Complaint Review: First Star Credit Union - York Pennsylvania

I'm sorry to hear about your misfortune, but like you Kim, I almost became a victim... Let me tell you how. I have been searching high & low for a personal or debt consolidation loan, but unfortunately, I have very bad credit & no collateral. So last night, I stayed up until 1am researching "local" bad credit loan lenders who are supposedly in my area. I found several & jotted their names & phone numbers down, then I noticed a credit union offering loans to people like me, so of course, I felt a sigh of relief. Thus, I went on their website, firststarlendingservices.net, & read up on the services. The website was designed professionally. They even had the 'powered by yellowpages' logo, & 'Member of Bank Lenders Association'. So, automatically, I assumed they were legit. I didn't complete an online application, instead I wrote down the number (888)880-1790 to call back & get a free consultation & estimate, as stated on their website. I called today around 12:15pm, & spoke to a well- mannered woman by the name of Laurie James. She was very pleasant & professional as she took my application over the phone. We even joked about the economy & how everyone is looking for a quick way out. (How ironic) Well, after completing my application, she tells me to call her back in about 45 minutes to an hour to follow up on my application status. I asked if she had a direct extension, & she said no, just state your name, & i'll be routed to her. We then ended the call. I did as she told me & called her back at 1:47pm at (888) 880-1790. (When you call you have to state your name after pressing 1 & then you will be connected to an agent) When I got Laurie on the line, I asked her about the status of my application. She told me that she great news for me. She stated that I was approved for a secured loan of $8000 with a fixed annual interest rate of 7%, and monthly payments of $247.02, for 36 months. I was excited!! I felt as if the noose was taken off my neck & the shackles removed from my feet. But before I could express my enthusiasm, she hits me with a punch: In order for me to get the secure loan I would have to give a down payment of $988.08. I was floored! But no bells & whistles started going off yet because I thought I was dealing with a "credit union". When I told her that I didn't have that kind of money & offered to put my car up as collateral. She informed that the company no longer takes homes & cars as collateral because when they use to accept them, the customers would deceive the company by not disclosing that they had liens & such on the property or vehicle. Her explanation made a lot of sense, & she also sympathized with me by saying that she would still e-mail me the documents to look over, & hold the loan application until I am ready.  We ended the call once more. On my way to pick up my son from school, I was racking my brain trying to find where I'm going to find someone to lend me $1000. But then like an epiphany, it came to me that she didn't tell me what methods of payments are accepted for the security deposit, so I called her back at 3:14pm, & once more I stated my name & waited just a minute before Laurie picked up again. I asked her if she accepted credit cards as a method of payment for the security deposit. She said "NO". That is finally when the bells & whistles started blowing really loud. What company doesn't accept credit card as a method of payment for security deposit in this day & age?  I asked her if they do EFT ( Electronic Funds Transfers), & again she said "NO". She explained that they only do EFT once you have the loan, to collect the monthly payments. I asked her if she had a chance to send me the e-mail yet, & she said she hasn't gotten around to it yet, but she will send it today. I thanked her & we ended the call. Later on, I logged into my e-mail account & found the loan agreement. The documents looked like something I could of typed myself on Microsoft Word. Also, the name of the company changed from FirstStar Credit Union to Firststar Lending. Then, the address the company use is 3961 10th Ave. Manhattan, NY 10034. So, I typed up the address in Googlemaps & found that the address they were using is well known because it houses many other credit unions, but Firststar Credit Union isn't one of them. I continued my research & found this article & others like it. Laurie contacted me twice, but each time the number came up different. She called on 8/26/09 at 1:47PM, & the company name appeared as PAI, & the number on my caller ID was 786-378-5343. Again, she called to see if I was having any success in finding the $988.08 at 3:35PM, the same day, & this time, the number was 786-378-5300, but the same company name. So I asked Laurie why does her number show up as if she was calling me from Florida. Her response was that she was using a satellite phone. Why would a credit union, who is supposedly doing business in NY, need a satellite phone to called someone in FL? I became so upset that she tried to rip me off. I had already been scammed out of $500 by Eagle National Services, so there was no way I was going to easily send close to a thousand dollars without checking up on the company first. I decided that instead of sending the phony loan agreement via e-mail, I was going to send her a nice F*%$ Y*& E-mail & a attach a couple of articles I found about their company. Below is the E-mail I sent her:   RE: Loan Agreement? From:  Sent: Thu 8/27/09 11:36 PM To: [email protected] 3 attachments document....docx (12.7 KB), document ...docx (17.8 KB), document3...docx (11.2 KB) Good evening Laurie James, Sorry I didn't get back to you sooner, but ever since you called me yesterday and a Florida area code came up on my caller ID, I've been having thoughts that made me feel very uncomfortable. You see, on July 31, 2009, I was scammed by Eagle National Service. They took $500.00, which I wired to them via Moneygram, for a loan protection insurance, but to date, I still haven't received my $5000 loan, and they refuse to take my calls. So, my paranoia led me to do some research on your company, First Star Credit Union (a.k.a. First Star Lending, and what I found left me in awe and feeling hopeless. I can't believe that you tried to con me out of $988.08! Laurie, I don't even make that much after working 80 hours! How could you do such a thing after I told you I was a single mom, trying to get back on her feet by re-building her credit? I am desperate Laurie, but I am not foolish. I mean, Gosh! I thought it was only the Nigerians trying to take American's hard earned money, but I guess I was wrong. It brought me to tears to realize that you are a fraud, after you laughed with me on the phone, as if you were a friend, but I know what you were trying to do; you were trying to build rapport to earn my trust. I'm sorry, Laurie, but it didn't work. In addition, I missed that part completely. It wasn't until I read the articles which I kindly attached for your viewing pleasures, that these questions came to mind: What credit union or financial institution uses money transfer companies to receive money? Also, what credit union, bank, or etc. uses satellite phones to call their customers? These two faux pas you made should of blown all my bells and whistles, but I was so excited over the fact that I was approved that I missed it. Come on, really! Its as if Chase or Bank of America would ask me to make a payment through Western Union or Moneygram to send them the money, when they can take it themselves electronically.  In any case, I am glad that I didn't make a $988.08 mistake, which would have left me in a worse financial situation than I already am. Well, it was a pleasure speaking with you, and I am sorry that this is what you choose to do to make a living; stealing money from desperate, already indigent people. May God bless you, Laurie James (if that is really your name). I will keep you in my prayers. Sincerely,  P.S. Oh! By the way, you may want to use another address because 3961 10th Ave. Manhattan, NY 10034 is too popular. FTC says: It is illegal for companies doing business in the U.S. by phone to promise you a loan and ask you to pay for it before they deliver. Lenders and loan brokers are required to register in the states where they do business. FDIC says: Advance fee loan scams prey on consumers who may be under financial duress and may be seeking quick and easy loan approval and funding. The scam typically involves the lender making false promises to arrange for a loan in return for fees paid upfront by the loan applicant. Scam artists may even design Web sites and online loan applications giving the appearance that the company is legitimate. Fraudulent logos and letterhead of legitimate financial institutions or government agencies may also appear on documents that are faxed to the loan applicant. Potential borrowers may be asked to provide information through a Web site or be contacted by phone or e-mail by a "representative" who guarantees loan approval as soon as the borrower pays a required fee. The loan applicant may be told that the fees will be used to pay a third party for loan insurance or application processing, or to make the first month's loan payment. The loan applicant may also be told to send or wire transfer money to an individual overseas before receiving the loan proceeds.