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Tips To Protect Yourself From Fraud While Taking an Online Loan

Online loan: In the past few years, the realm of online payments has expanded significantly. Many of us prefer to pay digitally at our neighborhood stores, malls, and markets because it enables us to shop for our favorite goods and receive amazing cashback. The digital revolution has also improved accessibility to the loan application process. From the comfort of their homes, individuals can apply for a personal loan with little to no documentation.

While this is great for many people, it has also led to the development of online scams in our country. Hence, here are some tips that’ll help you to stay safe from fraud online while taking a Personal Loan.

How to identify the signs of online fraud?

These are the items on the list that cybercriminals utilize to achieve their goal of tricking unsuspecting clients with alluring promotions and deals.

  • Fake calls, SMS, and Emails are very often used by these cybercriminals to prompt innocent customers to reveal their personal information like account number, PAN card details, passwords, etc.
  • Instead of focusing on relevant details like credit score, employment history, and income, these attackers primarily focus on the personal information of the customers.
  • Cybercriminals ask customers to pay advance payments in the name of loan processing fees or GST. However, a genuine lender charges such fees after the loan is granted to the customer.
  • They try to forge a trap by creating urgency among the customers using time thresholds against the deals offered.
  • They do not disclose any relevant information about themselves and their company’s identity.

However, as a customer, you must identify such internet banking fraud if you ever come across any of these conditions.

Read also:Bank of Baroda net banking fraud: What should you do?

Tips to safeguard yourself from fraud while taking an online loan:

1. Always sign out of websites before leaving

Every time you visit a loan website or log into online banking, make sure to sign out before you leave. Take care of your credit card information and maintain the privacy of your financial records. You can help prevent identity theft by keeping your financial documents safe and secure.

2. Always remain vigilant for potential scams

Having comprehensive knowledge about online loan and credit card scams is the best defense against them. To make sure a loan offer is legitimate, you should always check it twice and confirm the contact information provided.

To gain a sense of the user experience, find out more about the lender and read reviews of their offerings. Also, to find out if the lender is legitimate, you can also go to the RBI website. Please make sure you download the legitimate app from the official sources if you intend to apply for a loan through the app.

3. Never transfer funds without verifying the identity

As the title suggests, you should never transfer funds without verifying your identity. Banking authorities usually don’t ask you for a lot of confidential information on a call and hence if someone needs too many details, make sure you verify their identity. Make sure you transfer the funds using a secure private connection instead of using public WiFi.

Read Also: Why do certain investors not get the highest returns on their mutual fund investments? Know here

4. Make sure the app or website is safe

Using an unsecure website can lead to phishing attacks, and it can also give easy access to your personal information to the scammer. Using Public WiFi in places like Shopping Malls and Restaurants could also put your confidential data at risk because scammers can intercept through it and steal your card details. The card details include your PIN and private information, so you can easily lose money if that gets leaked.

5. Verify That The Website You’re Visiting Is Secure

When a website is secure, you’ll see that it uses HTTPS:// rather than just HTTP://. You can check this easily on any web browser on your laptop or mobile.

6. Be Wary Of Phishing Calls, Sms, And Emails:

Any phishing calls, texts, or emails you receive need to be reported to you. You can accomplish this by using identity verification applications, which display the caller’s details. Fraudulent phone numbers will typically show you who is calling and are flagged as spam. Make sure to notify the authorities if you come across any numbers similar to this one.

7. Update your computer and mobile security

To stay safe, make sure your laptop and phone are receiving operating system updates on a regular basis. These updates contain new security patches. Make sure to update any antivirus software that you may have installed as well.

8. Never share your sensitive personal information

As previously stated, financial authorities will not contact you by phone, email, or text message to obtain sensitive personal information about you. For this reason, you should avoid using these channels or any social media website to share your personal information with strangers.

Read also:10 Ways AI is Revolutionizing Banking and Finance

9. Don’t respond to calls asking for remote access to your computer

Talking with a stranger and giving him the remote access to your computer is the most dangerous thing you can do. These types of scammers usually say that there is a virus on your PC, and they want access to some software that can allow them to fix it. Once they have access to your computer, they’ll probably lock your computer or make your data inaccessible.

These scammers then ask you for some ransom, and if you don’t pay it, you lose your data and access to your personal computer.

10. In case the security of your bank details has been compromised

It happens to many people to lose their credit card or debit card; in such cases, you should get your card blocked right away. You can contact customer service representatives for assistance or complete the task directly from the bank account app.

Read Also: Different ways of financing business in India

11. Read the site’s privacy policies

Even though it can take a while to read, the privacy policy can tell you how the website secures the data and private information it gathers. If the privacy policy doesn’t satisfy you, look for a different lender to get a loan from.

12. Set strong passwords

You can easily keep your financial information secure by using a strong password. Make sure your password contains more than eight characters, including special characters, numbers, and both uppercase and lowercase letters.

Getting your financial information leaked can cause many problems, but you can easily stay safe from online fraud when you take the proper measures to protect yourself

Disclaimer: The article or blog or post (by whatever name) in this website is based on the writer’s personal views and interpretation of Act. The writer does not accept any liabilities for any loss or damage of any kind arising out of information and for any actions taken in reliance thereon.Also, and its members do not accept any liability, obligation or responsibility for author’s article and understanding of user.



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