I Want to Take a Loan: Where to Go for Help

Who Is a Credit Broker

Intermediaries between borrowers and financial institutions are often called credit brokers. Usually, they are simply consultants who can compare loan conditions in different financial organizations, help collect necessary documents, and submit applications to banks and microfinance institutions.

However, the activities of credit brokers are not regulated by specific laws, which means there is a high risk of encountering fraudsters.

These intermediaries often promise that with their help, you are guaranteed to get a loan. Such assurances can be very tempting, especially when you keep receiving rejection after rejection from banks. But the chances that they will actually deliver on their promises are close to zero — while the risks are extremely high.

Let’s look at how credit brokers lure desperate borrowers and what dangers await you if you decide to seek help from such “assistants.”

“We’ll Improve Your Credit History”

Trying to fix your credit history through intermediaries will at best lead to a waste of money. At worst, your personal data may end up in the hands of dishonest people who could use it in fraudulent schemes.

You can only quickly correct your credit history in one case — if it contains a technical error. But you can demand to correct inaccuracies yourself. To do this, you need to file a request with the bank or microfinance institution that sent the incorrect data to the credit bureau, or directly with the credit bureau itself.

Do not delay payments on your current debts. Try taking out small loans or installments — for example, for a smartphone or household appliances — where banks and microfinance organizations have less strict requirements, and carefully follow your payment schedule. Gradually, your credit history will improve.

“We Guarantee Loans for People with Overdue Debts”

Some intermediaries claim they have “connections” in a bank and that someone there will definitely approve your loan. They ask you to come to a specific branch and speak to a certain employee. Your loan application is supposedly already approved — but before the visit, you need to pay 3–5% of the loan amount for their “services.” Or they might tell you to buy life and health insurance so that in case of illness or death, the insurer will repay your debt to the bank.

When you arrive at the bank, it almost always turns out that there is no such “friendly employee,” no one has heard about your loan application, and the insurance you purchased is fake.

In reality, most banks and microfinance institutions use automated scoring systems to analyze loan applications. These systems assess a person’s data and calculate the risk of default. Borrowers with poor credit histories are automatically denied, and no bank manager can override that decision.

“We Know a Place That Lends Money to Everyone”

Some companies promise to tell you where to get a loan or cash advance that will be approved for absolutely everyone. But only illegal lenders give out money without any checks.

If you dare to deal with them, protecting your rights will be extremely difficult. Unlike banks and microfinance institutions, their operations are not supervised by a regulator, and their contracts often hide dangerous surprises. Interest rates can be unlimited, and if you fail to repay on time, you may face threats, blackmail, or even violence.

The main thing to remember: always read the contract carefully before signing anything, and only borrow money from legitimate companies. Otherwise, you risk dealing with real criminals.