It does seem tempting.
It's an offer for a $500 loan with no questions asked at a time most banks aren't loaning.
The offer comes in a call, e-mail or a letter.
It's a credit card with a line of credit you can use for whatever purpose and you don't have to fill out a lot of credit information to get it.
But Patricia Armstrong with the U.S. Postal Inspector's office says there's a big downside.
"They are charging a fee upfront of $200 for a credit card that would give you a line of credit that's usually $500, not a lot," Armstrong says.
Armstrong says she's seen an increase in these offers in the Valley and most of them just play on the hard times people are having.
Basically it's a losing situation; This isn't free money. You have to pay it back and likely with a big interest rate. And you're being charged a fee of almost half of the amount you'll get.
Armstrong says, "you should never have to pay anyone an upfront advanced fee for a loan."
Sometimes the mail offers are followed by a phone call and a lot of high pressure to act now.
That's a huge warning sign to stay away.
Go to the
U.S. Postal Inspector's site to see the latest postal scams and warnings.
