Advance-fee fraud
The most common pattern is a demand for payment before funds are released — described as insurance, a processing charge or a good-faith deposit. Regulated lenders deduct permitted fees from the advance or add them to the balance; they do not ask you to send money first.
Approval guarantees
No licensed lender can promise approval before assessing an application, because assessing ability to repay is a regulatory obligation. Guaranteed-approval language is a reliable warning sign.
How to verify a lender
In the United States, check state licensing registries and the relevant federal and state regulators. In Canada, check the provincial consumer protection registry, and confirm whether the lender is federally regulated. Confirm the legal entity name, a physical address and written terms.
Protecting your information
Do not share banking credentials, full identification numbers or remote access to your device with an unverified party. If you have already sent money or data, contact your financial institution immediately and report it to the relevant consumer protection authority.