Complaint Review: First Union Financial Group

I applied for an online loan with First Union Financial Group on Thursday, 9/14 and was approved for a $10,000 loan @ 7% for 3 years. A woman by the name of Lorraine Brown contacted me almost immediately, and explained the "terms and conditions" of my loan over the phone. She said to fax her the contract, signed and dated, along with my banking info, a payck stub and my proof of residency. She advised they they would need an upfront "insurance" payment of $1041.00 to be Western Union'ed to the company before the loan could be deposited.

Later that evening feeling uneasy, I called them back and this time spoke to a Desmond. I asked him to explain to me this upfront payment, which he did in a VERY roundabout way. He had a heavy accent, making it difficult to even understand him.

Desmond explained that I would receive my money into my account in 4-8 hours. If I could get the money to them that evening, I'd have my 10,000 in my account that night.

Desperate for the loan, I wired the money. It went not to First Union, but per their request to a Jason Mathias, located in Manhattan, NY. He is supposedly their agent who handles all of the payments on the company's behalf.

I faxed the Western Union receipt to them that nite, also per their request. A couple hours later they called to say that "Mathias" had been misspelled and could I call Western Union back to correct it, which I did immediately. In hindsight, very suspicious.

The next day, Saturday, I had HELL trying to contact these people about my loan. Finally around midday, I talk to Desmond who tells me to give them an additional $329.00 for a so called allocation fee! What?! I refuse, telling them I had already given them what they asked for, where is my money! Desmond repeatedly tells me, "don't worry, we're working on it, we'll give you a call back, we'll try to waive the fee."

Thruout the entire day, I'm the one calling these people to try and get a status on my loan. If I did get an answer, everyone who could answer my questions were either in a meeting or not in the office.

Also, their phone system is set up so that you have to state your name before you can leave a msg. I knew they were screening my calls. NO ONE ever answered me after I made it clear how upset I was. Since Saturday, I've left no less than 20 messages with these people with not a single callback.

In the meantime, I'm out over a thousand dollars with nothing to show for it. Today, Monday, Lorraine actually did call me to leave a message; Unfortunately, I missed her call but called her RIGHT back. Of course, I had to leave a message. I haven't been able to get in contact with her period.

This is a downright scam, folks. I knew deep down in my heart that it was, but I went in thinking that I'd be dealt an exception. Beware in dealing with ANY company who asks for money upfront. If that money was so important, they could have easily taken it out of the loan. I sincerely hope that no one else falls for their sleaziness.

Lisa
Houston, Texas
U.S.A.