Scams & Alerts

FDIC reminds consumers to be aware of advance fee loan scams that prey on individuals who desperately need money quickly. The scam involves false promises to arrange for a loan in return for fees paid upfront by the applicant. Scam artists may design Websites with online loan applications or fraudulently use logos and letterhead of legitimate companies to make the offer look legitimate.
Applicants are guaranteed approval as soon as the required fees are paid upfront usually by way of wire transfer money to an individual overseas.
Warning signs of advance fee loans include:
Loan approval is "guaranteed." Lenders don't guarantee loans before analyzing the application.
The loan applicant is required to pay upfront fees. Loan fees are normally paid after the loan is approved.
The lender or loan processor is located outside of the United States.
Payment of fees is requested to be sent by retail wire transfers.
Victims should report crimes to the Internet Crime Complaint Center at http://www.ic3.gov/. More information about fraudulent advance loan fee scams can be found at http://www.ftc.gov/bcp/conline/pubs/tmarkg/loans.shtm.


SCAM Alert: FDN Distributors Co.
A company called FDN Distributors Co. is distributing a letter with a fraudulent cashier’s check for a large dollar amount to consumers. The checks distributed have all had the same check number: 059210. The checks are written to different individuals for different dollar amounts ranging from $196,000 to $280,000.
The routing and transit number on the checks is the legitimate routing and transit number for P&S Credit Union in Salt Lake City, Utah.
The credit union has been receiving calls from unknowing consumers from across the country trying to cash the fraudulent checks or asking questions about why they received a check. (So far, calls have been received from consumers in Wisconsin, Washington and Connecticut.)
The credit union is aware that its routing and transit number has fraudulently been obtained. So far, P&S Credit Union has not lost any money. There is concern that the letter may direct consumers to send money for a fee before they can cash the check. Or, that consumers may release the routing and transit number from their own account allowing a perpetrator access to their funds.
The precise scam is not understood at this time. The FBI and Secret Service have both been contacted and are researching where the checks are originating