Consumer Alert: Payday loan, collection call scams - CBS 5 - KPHO

Consumer Alert: Payday loan, collection call scams

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Holiday consumers, be alert of a phone scam in Arizona.

Attorney General Tom Horne's office says many people have received collections calls from fake law firms or fake government agencies telling them they owe money to a payday loan company and threaten consumers with legal action. They frequently ask the consumer to give their bank account information to pay off the outstanding debt and may supply partial Social Security numbers or dates of birth to get sensitive information.

The attorney general's office released the following tips if you get a call.

  • Don't give out personal information over the phone.
  • If you have a payday loan and paid it in full, clarify with the original lender that your debt has been paid.
  • The Fair Debt Collection Practices Act prohibits collectors from using unfair, abusive or deceptive practices to collect debt
  • The Federal Trade Commission handles scam telephone calls.
  • To stop a collector from harassing you, make sure your number is on the No Call List.

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