More fall victim to Green Dot card scam

ATTLEBORO, Mass. (WPRI) -- Just a few weeks ago we reported on a new scam using reloadable debit cards, but unfortunately, more and more people have fallen victim to the scheme.

If you're desperately looking for a small loan ahead of the holidays, be careful who you do business with.

Like any mother, all Erica Valentin of Attleboro wants for her children is to give them a good Christmas.

"This time of year is always hard for anyone, but this year I was hoping to make it better for the kids," she said.

Unfortunately, like many people these days, money is tight, so Valentin went online and Googled phrases such as "fast cash" and "small loans".

"A bunch of lenders kept coming to me and then calling me and sending me e-mails," she said.

She finally settled on a company that approved her for a $3,000 loan. They needed her checking account number so they could deposit her loan, and they wanted a $275 deposit loaded on to a Green Dot MoneyPak card.

Valentin followed directions and called them back with a MoneyPak pin number, and the company said the money would be in her account in an hour and 40 minutes.

When the money never showed, she tried calling the number back, but it only went straight to voicemail.

Call 12 For Action contacted Green Dot, and in a statement the company said it is "committed to educating consumers about how to avoid being victims of common financial fraud schemes."

Right on their cards, they warn consumers about scams using their legitimate MoneyPak cards.

If a loan company is looking to get up-front fees, just walk away. Also, any company doing business in Rhode Island, even if online, must be licensed with the RI Department of Business Regulation. We checked on the company that contacted Valentin and learned they're not licensed, though she's determined to not let it ruin Christmas.

Call 12 For Action also called the loan company, and when we started asking them questions about why they were conducting business in Rhode Island without a license, they hung up, and now the phone only goes straight to voicemail.

To find out if a company is properly licensed or not, visit the Department of Business Regulation's website.