9 WAYS TO PREVENT FRAUD WHILE APPLYING FOR AN ONLINE LOAN
People started doing online shopping, UPI payments, and QR code payments after the COVID pandemic. People started making payments online, and all of a sudden, online transactions increased. As spending increased, various online sites began to offer lucrative cash-back offers and discounts.
Loans with minimal documentation have become more accessible to meet people's needs.
It became easier to take out loans, but at the same time, loan scams started happening in our country.
Today I will discuss some points to protect yourself from online loan fraud.
1. Always sign out before leaving financial sites.
Every time you log in to your account dashboard, you are in a virtual bank. If someone accesses your system, he can also act as if he is the customer, so always sign out when not using the financial dashboard.
2. EXIT FROM THE MAIL
When you forget your password, an OTP is sent to your email address. If a fraudster accesses your mail, he may also log in to your dashboard, so logging out of the mail is also required. If something unusual occurs, you should log out of all devices. This will help you have better security.
3. ALERT FOR A POTENTIAL SCAM
If you want to protect yourself from online loan and credit card scams, you must ask many questions, take your time, and then verify their authenticity through the RBI website or the RBI customer service number.
Always download loan apps from legal sources.
3. NEVER SEND MONEY WITHOUT FIRST VERIFYING THE RECEIVER'S IDENTITY.
When you receive a call regarding a loan payment or any payment, you must be cautious before making any payment. You must request that they communicate with you via their official email address, which must end with their company name. Whenever you get a call for payment, after knowing everything and before doing the payment process, call customer care at your bank and ask them to verify the transaction. If you are unsure, just get up and do the process physically. It is highly recommended that you go to the branch and make the payment. This is to ensure that you are dealing with the company in question and not a third party, who may be trying to deceive you. Additionally, by going to the bank in person, you can ensure that the payment is being made to the correct account and that it is being processed securely.
For the first half of 2022, the FTC reported that credit card fraud was the most common type of identity theft reported in the country, generating 230,937 complaints, out of a total of 603,591 identity theft incidents reported nationwide for the six months.
4. Always verify the website's security.
Always check website security. It must start with HTTPS, which is generally known as a secure website. Check the name of the domain before going forward with any transaction. HTTPS stands for "Hypertext Transfer Protocol Secure," and it is the secure version of HTTP. It works by encrypting all the data sent to and from the website server, making it much harder for attackers to intercept and steal your data. Checking the domain name is important to make sure that the website is genuine and not a scam.
5. BE AWARE OF CALLS, MESSAGES, AND EMAILS.
You will receive several calls, messages, and emails in connection with your loan repayment, but only pay them once you verify them. Always contact your bank's customer service before making a payment; they may be able to assist you. Scammers often pose as loan collectors, sending messages or emails with false promises in exchange for payment. To ensure that you do not fall victim to such a scam, always verify the source of the message or email and contact your bank's customer service to confirm that the request is legitimate before making a payment.
6. Update mobile and computer security
Always update your mobile and Windows systems for better security. because they work on the latest security update.
7. DO NOT ACT IN FRONT OF AN UNKNOWN PERSON.
If any person tries to convince you to pay the loan with a lucrative offer, then do not go further; it might be a trap to steal your money.
8. NEVER SHARE IDENTITY DOCUMENTS WITHOUT FIRST VERIFYING THEM.
Now that criminal minds are everywhere, they can use your identity in a lot of ways, so be cautious where you give your document, and you can write your purpose on the photocopy of your document. Identity theft is a real risk, as criminals can use stolen sensitive information to access bank accounts, take out loans, and even open new lines of credit. By being careful to only provide documents to trusted sources and writing the purpose of the photocopy on the copy itself, you can help to protect yourself from these threats. According to the FTC, approximately 9 million identities are stolen each year, although this number could be higher as many people do not report it.
9. READ THE WEBSITE'S PRIVACY POLICY.
If you are thinking of taking out a loan, always read the website's privacy policy before making your decision, as it might surprise you.
People are often taken advantage of when loan applications are made online, so be careful and try to protect yourself from becoming one of these victims. For most people, it is safer to take out a loan from a bank or NBFC that is close by, as this will allow you to fully understand the terms and conditions of the loan. However, if you are knowledgeable about the online process and confident in your ability to understand the terms and conditions, then an online loan may be the better option for you.
0 Comments