#164121 by TerranceBoyce
Wed May 01, 2013 2:55 am
http://www.thisismoney.co.uk/money/cardsloans/article-2317239/Wonga-raids-15-year-olds-bank-account-recover-debts-BBC-Watchdog.html
I believe there's a programme on BBC TV tonight about the problem at 8.00 pm under the title 'Watchdog'.
It's occurred to me that the many employment scams we have been seeing, give a scammer enough information to apply for payday loans in the victim's name.
It was difficult for me to comprehend how scammers could conjure up the necessary electronic payments but this is the easiest way and, under the cover of an employment scam, the fraudster easily gets enough information. You can then find yourself paying away your own money or, I believe it's possible for a loan to be transferred to another party, so the scammer can use another 'money mule', who believe he/she is performing a job, to pay the money away.
The whole payday loan business is so laxly operated and regulated it isn't a surprise that more people aren't affected, and you don't need to have divulged your own details to become a victim.
I saw the programme and also read an article and in it a major bank confirms that at least one major UK payday loan company
I can't think of any sane or useful reason why they should do this and it opens a barn door for fraudsters. That no one in the finance industry can see the risks in this makes it pointless to pass comment. I wish them good luck now it's been aired on TV.
I believe there's a programme on BBC TV tonight about the problem at 8.00 pm under the title 'Watchdog'.
It's occurred to me that the many employment scams we have been seeing, give a scammer enough information to apply for payday loans in the victim's name.
It was difficult for me to comprehend how scammers could conjure up the necessary electronic payments but this is the easiest way and, under the cover of an employment scam, the fraudster easily gets enough information. You can then find yourself paying away your own money or, I believe it's possible for a loan to be transferred to another party, so the scammer can use another 'money mule', who believe he/she is performing a job, to pay the money away.
The whole payday loan business is so laxly operated and regulated it isn't a surprise that more people aren't affected, and you don't need to have divulged your own details to become a victim.
I saw the programme and also read an article and in it a major bank confirms that at least one major UK payday loan company
...... allow[s] customers to receive their loan into a different account to the one they have designated to collect repayments from.
I can't think of any sane or useful reason why they should do this and it opens a barn door for fraudsters. That no one in the finance industry can see the risks in this makes it pointless to pass comment. I wish them good luck now it's been aired on TV.
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