CHARLOTTE, N.C.,None — Times got so tough for Shayvonia Badger that she moved back home with her mother. Later, becoming more desperate, she went online looking for a payday loan.
She saw an ad for Casa Loan Services of Miami, Fla.
Badger talked to a company representative, who told her she qualified for a $7,500 loan and could get it quickly. "I would have the money the next day," Badger said.
The representative told Badger she had to wire $1,200 as collateral to the lender in Canada.
After she sent the money, Casa Loan called back saying before it could give her the loan, she would have to send $500 more for Canadian taxes.
"That's when I realized, no, it's not. It's a scam," she said.
She said the company promised to refund her money but never did. Now, when she calls their number she gets a recording.
The Better Business Bureau calls this a classic advance fee loan scam.
The BBB said Casa Loans has an F-rating and uses a Miami address only to make the consumers think it is based in the United States when in fact it is in Canada.
"It's a scam," said BBB representative Tom Bartholomy. "There is no legitimate lending company out there that's going to charge you an advance fee. Sending a money order to Canada to get your loan just doesn't happen."
Badger now says be careful. "Don't trust everything that pops up on the Internet."
She now realizes she is not getting her $1,200 back, an expensive lesson learned the hard way.