Ive been approved for a 10,000 loan from them but im wondering if anyone has any experience with them. They seem like a legit company but I have to put 1,000 down as collateral in order to get the loan and im worried about getting scammed.
Did you ever find out anything? I was approved for the same thing and I was worried.
I just found this on BBB Website and I wanted to know your experience…
BBB issues Reliability Reports on all businesses, whether or not they are BBB accredited. If a business is a BBB Accredited Business, it is stated in this report BBB Definition:
report – A summary of activity reflected in a company’s BBB file. Includes basic business background, BBB Accreditation information, and BBB complaint activity over the previous three years. Also reports may include any known government actions, advertising issues or other information that results from activity conducted by the BBB.
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Name: Freedom Exchange Lending Group
Phone: (888) 281-5439
Address: 680 N Lake Drive Ste 210
Chicago, IL 60611
Website: Www.freedomexchangelendinggroup.com
File Open Date: September 2008
TOB Classification: Advance Fee Loans
BBB Accreditation: This company is not a BBB Accredited business.
The BBB develops a full report BBB Definition:
report – A summary of activity reflected in a company’s BBB file. Includes basic business background, BBB Accreditation information, and BBB complaint activity over the previous three years. Also reports may include any known government actions, advertising issues or other information that results from activity conducted by the BBB.
on a firm based on inquiry or complaint activity. This company first came to our attention in September 2008. We are attempting to develop more information on the company. At the present time we do not have enough information to issue a full report BBB Definition:
report – A summary of activity reflected in a company’s BBB file. Includes basic business background, BBB Accreditation information, and BBB complaint activity over the previous three years. Also reports may include any known government actions, advertising issues or other information that results from activity conducted by the BBB.
. The BBB suggests you read and understand company promotional materials and contracts and check company references and licensing, where applicable.
Customer Experience
The BBB would like to alert consumers that this entity is an advance fee lender and is requesting advance fees for loans- an activity that is both illegal as well as fraudulent in nature, with the intent of stealing money from a consumer in the form of advance payments for a non-existent loan. Consumers allege that they have been asked to send upfront fees for loans to Freedom Exchange Lending Group
The BBB would like to alert consumers that per the Federal Trade Commission and the Illinois Attorney General, it is against the law for any lender to ask consumers for advance payments on loans.
Common signs of advance fee fraud:
- lender asks for premium, insurance, or collateral payments, frequently saying that this is due to consumer having low credit score
- lender asks for the payment to be wired via Western Union or Money Gram to locations in Canada
- lender asks for additional payments, saying that loan is risky because of consumer’s financial history or private borrower’s request
If you have been victimized by this entity, please contact the IC3 -the Internet Crime Complaint Center- at www.ic3.gov, as well as Phonebusters -the Canadian Anti-Fraud Center- at www.phonebusters.com
Licensing
This company is in an industry that may require licensing, bonding or registration in order to lawfully do business. The BBB encourages you to check with the appropriate agency to be certain any requirements are currently being met.
Industry Tips
Advance Fee Loans
Per the Federal Trade Commission and the Illinois Attorney General, it is illegal for a company to charge advance fees for a loan before the loan is made. Such "fees" include but are not limited to insurance fees, up-front fees, processing fees, collateral fees, etc.
The FTC advises that a legitimate lender will never guarantee or promise a loan before you apply for one, especially if you have a poor credit history or no credit record at all. These two signals can immediately indicate the illegitimacy of a given company – promises of loan approval prior to receiving a consumer’s application and charging advance fees for the loan.
How to recognize an Advance Fee Loan Scam:
Many illegitimate loan company advertisements are found in the classified sections of local and national newspapers, flyers circulated in neighborhoods, radio advertisements, shopping centers, on the Internet, and elsewhere. The ads frequently feature "900" numbers which result in charges on your phone bill, or toll-free "800" numbers. Such companies also frequently use delivery methods other than the US Postal Service in order to avoid being detected and prosecuted by postal authorities.
The Illinois Attorney General states that nearly all of the illegitimate loan businesses establish PO boxes in the United States, but many are actually located in Canada and request that consumers wire money to locations in Canada prior to receiving the alleged loan.
Many consumers report BBB Definition:
report – A summary of activity reflected in a company’s BBB file. Includes basic business background, BBB Accreditation information, and BBB complaint activity over the previous three years. Also reports may include any known government actions, advertising issues or other information that results from activity conducted by the BBB.
responding to ads that promise loans, even to consumers with poor credit, only to have the company request up-front fees ranging from $100 to several thousand dollars. The consumer might receive very official looking documents, but once he or she wires the advance fees or provides their bank account number to receive an alleged money transfer from the lender, the consumer receives nothing. Upon contacting the company, consumers are then given excuses or the run around, get hung up on, or find that the company’s phones have been disconnected.
How to Protect Yourself:
The FCC and the Attorney General advise that unless you are familiar with the company and understand why transmitting certain types of information may be necessary, never give your credit card, bank account numbers or social security number over the phone, vie email, or by other means.
Keep in mind that it is against the law for a company to ask you to pay – or accept payment – for the company’s services until you receive your loan, especially when someone who solicits you suggests that they can get or arrange that loan for you. That is a violation of the Telemarketing Sales Rule.
When applying for a real estate loan, it is common practice for lenders to charge for a credit report BBB Definition:
report – A summary of activity reflected in a company’s BBB file. Includes basic business background, BBB Accreditation information, and BBB complaint activity over the previous three years. Also reports may include any known government actions, advertising issues or other information that results from activity conducted by the BBB.
or appraisal fee, though a legitimate lender will not ask you to pay for processing your application.
If you believe that you have been a victim of an advance-fee loan scam, you are advised to contact your state Attorney General, file a complaint with the FTC, and contact your local BBB. If your transaction involved wiring or otherwise sending money to Canada or outside of the United States, please contact Phone Busters, a Canadian organization working in a joint effort with the FBI and US officials. Phone Busters can be reached at toll-free 1-888-495-8504 or info@phonebusters.com
As a matter of policy, BBB does not endorse any product, service or business.
BBB Reliability Reports are provided solely to assist you in exercising your own best judgment. Information in this BBB Reliability Report is believed reliable, but not guaranteed as to accuracy.
BBB Reliability Reports generally cover a three-year reporting period. BBB Reliability Reports are subject to change at any time.
If you choose to do business with this business, please let the business know that you contacted BBB for a BBB Reliability Report BBB Definition:
Report – A summary of activity reflected in a company’s BBB file. Includes basic business background, BBB Accreditation information, and BBB complaint activity over the previous three years. Also reports may include any known government actions, advertising issues or other information that results from activity conducted by the BBB.
