Better Business Bureau
FOR IMMEDIATE RELEASE
Investigates Questionable Loan Company
doesn't exist at Fayetteville address it is using
a loan in exchange for an up-front fee wired to Canada
June 4, 2015 - Little Rock, AR - The BBB serving Arkansas is warning consumers about
a company offering what appear to be personal loans with one
stipulation - the customer must pay an up-front fee in order to
receive the loan. This type of loan is referred to as an
Advanced Fee Loan and is illegal in Arkansas.
obtained copies of documents faxed to consumers that claim Bergenfield
Financial Trust is located at 4058 N College Ave, Ste 204
Fayetteville, AR 72703. According to Flake & Kelley
Commercial, no such company leases space at that
address. No business license has been issued nor
is the company registered with the Arkansas Secretary of
State. Mail sent to the business has been returned by the
complaint details, consumers are given instructions to wire a
"collateral fee" to secure the loan, via a
person-to-person transfer to Canada. This fee is usually paid
by making several monthly payments. A company document
indicates that funds will be released within 1 business day from
the time the loan agreement is executed and the collateral payment
has been received. However, according to customers, they have
not received the promised funds. When calling to inquire
about the status of their loan, Bergenfield Financial Trust
tells customers that additional money needs to be wired to Canada,
for various reasons. BBB's experience shows that this
type of business does not issue a refund, nor do consumers receive
The BBB reminds loan seekers to keep the following
tips in mind:
the reputation of any lender with the BBB and your state
agency that regulates financial institutions
prior to entering into a transaction with them.
lenders 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.
wary of giving financial information to a company you are
unfamiliar with, via phone, email or other
wire money to someone you don't know.
You have little recourse if there is a problem with the
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.
believe you have been the victim of an advance fee loan scam, you
are advised to contact:
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Recently an unknown person contacted an area merchant by email requesting to set up services the merchant provides. The person requested a phone number to communicate
but declined to speak on the phone, preferring to handle things by text message. The person gave the merchant a credit card number to pay for the services and overpaid
by $1500.00, but told the merchant he would have to forward the $1500.00 to another person to cover some transportation costs. This raised red flags with the merchant
and fortunately he did not complete any transactions. The phone number used by the person had a North Carolina area code (980). This seems to be a new twist to various
credit card fraud schemes seen in the past. Be very wary of unknown persons with odd requests. Do not accept overpayments, especially when accompanied by a request to
forward the balance to a third party. This is a huge red flag something is amiss. If you have any questions or concerns about the legitimacy of a transaction or payment,
contact the Ft. Smith Police Dept. for assistance.
Fraud schemes like this should normally be reported to the FBI at http://www.ic3.gov.
Ft. Smith residents have recently reported being targeted by the IRS phone scam described below. Be very wary of unsolicited phone calls from anyone demanding
money. Always vet the source of the phone call and if you have any doubts at all, call the Ft. Smith Police Dept. for assistance.
WASHINGTON — As the 2014 filing season nears an end, the Internal Revenue Service today issued another strong warning for consumers to guard against sophisticated
and aggressive phone scams targeting taxpayers, including recent immigrants, as reported incidents of this crime continue to rise nationwide. These scams won’t
likely end with the filing season so the IRS urges everyone to remain on guard.
The IRS will always send taxpayers a written notification of any tax due via the U.S. mail. The IRS never asks for credit card, debit card or prepaid card information
over the telephone. For more information or to report a scam, go to www.irs.gov and type "scam" in the search box.
People have reported a particularly aggressive phone scam in the last several months. Immigrants are frequently targeted. Potential victims are threatened with
deportation, arrest, having their utilities shut off, or having their driver’s licenses revoked. Callers are frequently insulting or hostile - apparently to scare
their potential victims.
Potential victims may be told they are entitled to big refunds, or that they owe money that must be paid immediately to the IRS. When unsuccessful the first time,
sometimes phone scammers call back trying a new strategy.
• Scammers use fake names and IRS badge numbers. They generally use common names and surnames to identify themselves.
• Scammers may be able to recite the last four digits of a victim’s Social Security number.
• Scammers spoof the IRS toll-free number on caller ID to make it appear that it’s the IRS calling.
• Scammers sometimes send bogus IRS emails to some victims to support their bogus calls.
• Victims hear background noise of other calls being conducted to mimic a call site.
• After threatening victims with jail time or driver’s license revocation, scammers hang up and others soon call back pretending to be from the local police or DMV, and the caller ID supports their claim.
If you get a phone call from someone claiming to be from the IRS, here’s what you should do:
• If you know you owe taxes or you think you might owe taxes, call the IRS at 1.800.829.1040. The IRS employees at that line can help you with a payment issue,
if there really is such an issue.
• If you know you don’t owe taxes or have no reason to think that you owe any taxes (for example, you’ve never received a bill or the caller made some bogus threats
as described above), then call and report the incident to the Treasury Inspector General for Tax Administration at 1.800.366.4484.
• You can file a complaint using the FTC Complaint Assistant; choose “Other”
and then “Imposter Scams.” If the complaint involves someone impersonating the IRS, include the words “IRS Telephone Scam” in the notes.
Taxpayers should be aware that there are other unrelated scams (such as a lottery sweepstakes) and solicitations (such as debt relief) that fraudulently claim
to be from the IRS.
The IRS encourages taxpayers to be vigilant against phone and email scams that use the IRS as a lure. The IRS does not initiate contact with taxpayers by email
to request personal or financial information. This includes any type of electronic communication, such as text messages and social media channels. The IRS also
does not ask for PINs, passwords or similar confidential access information for credit card, bank or other financial accounts. Recipients should not open any
attachments or click on any links contained in the message. Instead, forward the e-mail to firstname.lastname@example.org.
More information on how to report phishing scams involving the IRS is available on the genuine IRS website, IRS.gov.
You can reblog the IRS tax scam alert via Tumblr.