116 3rd St SE
Cedar Rapids, Iowa 52401
From the Bureau: Receive a call about loan processing? It could be a scam
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First it was Jessica, now, it's Evelyn. If you have not received a text, email or call about the status of an alleged loan application, it is probably only a matter of time. BBB Scam Tracker has been inundated with reports of consumers being contacted about a loan that they did not apply for. The calls are disturbing and are, rightfully so, making folks very alarmed about potential identity theft.
These scammers are at it again, posing as representatives from loan processing companies to trick consumers into sharing personal information, initially using the name Jessica, now Evelyn from "Lending Union's west coast branch" (Lending Union is NOT a real company). This advanced fee loan phishing scam comes in the form of harassing texts, emails, phone calls and voicemails. The scammer indicates that they need to verify specifics, such as your income and account information, to finalize your loan application. While the message may sound convincing, it’s a ruse to steal your private information and money.
How the scam works
There is communication from someone claiming to be from a loan processing team. The caller says that they have been trying to make contact about a pending loan application and need to verify some final details to complete the approval. They provide a callback number and application ID to make the message seem legitimate. They emphasize urgency, requesting a call back before a specific deadline to finalize the loan.
BBB has received thousands of Scam Tracker reports about "Jessica" and "Evelyn" indicating that scammers are aggressively targeting consumers. People throughout the corridor report receiving multiple calls per day, often from different phone numbers but with nearly identical voicemail scripts. Realistically, there is no loan, and returning the call could lead to scammers collecting sensitive information, such as Social Security number, bank account details or other personally identifying data.
Tips to avoid loan processing phishing scams
- Verify the company’s legitimacy: If contacted about a loan application and have no recall submitting one, hang up and do research. Look up the company name and at www.bbb.org then contact them directly using verified contact information.
- Never share personal information with unsolicited callers: Scammers often ask for details like Social Security or account numbers. Always avoid sharing sensitive information over the phone unless you initiate the call and are certain of with whom you are speaking.
- Watch for red flags in voicemails: Be wary of messages with vague details, generic names or urgent demands for a callback. Scammers often use scripted messages to target as many people as possible.
- Avoid calling unknown numbers back: Resist the urge to call back. Returning calls to unknown or suspicious numbers could connect you to scammers. It also verifies that it is a working number resulting in more calls.
- Check for scam reports: Look up the phone number or details online. Many victims post about similar scams to warn others.
- Report suspicious activity: If you believe you’ve been contacted by a scammer, report the incident to BBB Scam Tracker at wwwBBB.org/scamtracker.
Stay vigilant and cautious to protect yourself from phishing scams like this one. If an offer seems too good to be true, it likely is!
Bobby Hansen is regional director for the Better Business Bureau Cedar Rapids office. Comments: (319) 365-1190; info@dm.bbb.org
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