A personal loan can help solve a pressing financial problem, or help you make a big purchase that you normally can’t afford immediately. Family vacations, emergency repairs to your home, even expensive medical bills – a timely personal loan can help pay these off, and more.
But before you can start borrowing money to pay off your expenses, you must go through an application process. Creditors will want to see that you’re financially capable of paying back the loan before they can lend anything.
You might be tempted to lie a little bit to improve your chances of getting your loan approved. Lying includes claiming you have multiple fake jobs, that you live somewhere else, that you earn more than you actually do or hiding the fact that you have outstanding debt, among many other possible deceits.
But by Texas law, lying on a loan application is a punishable offense.
Making a materially false statement to obtain a personal loan is an offense in Texas. Per state law, the severity of the crime and the penalties for anyone convicted of making a false statement to obtain credit are based on the value of the loan applied for:
This means that no matter how small the loan may be, lying on an application is still a criminal offense.
Lying on a loan application can get you into trouble with the law. If you’re convicted, you potentially face jail time and hefty fines, costing your deceit more than what you would’ve spent on the loan. Don’t underestimate a criminal charge for lying, and carefully consider your defense options.