Short answer: a text, call or social media message about a loan you did not apply for is a red flag. The FTC says fake loan texts often claim you are "preapproved" for a large amount, then ask for your Social Security or bank account number to "finish" the application. Do not reply or click the links; delete the text and report it (FTC).
Why these messages are everywhere
In fraud reports to the FTC for last year, more people said a scammer first contacted them by text than any other way; phone calls were also common, and the highest reported losses came from scams that started on social media (FTC).
Red flags by channel
| Channel | What the scam looks like |
|---|---|
| Text | "You are preapproved" for a loan you never asked for; a request for your Social Security or bank number; pressure such as "This is the last step" or "Just reply YES to confirm" (FTC) |
| Phone call | A caller who says you qualify but must first pay a fee, buy a gift card or send money by wire or payment app. Asking for an upfront fee is the mark of an advance fee loan scam (FTC) |
| Social media | A "lender" who messages you first, moves the chat to a private app, or asks for a fee or account login before any paperwork |
| Email or website | A name close to a real company, no physical address, no license number, or a request to pay by gift card or crypto |
What a real lending process looks like
- You start the request yourself, on a site or at a branch you chose.
- A real lender does not ask you to pay a fee before you get the loan in order to "guarantee" it.
- A lender that makes you an offer shows you the APR, the finance charge and the total of payments before you sign (Regulation Z).
- Lenders and brokers can be checked in state license records and in NMLS Consumer Access.
Our own model is explained in is a loan matching service safe: if you send a request through any matching service, lenders may contact you about it, so check who is calling before you share anything.
What to do with a suspicious message
- Do not reply and do not click links. Delete the text (FTC).
- Forward spam texts to 7726 (SPAM) or use the report junk option on your phone (FTC).
- Report the scam at ReportFraud.ftc.gov.
- If you already gave out your Social Security or bank number, go to IdentityTheft.gov for a recovery plan, and call your bank.
- If you already paid, see the FTC steps for getting money back and read our advance fee loan scam guide.
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Disclosure: Modern Lending Solutions is not a lender, loan broker or agent for any lender or loan broker, and does not make credit decisions. Any compensation we receive is paid by participating lenders, only for advertising services. This guide is general information, not financial or legal advice.
Sources
- FTC: Can you spot a fake loan text scam? (January 20, 2026)
- FTC: How are scammers trying to reach you? (May 21, 2026)
- FTC: What To Know About Advance-Fee Loans
- FTC: ReportFraud.ftc.gov
- FTC: IdentityTheft.gov
- FTC: What To Do if You Were Scammed
- eCFR: Regulation Z, 12 CFR 1026.18 Content of disclosures (closed-end credit)
- NMLS Consumer Access (state license lookup)