What is a Loan scam?
Scammers claim to be licensed moneylenders and offers loan services to random users, often through SMSs or WhatsApp messages. Interested parties are instructed to transfer money as a servicing fee before the loan can be disbursed. After making the transfer, victims find that the scammers are no longer contactable.
As part of these scams, the scammers may ask for personal information such as NRIC, Singpass details and bank account numbers. When handed over, the information is used to harass or threaten victims for payment.
How do I spot the signs?
Scammers may try reaching out to you via the following methods:
– Advertisements claiming to provide instant, fuss-free loan approvals through social media, SMS, cold calls or messaging apps
– Fake business websites might have been created to convince you that they are legitimate
– Requests for fees to be transferred to them before they are able to process your loan application, pressurise you into making quick decisions e.g. special rates for today only, promotion expiring etc.
Sample of loan scam SMS
How do I stay safe?
Check with the Bank if you are not sure or if you receive calls or messages from someone claiming to be a bank staff or an agent for the Bank. Seek financial help only from legitimate financial institutions registered with the Registry of Moneylenders at https://rom.mlaw.gov.sg/information-for-borrowers/list-of-licensed-moneylenders-in-singapore/
Block and report the number on the platform that you receive the message
Never disclose personal particulars, banking and credit card details to anyone, especially over unsolicited phone calls.
Learn to avoid becoming a victim by taking the anti-scam quiz by the National Crime Prevention Council