It is during certain financial calamities in life that a
person tends to loose his confidence. At such moments he is
unstable both mentally and financially. The financial burdens
and worries of his life compel him to take hasty decisions.
These whimsical decisions may not prove to be beneficial for
him in the long run. One such case where a debt struck person
may face additional problems may be in the case of an Advance
Fee Loan Scam.
These scams often target consumers with credit problems or
consumers who have difficulty getting credit. In exchange for
an up-front fee, these companies guarantee that applicants
will get the credit they want, usually in the form of a credit
card or a personal loan.
The up-front fee may range from $100 to several hundred
dollars. Resist the temptation to follow up on advance-fee
loan guarantees. They may be illegal. Many legitimate
creditors offer extensions of credit. This can be in the form
of credit cards, loans and mortgages. The process may be
coordinated through telemarketing and may require an
application fee or appraisal fee in advance.
Creditors never guarantee in advance that you'll get the
loan. And no telemarketing person is allowed to give full
assurance to any client. Under the Federal Telemarketing
Sales Rule, a seller or telemarketer who guarantees or
represents a high likelihood of your getting a loan or some
other extension of credit may not ask for or receive payment
until you've received the loan.
The best cure for your sleepless nights and debt anxieties
is to bank on a debt consolidation firm. A debt consolidation
firm not only consolidates all your debts in a single payment
but also reduces your debts to a massive 40%-60%. It
eliminates all your late fees and taxes and re-ages your
account. It also restructures your repayment schemes in easy
monthly installments.