The financial move that puts you deeper in debt

Shari needed a loan and did some internet searches and all at once she says   "I became bombarded by offers.  Several sounded great but they all required a prepaid insurance fee.  They said I could get a $10,000 loan if I'd send a fee ranging from $450 to $775."
 
Consumer experts say do not pay up-front to get a loan especially if the company advertises that your bad credit is no problem and they don't even intend to run a credit check.
 
Shari was already in a tight financial spot or she wouldn't be looking for a loan.  
 
Several state Attorneys General warn if you pay that sort of fee; count on losing the money and not getting the loan.
 
It's better to work with your bank, or credit union, if you need a loan.
 
And if you do fall victim to this type of come-on report it on FTC.gov.   Click here for the direct link to the Federal Trade Commission's complaint forms.
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