Personal loan scammers are getting smarter—fake pamphlets are the new trap, here's how to stay safe

Mint

4 days ago

In a shocking case of yet another loan scam, a 56-year-old man from Delhi employed a new trick in the fraud playbook by posing as a loan agent and deceiving people through fake pamphlets.
Praveen Kumar was arrested on August 2, 2025, in northwest Delhi's Shastri Nagar, after luring unsuspecting victims with the promise of easy personal loans, as reported by The Times of India.
One of the victims ended up losing ₹ 10,500. Investigators revealed that Kumar had opened a fake bank account using a forged Aadhaar card under the name "Ramesh Aggarwal" to facilitate the collection of payments.
He was eventually tracked down through technical surveillance. Police recovered the forged documents, pamphlets, and his phone. The investigation is still ongoing, as authorities continue to search for other victims and potential accomplices.
Think about it, an ordinary ad, a couple of texts, or a pamphlet, and suddenly someone is giving away cash for a loan that never existed. The target demographic is often people under financial stress. And once you've fallen for the bait, the fraudster ditches you with your hard‑earned money.
What this means is you can take steps before desperation cuts in: Don't trust high-return or zero-check loan ads: Ensure that you never fall for lucrative loan advertisements. Advertisements that offer smooth loans at lower interest rates in a seamless fashion are some signs that need to be carefully analysed. Never fall for zero-check high-return loans. Never share OTP, PAN, Aadhaar, or bank details: OTPs, PAN, Aadhaar, along other bank details are all personal information. This data should never be shared with anyone. Sharing such data can result in serious financial losses. Verify lender credentials: Before applying for any particular personal loan or credit card, be cautious and verify the credentials of the lending institution. This can be done by checking past reviews, RBI registration, past recovery practices, along the performance of the customer support team. Watch for fake identities or flyers: Fraudsters often use forged identities and distribute fake pamphlets or flyers that mimic legitimate financial institutions. Hence, always cross-check any printed material with the official website or customer care of the lender. Use the cybercrime reporting portal: If you suspect fraud or have already fallen victim, promptly report the matter on the official National Cyber Crime Reporting Portal. Keep your digital literacy sharp: With scams growing more sophisticated, it's crucial to stay updated and informed about common digital fraud tactics. Be cautious when clicking on loan ads, downloading attachments, or sharing information on unknown websites.
A phishing call or ad can cost you months or years of struggle. Awareness and skepticism are your best shields.
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