TL;DR: On March 19, 2026, Scamwatch warned of fraudulent personal loan providers that use fake websites, social media ads and direct contact. Some impersonate real credit licence holders and quote ABN and licence details from ASIC. After “approval” they ask for ID, bank and myGov details, then an upfront fee they promise to refund. The alert gives no statistics.
What happened
The Scamwatch alert says after you apply online, the scammer contacts you by email or social media and sends a loan contract. They ask for photo ID, payslips, bank statements and bank and myGov login details.
They then demand an upfront fee described as “payment protection” insurance or “loan establishment” fees. It is not deducted from the loan; you must pay it in full before funds are released. They promise a refund after three months, which never comes.
Why it works
People searching for a loan are often under financial pressure, and a licence number on the page looks like proof. The documents requested also set up identity theft, not only the fee.
People experiencing financial hardship may be especially vulnerable.
Background: our explainers on advance fee fraud and how to report identity theft in Australia by state. See also Scamwatch: Fake Amazon and YouTube Recruiter Job Texts and ASIC Cancels Licence of Firm Over Fake Macquarie Bond Sale.
What Scamwatch advises
- Confirm the provider is licensed by searching ASIC’s professional registers, and call the organisation on a number you find yourself.
- Check ASIC’s investor alert list on Moneysmart, and before sending money confirm the account name matches the intended recipient.
- Do not rush decisions about money or personal details.
- If you have sent money or information, contact your bank, change passwords, watch your accounts, call IDCARE on 1800 595 160 and report to Scamwatch.
If you have already sent money
Contact your bank immediately, report the scam to Scamwatch and through ReportCyber, and call IDCARE on 1800 595 160 if your identity may be at risk. Our guides on the Scamwatch and IDCARE recovery process, Australian bank impersonation scams and how to reverse a wire transfer scam explain the steps, and what to do after a scam, wherever you live covers the first 24 hours. Scammers often start with details taken from past leaks, so run our free digital footprint check to see what of yours is already exposed.
Frequently Asked Questions
How does the personal loan scam work?
Scammers approve a loan, collect ID and login details, then demand an upfront fee called payment protection insurance or loan establishment fees, promising a refund that never comes.
Can a scammer use a real licence number?
Yes. Some impersonate real credit licence holders and quote ABN and licence details from ASIC.
How do I check a lender?
Search ASIC’s professional registers, call the organisation on a number you find yourself and check the investor alert list on Moneysmart.
What if I already shared my details?
Contact your bank, change passwords, monitor accounts, call IDCARE on 1800 595 160 and report to Scamwatch.
Sources
Related Reading
- Scamwatch: Fake Amazon and YouTube Recruiter Job Texts
- ASIC Cancels Licence of Firm Over Fake Macquarie Bond Sale
- FTC Halts Credit Repair Scheme Tied to Nearly $200 Million
- Australia Scam News: October 2026 Roundup and Warnings
- Average Loss per Victim by Scam Type (2025)
- What to do after a scam, wherever you live