In a recent warning to the public, the Denver Police Department has alerted to a new scam that preys on individuals seeking personal loans online. According to the Denver Police Department, a fraudulent scheme unfolded earlier this month after a victim applied for a loan and was subsequently contacted by a scammer pretending to be a lender.

The victim, buying into the promise of a $10,000 loan, handed over sensitive personal information including their social security number and banking details, the scam didn't stop there, soon after, the fraudster deposited into the victim's account instructing the victim to "payback" this amount using a digital wallet and, ultimately, to purchase cryptocurrency, it was the mention of cryptocurrency that tipped off the victim to the scam, they acted swiftly by reversing the wired funds and having their bank shut down the account to prevent further fraudulent activity.

The scammer, undeterred, continued to harass the victim with threats of legal charges for money laundering and the placement of liens on their bank account. The Denver Police Department advises extreme caution when sharing personal information and recommends researching lenders thoroughly before engaging with online loan applications.