoid them at all costs.
Someone slid into my DMs recently offering private loans, but after that initial message, they went completely silent...🤷

Yes, my experiences have been much the same. I had someone reach out via DM about a private loan once, too, but as you can see above, the terms are always a bit... questionable.

Charles Ramos7 said:But what happens if you sell the car, wreck it, or it breaks down before then?

And what if the lender suffers a stroke in the meantime?

This whole situation reminds me of when I was trying to sell my car and ran into those "we buy any car" shady dealers.
Let's say the car is worth $5,000—just as an example—and I could easily sell it for $4,500 if I just waited a month, yet this "expert" has the audacity to offer me a measly $1,500.
I mean, if you actually possess the expertise to value a vehicle, why on earth would you settle for a tiny profit margin that nobody is going to pay you, instead of just letting me sell it for $4,500 and walking away with an extra $500 in my pocket?
It’s the exact same nonsense you see with loan sharks; they aren't interested in making a reasonable buck a month without lifting a finger, they just want to bleed you dry for astronomical amounts. It's pathetic.